Kevin Kruse Blog

Would you like an employee turnover rate one tenth of your competition? Would you like to save $80 million a year on talent related costs? Turns out that’s exactly what SAS, the world’s largest privately held software company has achieved.

A recent Bloomberg Businessweek article lists the perks that go along with a 2.6% turnover rate (compared to 22 percent typical turnover in a software company. They include: glass atrium communal meeting spaces, basketball and tennis courts, pool tables, a 66,000 square foot fitness center, salon, massages, car detailing, etc.

But is it really the perks that lead to emotional commitment, or more likely, are they just part of a package from a company that makes employee engagement their #1 priority? Dr Jim Goodnight, the CEO of SAS Institute Inc. explains, “You can pay head – hunters to replace the overworked, overstressed employees that leave your company every year, or you can invest that money in keeping your employees happy and productive.”