Staff turnover linked to good packages

by Catherine Woods - Thursday, 8th May 2008 -

Staff retention is crucial in a relationships-focused business like recruitment. That’s why Jo Sellick doesn’t shy away from offering his key employees at Sellick Partnership lucrative packages.

Equity is offered to the figureheads of each office within the £15m-turnover company and these leaders work towards obtaining a sizeable stake over a two-year period. “We pay them quarterly dividends on their profits,” Sellick says.

“I wanted to offer equity because you get the figurehead to buy into the business. They’re focused on the long term and they have an incentive for the office and the brand to move forward.

“It works wonderfully well because they then recruit the right people because they have interest in getting the right people in the right positions.”

Sellick Partnership specialises in financial, legal and education recruitment. Sellick established the business in Manchester in 2002 and currently employs approximately 80 people across six offices. There are plans to open another two offices this year.

Sellick’s move towards generous compensation is paying off: staff turnover at the company is about 4 per cent. Sellick estimates the industry average to be 25 per cent. He adds: “We pay really good salaries and our compensation structure is fairly generous. I’m in a fortunate position now where I’ll hopefully be comfortable for the rest of my life – I want to give some of that back to my employees.”

Picture source

WHAT NEXT?
Sign up for our newsletter and get our weekly pick of business news in your inbox!
Subscribe to our magazine for in depth interviews and advice from leading entrepreneurs!
Join our forum and talk business with other entrepreneurs!