When you’ve just joined a new company, especially in a new country like Canada, the last thing you want is to see people leaving around you. That churning signals instability, it raises questions about leadership, or the company’s direction.
In 2025, many Canadian HR leaders are saying retention isn’t a side‑task. Instead, it’s the core of strategy. Because replacing skilled staff is expensive, disruptive, and often returns less than you hoped.
This article breaks down why retention matters more now than ever, what drives people to quit, and how you as a newcomer in Canada can read the signals and pick better employers.
The High Price of Turnover
Turnover isn’t just an HR metric. It hits the bottom line.
The 2025 Work Institute Retention Report points out that in 2024, 63% of all departures were preventable; that is, they stemmed from things organizations could fix (management, culture, growth opportunities) rather than external forces.
Gallup estimates that about 42% of voluntary turnover could have been prevented if the organization or manager had acted differently.
The cost of replacing a professional or manager can run between 50% to 200% of their salary (varies by role, responsibility, seniority).
Besides direct costs (recruiting, training, lost productivity), there are hidden costs: lower morale, loss of institutional knowledge, fractured client relationships, and the ripple effect on coworkers.
In short: every lost employee carries both visible and invisible costs. For growing firms or those hiring immigrants and newcomers, turnover can be especially destabilizing.
Why HR Leaders Are Zeroing In on Retention in 2025
A few trends are pushing retention to the front:
Tight labor markets / competition for talent
More companies are realizing that hiring is harder than ever. The pool of skilled workers is constrained. Losing someone experienced is riskier now.
Changing employee expectations
Many employees now expect growth, flexibility, meaningful work, good leadership, and a sense they are being heard.
Data & tech tools
HR tech now offers analytics, feedback loops, and predictive signals (who’s “flight risk”); giving HR leaders tools not just for reacting, but to anticipate.
Management is under scrutiny
According to the Work Institute, management‑related turnover is rising. Employees often don’t leave organizations; they leave managers. When managers lack training in coaching, communication, or empathy, retention suffers.
First-year turnover is the costliest
A disproportionate share of turnover happens within the first year. Since new hires take more investment and produce less initially, losing them means little return on that investment.
What Drives People to Leave (Especially in Canada / Among Immigrants)
Here are top reasons:
Reason | Why It Matters | Example in a Canadian / Immigrant Context |
Lack of career progression | If you don’t see a path forward, you’ll look elsewhere. | A newcomer working entry-level with no clear roadmap to roles that match their overseas experience. |
Poor management / weak leadership | Micromanagement, lack of feedback, or inconsistent decisions push people away. | Immigrants may feel undervalued or misunderstood culturally—if managers aren’t culturally aware. |
Work‑life imbalance & burnout | Overwork or lack of flexibility is a common driver. | For immigrant families juggling settlement, children, commuting, etc., imbalance hits harder. |
Low recognition / reward mismatch | If your contribution isn’t acknowledged or compensated fairly, you’ll feel undervalued. | An employee with overseas qualifications may be paid less than peers, which breeds resentment. |
Organizational culture or values mismatch | If the company’s stated values don’t match daily reality, trust erodes. | A firm says “diversity and inclusion” but employees see bias in promotions etc. |
Health, family, life shocks | Illness, family demands, personal crises. | Someone with sick family back home, visa stresses, or immigration uncertainties. |
These aren’t just theory. In 2024, the Work Institute found that career reasons accounted for about 18.9% of departures, the single largest category.
How Organizations Get Retention Wrong
Many try quick fixes—raises, bonuses, team outings—but they miss root problems. Here are common missteps:
Ignoring early warning signals (disengagement, absenteeism, complaints)
Relying solely on pay to “buy loyalty” (compensation is important, but not the whole story)
Weak managerial training or accountability
Lack of transparency in role expectations and promotions
Overlooking culture & psychological safety
Underinvesting in onboarding and early support
What Really Works: Strategies That Drive Retention
For your HR readers and for professionals evaluating workplaces, here are evidence‑based strategies:
Develop managerial excellence
Train managers in feedback, coaching, inclusive leadership, conflict resolution. Many departures trace back to manager issues.
In high-retention organizations, managers are held accountable for the experience of their team.
Build transparent career pathways
Show clear ladders: job levels, competencies, what is needed for promotion.
Frequent feedback, stay interviews & exit interviews
Use those to pick up signals before people leave and act on them.
Invest in learning & internal mobility
Let employees rotate, take stretch assignments, move within the company.
Foster flexibility & employee well‑being
Remote/hybrid work, flexibility in hours, mental health support, flexibility for family demands.
Recognize and reward holistically
Not just salary increases, but acknowledgement, public praise, career support.
Use HR analytics & predictive tools
Data can flag who is at risk of leaving so intervention can happen sooner. SHRM
Culture of trust and inclusion
Psychological safety, fairness, clarity, openness to feedback..
What This Means for Immigrants & Newcomers in Canada
You’re not just an employee; you’re navigating a new social, cultural, and economic terrain. So:
Choose firms that have strong retention practices
In interviews, ask: “How do you promote internally?” or “How do you support staff growth?” or “How do you handle cross-cultural teams?”
Prioritize workplaces with strong managers
A good manager can make or break your early years.
Negotiate beyond salary
Ask for mentorship, learning support, flexibility, sponsorship or clarity on citizenship/permanent status.
Be proactive
Seek feedback, express your aspirations, volunteer for cross‑team projects, show your potential.
Watch early signals in a job
If your role lacks clarity, your manager doesn’t meet with you, or you feel undervalued; those are red flags.
As someone building a career in Canada, you also have agency. Here are some red flags and signals to look for before burnout or job-hunt mode:
Does your manager ask you about your aspirations (not just tasks)?
Do you see peers getting promoted or moved into new roles?
Is feedback regular, specific, and constructive?
Are work expectations realistic over the long term?
Does your workplace offer professional development (mentorship, training, conferences)?
Are your contributions recognized (not just during annual reviews)?
If many of these are missing, you may already be simmering toward disengagement. It’s worth speaking up or searching for opportunities where these elements exist.
Final Word
In 2025, retention is no longer HR’s chore. It’s strategic.
For companies, investing in retention is investing in stability, productivity, morale, and reputation. For newcomers in Canada, knowing how retention works gives you power: to choose wisely, to navigate early career moves, and to build a path toward longevity in your workplace.
Until next time,
