This article is part of your SHN+ subscription. Ikea, a global retailer of furniture and home goods, faced a turnover problem in 2022 and 2023 that many senior living operators can relate to. However, operators can also learn valuable lessons from how Ikea responded to this challenge. This comes at a time when employers nationwide are adding jobs at a rapid pace, as seen in the recent “blowout” jobs report from the U.S. Bureau of Labor Statistics, which revealed that continuing care retirement communities (CCRCs) and assisted living communities added about 7,700 jobs between April and May.
To retain new workers in the senior living sector, operators could consider the example set by Ikea. The company experienced high turnover rates, with about 62,300 employees voluntarily leaving in 2022, leading to significant costs for the company. In response, Ikea implemented new benefits and support systems for its workers, including higher pay, increased flexibility in scheduling, and improved overall benefits.
These efforts had a positive impact, with turnover rates decreasing globally from 33.6% in the U.S. in 2022 to 17.4% globally and 25.1% in the U.S. in 2024. Senior living operators can draw parallels from Ikea’s strategies in addressing staffing challenges, but there are also valuable insights to be gained from where they may fall short.
In this exclusive SHN+ Update, we delve into Ikea’s staffing turnaround and compare it to the senior living sector, exploring key points such as how Ikea went beyond wage increases to reduce turnover, the strategic partnerships that helped in retaining employees, and the lessons that senior living operators can learn from Ikea’s experiences in staffing solutions.
By analyzing Ikea’s journey in reducing turnover, senior living operators can gain insights into the importance of market-specific staffing solutions and the need for personalized approaches to address turnover effectively. As they strive to create a more engaging staff experience, operators can leverage tools such as wage increases, flexible scheduling, enhanced benefits, and improved onboarding processes to retain and attract valuable workforce talent.
Overall, Ikea’s success in reducing turnover serves as a valuable case study for senior living operators looking to enhance their retention strategies and create a more supportive and engaging work environment for their employees.
