Why Your Business Is Losing the Right People — And How to Stop It

Hiring the right people is a critical step in growing a successful business, but it’s only the first step. Too often, businesses put enormous effort into recruiting and onboarding new employees but fail to create an environment where those employees can thrive. And when your environment doesn’t inspire success, retention becomes a constant uphill battle.

Over the years, I’ve observed a surprising pattern: while most leaders dread the thought of losing employees—good or bad—they simultaneously undervalue the effort required to retain and grow their team. Hiring becomes a cycle of frustration, compounded by the belief that “there’s no one good out there.” But here’s the catch: when you believe that, it becomes your reality.

In one recent conversation, a client reluctantly posted a job listing they’d been procrastinating on, assuming they’d find no strong candidates. Within a week, they had 50 applicants. This situation underscores a vital truth: finding good people is only part of the equation. The real question is whether your business is designed to attract, retain, and empower the right people—and it might not be.

Why It’s Not Just About Pay

If you think pay is the sole factor keeping people on your team, think again. Time and time again, I’ve seen team members drive over an hour to work—not for the paycheck, but for the culture, support, and purpose they find in their role. Pay may get someone in the door, but it’s rarely the reason they stay.

What makes the difference? It’s your environment. Let’s break it down.

1. Hire for Personality, Not Just Skill

Finding the right person starts with understanding the role on a deeper level. What personality traits are essential for success? You don’t want a customer service rep dealing with the nuances of insurance claims, nor do you want a reserved introvert as the first point of contact in your business. The right personality in the right seat is non-negotiable.

2. Define the Role Clearly

Too many businesses fail at creating comprehensive job descriptions. A vague or outdated job description is a recipe for misalignment and frustration. Go beyond the basics—outline not only the tasks but the desired outcomes. What, exactly, is this person responsible for achieving? Clarity here sets the foundation for success.

3. Feedback Is Everything

If your employees aren’t getting feedback, they’re working blind. Without constructive input, they don’t know if they’re meeting expectations, which leads to misunderstandings and inflated self-assessments. This disconnect often becomes the root of difficult conversations about performance or pay. The reality is that most employees crave feedback—it’s what helps them improve and feel valued.

4. Be Transparent (In the Right Way)

Transparency isn’t about revealing every financial detail of your business; it’s about communicating the why behind decisions and direction. When employees understand the rationale for processes or strategies, they feel included and aligned with the company’s goals. Transparency builds trust, and trust keeps people invested.

The Environment Is the Key

Attracting and retaining top talent isn’t about throwing more money at the problem. It’s about creating a workplace where people feel valued, supported, and motivated to succeed. When you focus on the right strategies—hiring for fit, defining roles, giving feedback, and fostering transparency—you create a culture that not only retains talent but maximizes performance.

Because when your team thrives, so does your business. The choice is yours: will you create an environment that draws the best people in and keeps them, or will you keep spinning the hiring-and-losing wheel?