10 Proven Strategies to Recruit and Retain Best Caregivers in Home-Based Care

High caregiver turnover is one of the biggest challenges facing home-based care agencies today. With 79% of caregivers leaving within the first year, agencies are constantly struggling to fill vacancies, which leads to staffing shortages, inconsistent care, and increased operational costs.

Replacing a caregiver costs around $2,600 per hire, and for agencies with 100 caregivers, turnover can cost upwards of $400,000 annually. That’s money that could be invested in improving client care or rewarding loyal employees.

So, how do you build a reliable workforce and reduce turnover?

To build a reliable workforce and reduce these financial burdens, home care agencies must go beyond traditional hiring methods. We need to focus on strategies that recruit and retain the best caregivers while addressing the root causes of high turnover.

These 10 proven strategies will help agencies attract top talents and create a workplace where caregivers feel valued, supported, and ready to stay and thrive.

1. Offer Competitive Pay and Attractive Benefits

Many caregivers leave home-based care because they find better-paying opportunities in other industries. To recruit and retain the best caregivers, agencies must offer compensation that matches or exceeds the local market.

A 2024 report by Home Care Pulse found that agencies paying in the top 25% of the market experienced a 12.6% lower turnover rate than those offering lower wages.

But it’s not just about hourly pay. Caregivers want benefits that show they’re valued. To truly support caregivers, agencies should offer a comprehensive benefits package that demonstrates their value. This may include health insurance, overtime pay, paid time off, and retirement plans.

By providing these benefits, agencies can significantly improve caregiver retention and differentiation in a competitive market.

2. Provide Growth Opportunities and Training Programs

Caregivers don’t want to feel stuck. They often leave because they see limited opportunities for growth. Without clear career paths, many move on to agencies that offer advancement or specialized training.

Agencies that invest in ongoing training and professional development see higher retention rates. Consider offering:

Specialized care certifications: Offer training in dementia care, palliative care, or mobility assistance.
Mentorship programs: Pair new hires with experienced caregivers for hands-on guidance.
Leadership pathways: Show caregivers there’s a future with your agency. From caregiver to mentor, coordinator, or supervisor.

You can even offer partial reimbursement for caregivers pursuing certifications or specialized training.

3. Hire for Cultural Fit and Set Clear Expectations

Retention starts with hiring the right people. Caregivers who align with your agency’s values and understand the realities of the job are more likely to stay. Hiring simply to fill shifts often leads to high early turnover, with many new hires leaving within the first 90 days.

To improve retention:

Write honest job descriptions: Set realistic expectations so caregivers know what they’re signing up for.
Use behavioral interview techniques: Assess traits like empathy, reliability, and commitment.
Prioritize candidates who show a passion for caregiving: Passionate caregivers are more likely to stay engaged.

4. Strengthen Onboarding and Early Support

The first 90 days on the job are the most vulnerable period for turnover. According to industry reports, over 50% of caregiver turnover occurs within this time frame due to a lack of proper onboarding and support.

A structured onboarding process that covers agency policies, client expectations, and support systems can make this transition a lot easier.

Agencies that implement mentorship programs and regular check-ins during the first 90 days see dramatically improved retention. Weekly touchpoints provide an opportunity to address concerns and ensure that new hires feel valued and supported.

5. Build a Strong Culture of Recognition and Respect

Caregivers who feel unappreciated are more likely to leave, even if the pay is competitive. Recognition programs that consistently highlight caregiver contributions boost morale and increase loyalty. Small but genuine acts of recognition go a long way in showing caregivers that their work is valued.

Effective ways to show appreciation include:

Verbal praise and public acknowledgment: A simple “thank you” means more than you think.
Caregiver of the Month programs: Reward outstanding work with small bonuses or gift cards.
Celebrating work anniversaries: Recognize milestones to show caregivers they’re valued.

6. Create a Supportive and Inclusive Work Environment

Home-based caregiving can be isolating and emotionally demanding. Caregivers need to feel connected and supported to stay engaged and committed to their work.

To build a positive culture:

Encourage peer collaboration: Create opportunities for caregivers to connect and learn from each other.
Host regular team meetings: Keep caregivers informed and involved.
Open lines of communication: Give carers a voice by inviting feedback and acting on their concerns.

7. Offer Flexible Scheduling Options

Flexibility is key to retention. Many caregivers juggle work with family responsibilities or school. Agencies that offer flexible scheduling options empower caregivers to balance work with their personal lives. A lack of flexibility often leads to burnout and eventual resignation.

Consider:

Allowing caregivers to choose preferred shifts when possible: Empowering them to manage their schedules leads to higher satisfaction.
Using self-scheduling apps: Give caregivers control over their availability.
Avoiding last-minute schedule changes: Respect their time and commitments.

8. Implement a Robust Employee Referral Program

Caregivers trust other caregivers. Referrals remain one of the most effective ways to recruit and retain best caregivers. Referred caregivers tend to stay longer because they already understand the agency’s culture and expectations.

Agencies with successful referral programs:

Offer referral bonuses after the referred caregiver completes 90 days.
Recognize and reward employees who refer high-quality candidates.
Promote referral programs consistently to keep them top of mind.