As companies prepare for 2023 and the slew of hiring challenges that could be waiting for them, many executives are looking for the key to higher retention and
Over 40% of Arvest employees stay with the company for over a decade, compared to the national average of just four years, according to 2020 data from the Bureau of Labor Statistics. So how does Arvest beat the nationwide average by six years?
Laura Andress, chief people officer at Arvest, believes it comes down to culture.
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"The culture here is a tangible thing," says Andress. "We're trying to improve the lives of everyone around us, including our associates, customers and communities. We care deeply. When people understand they're cared for in that way, they don't want to leave."
Andress underlines a culture of care must be built on communication and respect that starts from the top down. If executives do not ask for feedback or value employees' opinions, there is little hope for other leaders in the organization, she explains.
"We have an open door policy, where any person can talk to any leader at any time, including our president," says Andress. "No matter how big we get, [employees'] opinions matter."
Arvest employees are also asked for their feedback constantly, whether through annual engagement surveys, or confidential manager surveys and peer surveys at every evaluation cycle. However, Andress stresses that it's not enough to ask people questions — companies have to be held accountable for the concerns and needs expressed in the surveys.
"If you were to talk to our teammates, they would say they get surveyed too much," she says. "We ask their opinion all the time, and then we act on that. That's what a lot of companies fail to do: they ask and there's no action."
Arvest's associate impact groups (comparable to employee resource groups) also serve as a way for employees to voice their perspectives and propose solutions, especially when it comes to DEI challenges. One associate impact group held a discussion on why pronouns are important and go beyond assumptions based on one's appearance or behavior.
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A culture of communication and action can also ensure that effective benefits are a company-wide priority. For example, caregivers may need more flexibility in their schedules to be present with their families, while other employees may prefer to save their time off. So Arvest developed a robust PTO policy with up to six weeks off and the ability to roll over 600 hours of accumulated time year over year. And due to the efforts of an associate impact group, Arvest employees also receive 12 weeks of paid parental leave, explains Andress.
"PTO is such an important benefit because it touches people throughout their life," she says. "You need a flexible plan that meets people at every stage of their life."
Andress emphasizes that compensation is another core pillar of their culture, noting that the company's annual profit-sharing bonuses and profit-sharing retirement bonuses ensure employees feel appreciated by their employer. For instance, Andress says she received 4% of her annual base salary as a bonus last year. Additionally, Arvest contributes 6% of an employee's annual earnings to their retirement, regardless of whether they have a 401(k).
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Andress points out that Arvest's self-funded healthcare plan works to keep yearly insurance costs down for the company and its employees. "If my base pay went up by 5%, but healthcare is at 7%, then I didn't get much of a raise," she says.
For Arvest, this has meant connecting with third-party healthcare platforms like Sanvello and Wellthy to fill gaps in family and mental healthcare so employees are not forced to go out-of-network for providers and can take advantage of any savings that come with virtual care.
Andress admits that she isn't very surprised by the tenure rate at Arvest and is confident the company can continue addressing different gaps in employees' needs as well as their aspirations.
"We invest in our associates' journeys and where they want to go five or 15 years from now," says Andress. "We help them achieve their goals, not only because it adds value to the company, but because it adds value to themselves."
