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Many people often wonder how much they're really worth in the workplace. And most would be surprised to discover they are worth more than they think. You see, the value of an employee is not just measured by the amount of money they are paid but also by the amount of money it would cost a company to replace him or her. Besides vacation time, benefits, and the cost of advertising the position through various channels there are also intangible costs. Lost productivity time, for example, is a major setback. In a competitive job market, it may also be increasingly difficult and time-consuming to find the right candidate for the job. And the Internet's expansion has only added to the problem. A company's HR Recruiter may be swamped with more resumes than he or she is able to look over. It takes time to review, interview, and hire a potential candidate. And after that, it could take months for him or her to get up to speed, usually about six. Then there's the possibility that the person chosen isn't right for the job, what then?

If an employee approaches you for a $2,000 raise and he or she deserves it then you should actually consider it. Chances are you would end up paying a lot more if he or she decides to leave the company. Consider a position like Customer Service Representative (CSR), for example. There is not a lot of specialized training involved and just about anyone could do the job. But it actually costs about $58,000 to replace a Customer Service Representative who previously earned $18,000 annually. And for managers the costs are even higher! It costs an average of 150% of salary to hire a new manager.

So what's the proper thing to do in order to avoid situations like these? Well, retention is
the key to solving the problem. Keeping high employee morale should be an everyday part of a company's strategy. "Morale" may be defined as "the pervasive emotional or mental condition of employees with respect to cheerfulness, confidence, zeal, etc. in their relationship with their employer and their work." There are so many reasons companies should take extra measures to keep employees happy, specifically because employee morale is intricately tied to other behaviors including attendance and enthusiasm at work. A decline in morale could have a negative impact on employee performance. In other words, employees who feel dissatisfied at work are less productive, have poor quality work, and are even more likely to miss work unnecessarily.

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