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10
min read

Increase Your Employee Retention – the Dramatic Impact of Onboarding

Published on
July 3, 2025
Employee retention and onboarding
Author
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It continues to surprise me how global companies continue to fall short when it comes to their induction and onboarding experience.

A common mistake organisations make is believing that integrating new hires starts on their first day. It doesn’t. 

Successful new hire onboarding begins the day you make an employment offer up to and including the first 90 days in their role (and beyond). It’s so much more than compliance training and a never-ending slide deck of the company's history (we’ve all been there - none of us enjoyed it). It’s about designing a thoughtful experience that sets new joiners up with the tools and insight to hit the ground running.

And there’s so much at stake. Organisations that get their onboarding right:

Getting your onboarding wrong, on the other hand, is another story entirely. Most organisations underestimate just how much damage a poor onboarding experience does to morale, productivity, and retention. They treat it like a box-ticking exercise - served to every new starter, regardless of who they are or what they need.

Unfortunately, cookie-cutter doesn’t cut it. 

Why onboarding is a retention issue (not just an HR task)

Let’s start with the data. According to the Harvard Business Review, up to 20% of employee turnover happens within the first 45 days. That’s one in five new starters who leave before figuring out the printer.

And if that doesn’t make your eyes twitch, consider the cost and impact:

  • It costs approximately £3,000 to hire a new employee in the UK
  • It takes around 28 days to find them

That’s a hefty price to pay for neglecting your onboarding. Let’s calculate an example:

Say you hire 100 new employees per month. 

You’re losing 20% of your hires in the first year, that’s approximately 240 employees per year

That’s £720,000 per year just in costs to replace them. That’s not even factoring in the decrease in productivity that comes with missing resources. 

This is where Solvd Together comes in. We’re not just about stopping people from leaving. We’re all about making them want to stay.

Because onboarding, when done right, builds:

  • Confidence: “I know what I’m doing.”
  • Connection: “I feel part of something.”
  • Clarity: “I understand my role and how I contribute.”
  • Commitment: “I’ve made the right choice.”

Employees who have positive experiences in their first 90 days at a company are 10 times more likely to stay. Can you afford to get this wrong?

Where most onboarding goes wrong (and why people often quietly check out)

At Solvd Together, we’ve seen just about every onboarding faux pas imaginable. Here are some that I see time and time again:

1. It’s one-size-fits-all

A generic checklist of videos and policy docs isn’t onboarding; it’s admin. If your people are different and perform wildly different roles (which they will), then your onboarding needs to reflect that. A 2-hour-long introductory PowerPoint might work for some, but it’s rarely going to hit the mark and will send most to sleep. 

2. It’s all compliance, no connection

Yes, they need to know about health and safety, but not all at once, not for three hours, and not before they’ve had a chance to meet anyone. Connection should come first. Compliance can wait a day (or a week!)

3. It’s designed for the business, not the people

Senior leaders love to feature in onboarding, but new starters don’t just want to hear from the top. They want to meet the people they’ll work with. They want to know what to wear on their first day, what Slack channels matter, where the good coffee is, and who to go to when they aren’t sure what to do.

4. It’s a single event, not a journey

Onboarding isn’t a one-day event. It’s a process. All too often, companies deliver a brilliant day-one experience… then release new hires into the wild to fend for themselves. Your onboarding needs a clear journey – from an offer letter to full integration.

The real emotional impact of onboarding

Here’s the thing: People want to feel like they belong, that they made a good decision, and they can see their future here.

Onboarding is where you prove it to them.

If you’re a global organisation, your onboarding might need to be hybrid or digital – either is fine. It’s not about whether it’s in-person or virtual. It’s about how it makes people feel.

We recently worked with an international professional services firm (who wish to remain anonymous) to revamp their induction and onboarding experience for new experienced hires across the UK. 

Their existing experience? 2-hour “chalk-and-talk” Zoom meetings with little-to-no interaction.  All the stakeholders felt that it didn’t represent the prestige of the brand, nor did it deliver their desired outcomes in terms of engagement, belonging, and inclusion

We helped them revolutionise their induction and onboarding approach, resulting in a 14% increase in engagement, and an average +79 NPS.

How? Through onboarding experiences. Bring people together in virtual offices. Set up livestream “watch parties.” Add snacks. Add real-life conversations. Let them meet each other. Build bonds. Build loyalty. Bonus points if you can do this in person, but it can work, and work very well, remotely. You just need to get it right. 

Great onboarding reflects who you really are

Your onboarding experience should show, not just tell, who you are as a brand.

If your values include things like “one team” or “we care”, prove it. Design an experience that includes everyone, reflects your culture, and gives new hires a chance to feel the heartbeat of the organisation, not just a talk from C-suite. 

It’s a huge missed opportunity when your well-polished, fully established brand turns into a dull, disconnected onboarding session. Nothing is more underwhelming than expecting all the bells and whistles and getting something entirely lacklustre.

Remember: if they’ve accepted your offer, you’re already in credit. Don’t blow it. Build on it. Reinforce the trust they’ve placed in you.

So, how can you improve employee retention through better onboarding?

There’s no real secret to it, but improving employee retention through your onboarding boils down to four key things: 

  • Asking real people what they wish they’d had in their onboarding, don’t base your onboarding on what you think people want to know; actually find out from your existing talent. 
  • Mapping the emotional journey from offer to full integration – this means identifying what people need to know, and when (to avoid overwhelming them), what your different personas are, and how they learn best. 
  • Creating simulations, not just slideshows (think flight simulator, not lecture theatre).
  • Balancing the business needs with human needs – yes, business-critical onboarding is essential, but let’s balance what the business wants with what your people want

This is where  Solvd Together works with you to break down tired and traditional methodologies that are holding your organisation back. We use human-centred design (5Di) to reimagine onboarding experiences from the ground up. We base it on what new starters actually need, not on what stakeholders think people want.

We’ll help you identify the moments that matter. Prioritise the content that counts, and deliver it in ways that make people feel seen, supported, and excited to be here. We’ll help them feel like they belong.

So what are you waiting for? 

If you’re tired of your new starters packing their bags before you get a chance to know them, then it’s time to consider what your onboarding is falling short. Take the first step and book a no-obligation call with me and the Solvd team.

We’ll get to know your business needs before suggesting some tailored next steps that will help you get one step closer to creating  a better, more optimised onboarding experience for your people. 

Want to learn a little more?

We’ve written a whitepaper on how you can design a world-class induction and onboarding experience. It covers:

  • What goes into a great onboarding experience
  • How to approach induction and deliver impact
  • How to build momentum and drive new hire confidence
  • Examples of formats and approaches to try

You can download it by clicking the link below:

Get your free guide

What problem do you want to solve?

It’s time to turn complexity into clarity and ideas into impact.

Get in touch today; let’s ditch the slide-based workshops and frustrating learning technology together. 

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