Employee onboarding isn’t just a formality anymore. It is the cornerstone of setting up your new hires for long term success.
Failing to deliver a comprehensive onboarding experience can leave your newly hired talent adrift, grappling with disengagement, feeling overwhelmed, and at an increased likelihood of seeking an early exit.
In this exploration, we delve into some of the key onboarding statistics and emerging trends, shedding light on the crucial considerations for the year 2024 and beyond.
Onboarding statistics 2024
By 2025 the value of the onboarding software market is expected to reach $1.35 billion (ARC)
A Gartner HR survey found that 77% of employees are placing increased importance on managerial support (Gartner)
An effective onboarding process boosts new employee retention by as much as 82% (StrongDM)
21% of millennials changed job within the last year, more than 3 times the number of non-millennials (Gallup)
A good onboarding process can increase new hire productivity by as much as 50% (SHRM)
By 2025 10% of workers will be onboarded in virtual environments/spaces (Gartner)
26% of HR professionals said that their organisation’s onboarding process didn’t utilise onboarding software (Talmundo)
52% of respondents said that their organisation’s onboarding process lasted no longer than 1 month (Talmundo)
53% of employers stated that they didn’t know how to fully measure the benefits and failures of their existing onboarding process (Talmundo)
One study by Bamboo HR found that nearly 31% of employees have quit a job within the first 6 months. Of this number 23% said they wanted clearer guidelines about their responsibilities, 21% said they wanted more effective training and 17% said that a friendly smile or helpful co-worker could have persuaded them to stay (Bamboo HR)
More than 80% of employees who had a positive onboarding experience continue to hold their organisation in high regard (Bamboo HR)
In one survey by UKG, more than 75% of HR professionals felt their company underutilised onboarding as part of their recruitment process (Think Learning)
81% of employees said they felt overwhelmed during the onboarding process (Forbes)
31% of workers aged 18 – 25 reported feeling ‘lost’ when it comes to knowing who to speak to for answers or resources in their new role (Glean)
42% of HR professionals said that key company information is too scattered throughout different platforms and systems, making it more difficult to onboard new hires well (Glean)
A successful onboarding process can help improve employee performance by up to 15%. Further, committed employees work 57% harder and are nine times less likely to leave over the same time period (Gartner)
89% of employees who had a good onboarding experience are engaged at work (Bamboo HR)
91% of employees who received company culture training felt more connected to their workplace and colleagues (Bamboo HR)
One study by Click Boarding found that employees are 58% more likely to stay with a company for three years if they have a structured onboarding process (SHRM)
When poor onboarding leads to an employee leaving, it can cost up to 200% of the employee’s salary to find a replacement! (Eddy)
53% of HR professionals agree that employee engagement improves when onboarding is done properly (Sprout Social)
Employees who have a good onboarding process gained full proficiency 4 months faster than those who don’t (Clevry)
A formal onboarding program can lead to 50% greater employee retention (Harvard Business Review)
A poor onboarding experience makes new employees 2x more likely to seek new opportunities soon after starting their new role (Digitate)
33% of new hires said that they wanted their manager or direct supervisor to be the one to show them the ropes (Bamboo HR)
Replacing lost employees costs between 30-50% of their annual salary (Clevry)
The UK economy loses £340 billion each year due to poorly engaged employees – a number that could be drastically reduced by implementing good onboarding processes (People Management)
The same study went on to find that 17% of new hires in the US leave after the first month (Bamboo HR)
In 2023, the most common amount of time spent onboarding new employees was one week. Just over one-quarter of respondents gave this answer. The least common amount of time was several months, where 11 percent of respondents said this was their experience with onboarding (Statista)
In 2023, small companies in the United States paid the most money to train new employees, totaling roughly 1,100 U.S. dollars per employee. Large companies paid the least, as they spent approximately 500 U.S. dollars per employee in training (Statista)
The bottom line
As we’ve explored the key onboarding statistics and trends for 2024 and beyond, it’s evident that a robust onboarding process can play a big role in nurturing effective, engaged, and long-lasting team members.
The Clevry Onboarding Report is a powerful tool that empowers organisations to go beyond the conventional onboarding approach and delve into the unique strengths, motivations, and personal styles of each new hire.
By leveraging the insights from our Onboarding Report, managers can craft personalised onboarding plans, reducing the time it takes for new hires to acclimate to their roles effectively. The report provides a roadmap for understanding what drives each individual in their new role and how to harness their key strengths. This tailors the onboarding process to individual needs and fosters a more engaged workforce from day one, ultimately boosting staff retention rates.
The Onboarding Report’s comprehensive features, from the four key factors of motivation and engagement to visually pleasing score wheels and easy-to-digest insights, make it an invaluable asset for organisations striving to improve their onboarding strategies.