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Why poor onboarding makes new hires quit early

January 25, 2024
Onbilo Team

Why poor onboarding makes new hires quit early

The first 90 days are make-or-break for new employees. Poor onboarding doesn't just create a bad first impression—it directly contributes to early turnover. Here's why and what you can do about it.

The statistics

Research shows that:

  • 20% of employee turnover happens in the first 45 days
  • 33% of new hires look for a new job within their first six months
  • Companies with strong onboarding improve new hire retention by 82%

These numbers tell a clear story: onboarding matters, and getting it wrong has real consequences.

Why new hires quit: The top reasons

1. Lack of clarity and direction

The problem: New employees don't understand their role, expectations, or how to succeed.

The impact: Confusion leads to anxiety, decreased confidence, and ultimately, the decision to leave.

The solution: Provide clear job descriptions, set specific goals, and schedule regular check-ins.

2. Feeling isolated and disconnected

The problem: New hires don't feel welcomed or integrated into the team.

The impact: Loneliness and lack of belonging drive people away faster than you might think.

The solution: Assign a buddy, facilitate introductions, and create opportunities for connection.

3. Information overload without structure

The problem: Dumping everything on day one without context or organization.

The impact: Overwhelm leads to stress, poor retention, and decision fatigue.

The solution: Space out information, prioritize essentials, and provide clear documentation.

4. Lack of support and resources

The problem: New employees struggle to find answers or get help when needed.

The impact: Frustration builds, productivity suffers, and trust erodes.

The solution: Create accessible resources, assign mentors, and establish clear support channels.

5. Broken promises and mismatched expectations

The problem: Reality doesn't match what was promised during recruitment.

The impact: Trust is broken immediately, and recovery becomes difficult.

The solution: Be honest during hiring, set realistic expectations, and deliver on commitments.

The hidden costs of poor onboarding

Financial impact

  • Recruitment costs: 50-200% of annual salary
  • Lost productivity during extended ramp-up
  • Training time for replacement hires
  • Impact on team morale and workload

Cultural impact

  • Decreased team morale
  • Increased workload for remaining team members
  • Damage to company reputation
  • Loss of institutional knowledge

The first-day experience

The first day sets the tone. Here's what often goes wrong:

Common first-day mistakes

  1. No one is prepared: Workspace isn't ready, accounts aren't set up
  2. Thrown into the deep end: Immediate work without context
  3. No introductions: Left to figure out who's who
  4. Information dump: Overwhelming amount of information at once
  5. Manager is unavailable: No guidance or support

What a good first day looks like

  • Warm welcome from the team
  • Prepared workspace and equipment
  • Clear schedule for the day
  • Introductions to key team members
  • Time to ask questions
  • Manager available and engaged

The first week: Critical period

The first week is when new hires form lasting impressions. Poor experiences here are hard to recover from.

Red flags in week one

  • No clear plan or structure
  • Left to figure things out alone
  • Overwhelming amount of work
  • Lack of communication
  • No feedback or check-ins

Green flags in week one

  • Structured onboarding plan
  • Regular check-ins with manager
  • Clear goals and expectations
  • Supportive team environment
  • Opportunities to ask questions

The first month: Make or break

By the end of the first month, new hires have made a decision about whether to stay or go.

Warning signs

  • New hire seems disengaged
  • Asking basic questions repeatedly
  • Not attending meetings or events
  • Expressing frustration or confusion
  • Looking for other opportunities

Positive indicators

  • Actively participating in meetings
  • Building relationships with team
  • Asking thoughtful questions
  • Showing enthusiasm and engagement
  • Taking initiative on projects

How to fix poor onboarding

Immediate actions

  1. Audit your current process: Identify gaps and pain points
  2. Create a structured plan: Develop a clear onboarding checklist
  3. Assign onboarding owners: Ensure someone is responsible
  4. Gather feedback: Ask new hires what's working and what's not
  5. Iterate and improve: Continuously refine your process

Long-term improvements

  1. Build a comprehensive program: Cover all aspects of onboarding
  2. Invest in tools: Use software to streamline the process
  3. Train managers: Ensure they know how to onboard effectively
  4. Measure success: Track metrics like time-to-productivity and retention
  5. Create a culture of onboarding: Make it a priority, not an afterthought

The role of technology

Modern onboarding tools can help by:

  • Automating administrative tasks: Free up time for meaningful interactions
  • Providing structure: Ensure nothing falls through the cracks
  • Tracking progress: Monitor completion and identify bottlenecks
  • Storing templates: Reuse successful onboarding plans
  • Sending reminders: Keep everyone on track

Case study: The cost of getting it wrong

A small tech company hired a senior developer. The onboarding process was minimal:

  • No structured plan
  • Minimal documentation
  • Limited introductions
  • No regular check-ins

Result: The developer left after 6 weeks, citing lack of support and unclear expectations.

Cost:

  • $15,000 in recruitment fees
  • 6 weeks of lost productivity
  • Impact on team morale
  • Need to restart hiring process

What could have been different: A structured 30/60/90 day plan, regular check-ins, and clear expectations could have prevented this.

Conclusion

Poor onboarding isn't just inconvenient—it's expensive, damaging, and entirely preventable. The first 90 days are critical, and investing in a proper onboarding process pays dividends in retention, productivity, and employee satisfaction.

The good news? It's never too late to improve. Start by identifying the biggest pain points in your current process, then build a structured plan to address them. Your new hires—and your bottom line—will thank you.

Remember: Every new hire is an investment. Protect that investment with proper onboarding.

Why poor onboarding makes new hires quit early - Onbilo Blog