Employee Motivation and Retention Strategies for Large Businesses

Motivation is defined in a number of different ways, but it can be thought of simply as a person’s willingness to put in a high amount of effort in order to achieve certain goals. 

It also takes into account the person’s individual gain from achieving those goals. It’s thought that there are 3 different aspects to motivating employees. 

The 3 key elements of motivation 

These are: 

1. The individual employee’s needs 
2. Their expectancy of a desired outcome 
3. Their job and how it’s structured. 

An employees’ needs are internal factors that drive their behaviour. The employee’s job also needs to motivate them. 

Each of these are explained in more detail below and employers must consider all of these when looking at ways to motivate and retain their employees. 

One of the most popular theories behind a person’s needs is Maslow’s hierarchy of needs. This considers a person’s physiological needs, their need for security, affiliation, self-esteem and need for self-actualisation. 

• Physiological – These needs can be met through offering food and drink options at work 
• Security – This can involve financial security like wages and pension or physical security like suitably secure working conditions 
• Affiliation – Can be achieved through encouraging social interaction and creating a positive, inclusive team spirit 
• Self-esteem – Involves praise and reward 
• Self-actualisation – Employers can look to provide more challenges and encourage creativity 

Equity is also an important factor. Employees want to know they’re being rewarded fairly, especially compared to their colleagues. If people feel they aren’t being fairly paid or rewarded they may intentionally restrict their input. 

Employee motivation and retention are closely linked to productivity and organisational success. Motivated employees are more engaged, which leads to higher performance and lower turnover. 

Large businesses face unique challenges, including:

• Scale and complexity: Managing thousands of employees across multiple locations. 
• Communication gaps: Ensuring consistent messaging in dispersed teams. 
• Diverse workforce needs: Catering to different roles, cultures, and expectations. 

According to CIPD analysis of ONS data, overall, UK employee turnover was around 34% (27.4% moving to a new employer + 6.6% leaving the workforce) for January 2022–December 2023. The financial impact of high turnover is significant for large organisations. 

"£5.36 million. That’s what a typical 500-employee business spends annually just replacing people, based on the £30,614 average replacement cost per employee. That’s not salaries—that’s pure replacement cost: recruitment, training, lost productivity, temporary cover." 

Emma Parkin, Head of Propositions at The Access Group in Beyond the Payslip: From Scattered Benefits to Strategic Retention in a Rising Cost Environment 

Motivation can be intrinsic (driven by personal growth and purpose) or extrinsic (influenced by rewards and recognition). For large organisations, balancing both is essential. 

Role of Leadership in Motivation 

Leadership sets the tone for workplace culture. Transparent communication, empathy, and recognition from managers significantly influence morale. For example, regular town halls and open-door policies help employees feel valued and heard. 

Impact of Career Development Opportunities 

Structured career paths and upskilling programmes are vital for retaining talent. Large businesses can implement mentorship schemes, leadership training, and internal mobility platforms to support growth. 

Recognition and Rewards 

Employee Recognition programmes, such as peer-to-peer appreciation platforms or quarterly awards boost motivation. Combining monetary rewards (bonuses) with non-monetary recognition (public praise, development opportunities) creates a balanced approach. Employee expectations have shifted beyond salary alone. 

“We’re not just happy with a salary anymore. We want so much more from our employers in terms of investment in me as a professional, employee benefits that make my work-life balance easier. The flexibility—there are so many stats saying people would take less money over flexibility. And if you’ve got really good family-friendly benefits, people care a lot more about that balance between work and home and whether the company does that well.”  

Zoe Wilson, Director of ReThink HR in Attracting the Best Talent, part of our Do the Best Work of Your Life series

Motivation plays a direct role in whether employees choose to stay with an organisation. When individuals feel engaged and connected to their work, they are more likely to remain loyal and contribute positively to business outcomes. Conversely, a lack of motivation often leads to disengagement, which is one of the strongest predictors of voluntary turnover. Discover more about the risks of disengaged employees and how to tackle them in our blog. 

Organisations that have higher engagement scores may experience lower turnover rates as motivated employees typically feel valued, supported, and see clear opportunities for growth within the company. They are less likely to seek alternative employment when their current role offers purpose, recognition, and development.  

For large businesses, the stakes are even higher. High turnover in a workforce of thousands can lead to significant recruitment costs, operational disruption, and loss of institutional knowledge. By fostering motivation through leadership, career progression, and recognition programmes, organisations can create a sense of belonging and stability that encourages employees to stay for the long term. Discover more practical steps and strategies to improve retention in our guide to retention strategies in operational workforces. 

The actionable steps your organisation can take include: 

Building a Positive Workplace Culture 

Foster inclusivity and psychological safety. Encourage feedback loops and create communication strategies for dispersed teams, such as digital collaboration tools and regular updates. When employees feel connected to the company’s values and supported by inclusive practices, they are more likely to stay. For more practical tips on creating a thriving culture, read our blog on building a positive workplace culture. 

Research by SHRM highlights this impact clearly: workers in positive organisational cultures are almost four times more likely to remain with their employer. Only about 15% of employees in excellent cultures are actively looking for a new job, compared with significantly higher job-seeking rates in weaker cultures. Authenticity and employee advocacy are key to creating a culture that retains talent. 

“They need to be authentic. And that’s why the employee voice is so important. It catches your eye when you see pictures of people doing things on charity days. It’s the storytelling. It’s pictures, but it’s also if you get your employees being fans, they’re the ones that are helping attract the next tranche of people in. They can speak to all different generations. If you’re lucky enough to have a multi-generational workforce, they can help you attract and keep that coming in.” 

Zoe Wilson, Director of ReThink HR in Attracting the Best Talent, part of our Do the Best Work of Your Life series

Flexible Working and Wellbeing Initiatives 

Hybrid work models and wellbeing programmes reduce stress and attrition. According to CIPD’s Flexible and Hybrid Working report, 91% of UK employers now offer some form of flexible working arrangement, and 80% of employees say working flexibly has had a positive impact on their quality of life. This demonstrates why flexibility is an important factor in attracting and retaining talent in large organisations. Those figures do look a little different for shift workers and indicate there’s still work to be done: 

"60.3% of shift workers say their schedule isn’t flexible if they need to change it. In an era where flexibility is a top attraction and retention tool, we’re failing 6 out of 10 employees." 

Emma Parkin, Head of Propositions at The Access Group in Strategic Workforce Management: Right People, Right Place, Right Time 

Data-Driven Retention Planning 

Use HR analytics to predict turnover and identify risk areas. Metrics like engagement scores, absenteeism rates, and exit interview data help inform proactive strategies. 

How Access Employee Benefits drives motivation for Via East Midlands 

One way large organisations can boost motivation and retention is by leveraging technology to simplify recognition and rewards. Via East Midlands implemented our employee benefits solution with immediate success: 

“Our HR team wanted to provide a comprehensive rewards and benefits package, ensuring employees were motivated, engaged, and recognised for their hard work [...] To give you a working example, at Christmas we were able to give personalised gift cards to all our employees, and it was seamless. Everyone received recognition of their work, and the feedback was really positive. Many of our employees sent notes of appreciation that their contribution to the business had been recognised.” 

Melanie Adams, Head of HR Business Partnering at Via East Midlands – Read the full Success Story 

Tracking motivation and retention is essential for understanding whether your strategies are working and where improvements are needed. For large organisations, this means using a mix of quantitative and qualitative data to get a full picture of employee engagement. 

Key metrics include: 

• Employee engagement scores collected through regular surveys or pulse checks. These help identify trends in morale and satisfaction. 
• Turnover and retention rates, broken down by department, location, and role to spot patterns and high-risk areas. 
• Participation in development programmes, which indicates whether employees are taking advantage of growth opportunities. 

Large businesses should review these metrics at least quarterly to identify emerging issues early. Many organisations also use HR analytics tools to predict turnover risk and link engagement scores to performance outcomes. Combining these insights with feedback from exit interviews and stay interviews can provide a deeper understanding of why employees leave or remain. Quantitative data matters, but qualitative insights can be just as powerful. 

"Exit interviews are gold dust. If you commit to using that feedback to make changes, you’ll see macro trends you’d miss otherwise. Spot patterns, drill down, and act at the right point in the employee lifecycle. AI lets you do this at scale." 

Oli Quayle, AI Evangelist at The Access Group in Offboarding Well, part of our Do the Best Work of Your Life series

Oli mentions AI helping you scale efforts to track feedback. AI-enabled HR software can provide the analytics and feedback to help you make informed decisions. A platform like PeopleXD Evo is supported, end-to-end, with Copilot AI, allowing you to cut down on manual tasks and make impactful changes to your retention strategies. 

Employee motivation and retention are important for maintaining stability and profitability in large organisations. High turnover can lead to increased recruitment costs, loss of expertise, and disruption to operations. By prioritising leadership development, career progression, recognition programmes, and wellbeing initiatives, businesses can create an environment where employees feel valued and engaged. 

Flexible working and a positive workplace culture are now key factors in attracting and retaining talent. Organisations that invest in these areas see measurable benefits, including improved engagement, lower attrition, and stronger overall performance. 

Ready to take the next step? 

• Explore our employee engagement solution to strengthen motivation and connection across your workforce. 
• Download our guide to retention strategies in operational workforces for practical steps tailored to large businesses.