Lowe's Executive Summary

Lowe’s offers competitive employee benefits to attact and retain staff. In addition to market-related salaries, the company also offers annual bonuses, stock options, and other valuable employee benefits. The benefits offered by Lowe’s allows it to compete with other retailers, but fails to differentiate and recognize truly high performing employees.
Lowe’s calculates annual merit increases based on a 3 point scale, which aims to identify underperforming, performing, and high performing staff. However, the three levels fails to differentiate, recognize, and reward truly high performing employees. Also, since merit increases are the primary method of recognizing performance at Lowe’s, the company could do more to retain high performing staff.
Lowe’s should consider expanding is strategies for retaining high-performing employees by offering supplemental training, educational leave, or sabbaticals. Alternatively, the company could offer flexible work locations or flexible work schedules, improved office technology, or upgraded workspaces.
Employees initiate a voluntary separation from Lowe's based on three scenarios. Employee submits a notice of separation, the employee abandons their job, or they can takes leave of absence under the Family Medical Leave
In 2012, Lowe’s executed the company’s first voluntary separation program (VSP). The program impacted approximately 5,200 corporate employees in North Carolina. The voluntary separation program (VSP) offered buyouts employees for leaving the company voluntarily. The VSP was applied indiscriminately and without concern for employee role, skills, or performance. As a result, the company lost numerous senior, experienced, and high performing staff, leaving a disproportionate number of junior, inexperienced, and lower performing staff