Agents ‘seeking better pay’ as staff turnover hit…
Annual staff turnover in the property industry sits at almost 30%, with the most common reason given for leaving a job being the search for higher earnings potential, new research suggests.
Hybrid agent Nested has measured the industry’s turnover rate in comparison with 20 other major industries and commissioned a survey of UK property professionals to understand what is making them leave one job in search of another.
According to the latest Government data, the average annual staff turnover rate – in which an employee leaves one company to work for another – across the 21 UK industries studied is 29.3%.
The highest turnover rate is seen in the arts, entertainment and recreation sector where it stands at 35.6%.
In real estate, turnover is 27.8%, placing it bang in the middle of the pack.
This means real estate has a smaller staff turnover rate than the likes of health and social work, construction and education but is higher than sectors such as manufacturing, financial and insurance activities, mining and quarrying and public admin and defence.
Nested surveyed almost 300 members of the real estate industry to gain a better understanding of what they believe drives staff turnover among UK property professionals.
The most common reason for leaving a job was the search for higher salaries, as stated by 36% of industry respondents, followed by looking for a better role, workload stress and the search for a more flexible work-life balance.
When asked what factors they think would help reduce staff turnover in UK property, 18% pointed towards more flexible work patterns while 16% said companies could better trust their staff to do the job without the need for micromanaging.
A further 16% suggested that consistent and reliable pay rises would help ease the situation, while bonuses, a better company culture, openness to constructive feedback from staff, travel expenses and healthcare were also cited.
Alice Bullard, managing director at Nested, said: “It’s clear from these results that estate agents want and need better pay.
“Staff turnover is not about market feast and famine, nor is it about redundancies. Instead, it’s about earning potential, flexibility, lifestyle, and the sense that they’re being trusted to do the job well.”
Perhaps unsurprisingly, Bullard suggested the self-employed model offered by brands such as Nested can give agents some of the flexibility they desire.
She added: “The apparent drawbacks of self-employment, such as a lack of healthcare and travel expenses, are nowhere near the top of agent’s priority lists which, once again, suggests that more people could be getting the careers they want and need by leaving massive agencies and going it alone.”