Reasons of Turnover / Factors affecting Retention

Reasons of Voluntary Turnover

Branham (2005) Explains that, there are two specific periods in employee’s thought process before they consider exiting the organization. The first period is the time between intention of leaving occur on the employee and the making the following decision to exit due to disappointment of possible circumstances.

The second period is from the time of decision making to leave and the actual leaving. When the employee is in this period there is no possibility to change them so if management is sensitive of avoiding the employees leaving, better take the preventing actions once get the sign of starting employees disengage with the work and the organization.

Furthermore, Branham (2005) suggested that there are seven main reasons why employees leave an organization as below.

                                                       (Source: Branham, 2005)

The Factors affecting retention

According to Armstrong (2010) the employee Retention or causes of employee leaving base on the understanding of the factors which affect whether employee stay or leave. When consider by their age range, for early career employees (who is in age-30 or below) the career enhancement is more precious. Their attempts of changing the job are more than others.  For the Mid career employees (age 31-50) to manage their careers and satisfaction within the workplace itself is more important. Late career employees (over 50) are more interested in the terms of security.

Apart of that Armstrong (2010) describes the other major factors which affect for Employee retention can be listed as below.

                                                             (Source: Armstrong, 2010).

References

Armstrong, M. (2010) Armstrong’s essential human resource management practice. 1^st publish. London, Kogan Page.

Branham, L. (2005) The 7 hidden reasons employees leave: How to recognize the subtle signs and act before it’s too late. Sound view Executive Book Summaries, 27(6), pp.1-8.

Employee Turnover in Global context

The Employee turnover rates vary on a large scale by the types of business and the economic health of the region where the companies are located (Owen, 2001). Together with rise of large scale of firms in nineteenth century, then the agricultural importance was decreasing in the region so growing number of employees were employed by those particular firms. Then by this context began that interest in measuring employee turnover and understanding its caused (Carter, 1988).

Especially in advanced industrial counties, the employee turnover rate going high in the period of economic growth due to new Job opportunities tend employees to change their job voluntarily. In the other hand turnover rate declines where the countries the economic downturns as enterprises cut costs by avoiding new recruitment which deter employees to change their job easily (Andisi, 2006).

Industry Comparison of Turnover Rates

Here are the 2017 average turnover rates in the UK by occupational group according to XpertHR:

         (Source: https://www.e-days.co.uk/news/employee-turnover-rates-an-industry-comparison)

References

Andisi, M. (2006) Factors that are Associated With Labour Turnover among Health Professionals in Kenya. University of Nairobi, Unpublished MBA Project.

Carter. B. (1988) The Changing Importance of Lifetime Jobs, 1892-1978. Industrial Relations. 3, p.287.

Owen, T. (2004) History of labour Turnover in the U.S. Net Encyclopedia. Edited April 29. 2009. Retrieved from httD://en.net/encvclopedia/artiele/owcn.turnovcr.

Wortley, A. (2018) industry Comparision of Turnover rates, E-days [Online]. Available at:<https://www.e-days.co.uk/news/employee-turnover-rates-an-industry-comparison/>. [Accessed on 24th April 2019].