Exit Interview - An Important But Frequently Overlooked Tool

Exit Interview

Failure to retain your experienced staff can cost your firm thousands of dollars as well as loss of knowledge management. It is therefore vital to recognize this and take proactive steps to reduce staff turnover, and determine ways to retain your employees. Exit interviews are a start in the right direction to work towards achieving this.

An exit interview is a survey conducted with an individual who is separating from an organization or relationship. An exit interview is typically a meeting between at least one representative from a company's human resources (HR) department and a departing employee. (The departing employee usually has voluntarily resigned vs. getting laid off or fired.)

Purpose of an Exit Interview

Conducting exit interviews can be a valuable experience for any organization. Human resources departments conduct exit interviews (also called exit surveys) to gather data for improving working conditions and retaining employees.

·         One of purposes of the exit interview is to obtain feedback on why your employee is leaving.

·         Another purpose is to find out what the employee likes or dislikes about their employment, what areas of the firm that they feel needs improvement and often even though it may be too late for the exiting employee- they may leave with a more positive view of the firm, and you get to retain some of the employee's knowledge.

·         Exit interviews are one of the most widely used methods of gathering employee feedback, along with employee satisfaction surveys. Sometimes exit interviews help retain the leaving employee.

·         Guarding against potential lawsuits,

·         Smoothing over any conflicts with co-workers or managers,

·         Learning about problems with other employees,

·         Helping to discern whether the employer's pay is competitive,

·         Learning how to retain their best people,

·         Reducing problems in the workplace.

·         Exit interviews also provide employers an opportunity to control any negative publicity that might come from a discontented employee, pinpoint specific areas causing employee dissatisfaction and turnover, and to openly share information that will bring the employment relationship to a positive close.

·         The information obtained during an Exit Interview is often the most candid and valuable information an employer can hope to receive from an employee, since there is no longer the pressure for the employee to guard one's responses in an effort to improve their individual status within the firm.

Points to be Kept in Mind While conducting an Exit Interview

·  Exit interviews should be conducted for every exiting employee, regardless of their level in the organization.

·  Interviews (questions and procedures) should be executed with a standardized methodology in order to make the interpretation of results useful.

·  Interviews should be prepared for in advance with a clear determination of the goals for the interview and any specific items that should be covered.

·    The information received from the Exit Interview should be utilized to implement real change in the workplace, and not just to store as employee documentation.

·   In addition to the HR Director, senior management should be copied on the reports generated from the Exit Interview, and required to provide feedback.

·    Interview questions and answers should be well-documented by the employer in order to assist with any future legal case brought about by the employee.

·   Employers should ask open-ended questions and probe for opinions about the employee's job, supervisor, and general management, subordinates, working conditions, opportunities for advancement, firm policies, training programs (or lack of), reasons for leaving and any potential legal issues.

·    Record the reasons in writing why the employee is leaving to avoid employee claims such as wrongful termination. The information you receive can be used to offset any claims that are not addressed in the Exit Interview.

·    Try to obtain recommendations on continuing health benefits and the discontinuation of other benefits.

·     Settle up on any payments for accrued vacation or wages due.

·  Obtain the transfer of all company property such as keys, credit cards, books, or other materials.

·     Readdress any non-compete or confidentiality agreements, should they apply.

An exit interview can be a valuable tool for both the employer and departing employee, minimizing the likelihood of future legal problems resulting from the employment relationship.