Prevent Unexpected Resignations in Your Finance Team

12-12-24
David Landau

How to avoid the dreaded Friday afternoon resignation

Picture this: a valued team member messages you on a Friday afternoon for a “quick chat.” For many managers, this translates to a resignation letter. However, there are practical ways to build a culture where resignations aren’t surprising. Here are our tips to add to your finance team retention strategy on reducing the chances of losing great employees unexpectedly.

1. Foster open communication

Creating a culture of trust and transparency is vital to preventing staff turnover. Employees should feel comfortable discussing concerns, challenges, or career plans with you.

At Richard Lloyd, we’ve seen the benefits of this firsthand:

Encourage openness: Employees are urged to share concerns early, which allows for proactive solutions.
Plan for transitions: When team members leave, advance notice allows for smoother handovers. For instance:

One team member planning a UK move gave 4–5 months’ notice, ensuring seamless preparation.
Another, after seven years, openly discussed a career change long before starting their job search.

Avoid surprises: When employees trust you, resignations feel collaborative rather than reactive.

Managers who foster this openness avoid creating an environment where resignations are seen as a personal affront.

2. Conduct regular reviews

Ongoing performance reviews are more than a formality—they’re a chance to understand your employees’ goals and aspirations. Use these meetings to:

Discuss career goals: Collaborate on how they can achieve their ambitions within your team.
Provide growth opportunities: Create and track learning and development roadmaps.
Balance challenges: Ensure employees are appropriately stretched without being overwhelmed.
Build trust: Strengthen the manager-employee relationship by addressing concerns early.

Frequent, meaningful check-ins demonstrate genuine interest in your employees’ success and help prevent dissatisfaction from building.

3. Hire the right people and set clear expectations

The retention process starts before the employee joins your team. From the first interview, focus on honesty and alignment:

Pose insightful questions

Competency-based and scenario questions reveal how candidates approach challenges. For example:

“Can you share a time you disagreed with your CFO?” This shows how they handle conflict constructively.
“Why are you leaving your current job?” A strong candidate will show they’ve exhausted growth opportunities in their current role.

Clarify expectations

Be upfront about:

Work environment: Is it truly collaborative? How does the team interact?
Growth opportunities: Can you support their ambitions? Be realistic about potential career paths.
Challenges: Share any difficulties, like long hours during reporting or outdated systems, and how you address them.

By hiring aligned individuals and setting clear expectations, you ensure longevity in your team.

4. Walk the walk as a leader

Don’t just claim to have an open-door policy - practice it. Show your team you value them through actions:

Make time for informal conversations, like coffee chats or team lunches.
Take an interest in employees as individuals, not just workers.
Provide honest feedback and support for their professional growth.

Final thoughts

Nobody stays forever, but by fostering trust, conducting regular reviews, and hiring with clarity, you can create a team culture where resignations aren’t a surprise. With our accounting team management tips including open communication and strong leadership, you’ll never dread that Friday afternoon message again

If you want more actionable strategies for keeping your team engaged or help to replace a team member who resigned, contact one of our recruitment experts.