Triggers of a High Turnover

Employee turnover is expensive. Poor management can cause the normal turnover rate to climb to an excessive level. The negative impact of turnover is not only financial; it also adversely affects employee morale and can lead to a domino effect which in turn negatively impacts the effectiveness and efficiency of a team or company. In order to reduce turnover rates, organizations must first understand the main reasons behind employees leaving for other positions. Good people don’t leave good organizations — they leave bad management!

TOXIC ENVIRONMENT

Studies have shown that rudeness and toxic remarks have bad effects on productivity, and results in good employees quitting. Behaviors like rudeness, blame-shifting, and favoritism are among the reasons that increase turnover rates. How well the employee communicates with the employer also plays a role. If the two parties communicate poorly, or have a bad working relationship, then an increase in turnover is bound to occur.


WORK LIFE BALANCE

With increasing economic pressures, some organizations are demanding too much work of their employees. This is especially true of companies that have recently downsized or restructured, resulting in longer hours and weekend work becoming necessary. When employees are faced to choose between their personal life and their work life, they are more likely to leave. The younger workforce is most likely to leave a job that does not leave space for family and personal affairs.


JOB DID NOT MEET EXPECTATIONS

This can occur for various reasons. Perhaps during the hiring process, the job requirements were not made as clear as they could have been. Or the job role shifted dramatically from the initial description of what was promised. Either way, it leads to people feeling like they have been misled, and this develops feelings of mistrust for their company. If people feel deceived or duped, then they will leave.


NO OPPORTUNITIES FOR GROWTH

It’s human nature for people to look for a good reason to do something. The same applies to companies that don’t provide a path for career growth, as employees will put in their best work with the idea that they are furthering their career and able to climb the ladder of success. Often talented individuals are forced to job-hop from one company to another, in order to grow in status, skills, and ability. The most successful organizations find ways to help employees develop new skill sets in their current positions, and position these employees for future advancements within the enterprise. Employees who see potential for growth are more inclined to stay with their company.


LOW WAGES

It’s common sense that underpaying companies will lose their employees. In fact, being underpaid is one of the main reasons an employee will quit. No matter how productive and friendly the workplace may be, if an employee feels their wages are unreasonable, then they will be more likely to take higher paying positions at other firms. They only way to avoid losing your employees over low wages is to be updated with the wages offered by your competitors. In this way, you can prevent losing employees to competitive firms.


BENEFITS NOT EQUALLY DISTRIBUTED

When employees are suddenly asked to work harder for various reasons, either to meet a tough deadline, or to prepare the company for an overhaul, they will do so under the expectation that their hard work will be rewarded at the end. When employees see that they are not sharing in the fruits of their labor, they will become dispirited and demotivated. Employees know when a company is doing well, and they expect to be considered as critical enablers of that success. Organizations that talk about employees being their most important asset, but then treat them as consumables or replaceable, are likely to experience high turnover rates. If an organization wants empowered employees putting out quality products, then they need do demonstrate appreciation through actions.

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