High staff turnover rates can lead to service disruption and customer dissatisfaction, and can be caused by low morale, poor job match, stressful working conditions, inadequate pay or benefits, and job mismatch. Certain industries have higher turnover rates, while low pay and benefits, job mismatch, and working conditions can contribute to turnover. Companies with strong employee retention programs and open communication policies can help reduce turnover.
A turnover rate is the rate at which something or someone leaves and needs to be replaced with something or someone new. Staff turnover rates are always a concern for businesses, large and small. High fees can lead to service disruption and customer dissatisfaction, and it can be costly to constantly hire, hire, and train new employees. Numerous factors can affect employee turnover. These include low morale and poor job match, stressful or dangerous working conditions, and inadequate pay or benefit packages.
Certain types of businesses and positions have traditionally high turnover rates. These include childcare, retail, food service and telemarketing. Other segments, such as healthcare professionals and lawyers, traditionally have very low turnover rates. Most other companies work to keep turnover rates in check, both to control hiring expenses and to ensure consistency of service.
A common cause of high staff turnover rates is low pay and benefits. When a worker is employed in a low-wage position with limited benefits, there is little incentive to stay if a similar employer offers even a slightly higher rate of pay. Workers who earn more, but whose wages are below the current market rate, may feel undervalued at their current companies and seek out a company that will pay them what they are worth. Highly skilled workers can often be lured into a high-paying position by a higher offer from a company in dire need of the employee’s skills. Benefits such as insurance, time off and childcare also contribute to employee satisfaction.
Job mismatch is another common cause of high staff turnover rates. Workers in work for which they are over- or under-qualified, or for which they have not received adequate training, may feel frustrated and be inclined to look for other work. Even those working in jobs for which they are suitably qualified may leave if their personal style conflicts with their manager’s style or the company’s corporate culture.
Working conditions can also drastically affect employee turnover rates. Workers employed by companies with strong employee retention programs, low injury rates, and open communication policies are often happier at work and can even settle for lower wages. On the other hand, employees of companies that do not provide adequate safety measures or who do not value employee value may be more likely to seek employment with companies that offer more stable and comfortable environments.
Protect your devices with Threat Protection by NordVPN
