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The No-nonsense Guide to Employee Turnover

The No-nonsense Guide to Employee Turnover

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Published by Scott Woodhead
An article about employee turnover in the leisure and fitness industries which tries to explain why it is inherently so high and the recommendations that can be implemented to address the issues highlighted in the report, at reducing high attrition levels and creating a happier and more motivated workforce. The article is written by Scott Woodhead – Managing director of fitgencY recruitment and Loving Outdoors. Scott Woodhead established recruitment firm fitgencY to supply staff to the fitness, health, sports and leisure sectors.e was named in the `Top 100 Young Entrepreneurs on the Horizon' awards after successfully launching his specialist sports recruitment firm, fitgencY, and this month embarked on his second venture,LovingOutdoors.com
An article about employee turnover in the leisure and fitness industries which tries to explain why it is inherently so high and the recommendations that can be implemented to address the issues highlighted in the report, at reducing high attrition levels and creating a happier and more motivated workforce. The article is written by Scott Woodhead – Managing director of fitgencY recruitment and Loving Outdoors. Scott Woodhead established recruitment firm fitgencY to supply staff to the fitness, health, sports and leisure sectors.e was named in the `Top 100 Young Entrepreneurs on the Horizon' awards after successfully launching his specialist sports recruitment firm, fitgencY, and this month embarked on his second venture,LovingOutdoors.com

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Published by: Scott Woodhead on Jun 29, 2009
Copyright:Attribution Non-commercial

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05/11/2014

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The article is written by Scott Woodhead – Managing director of Fitgency Recruitment and  Lovingoutdoors 
Ouraim
 
The purpose of this report commissioned by 
fitgencY 
is to uncover why employee turnover in theleisure and fitness industries is inherently so high. We will then offer recommendations that can be implemented, seeking to address the issues highlighted in the report, at reducing high attritionlevels and creating a happier and more motivated workforce.
 
The background
 
In the UK turnover levels vary considerably from industry to industry. The highest levels of turnover (20.4%) are found in private sector organisations. Successive
Chartered Institute of Personnel and Development (CIPD)
surveys of labour turnover show that the highest levels aretypically found in retailing, hotels, catering and leisure call centres and among other lower paidprivate sector services groups. The public sector has an average turnover rate of 13.5%.
 
Recruitment, retention and turnover surveys in 2008
 
reported 17.3% as the overall employeeturnover rate for the UK. With the
CIPD
indicating that the average cost of hiring a new employeeis £4667, retaining staff has never been so important.
 
 Why attrition is so high in your industry?
 
There are many determinants associated with employee turnover, such as inequity betweendemand and supply which is a key driver for attrition in this sector. But another key reason why 
 
high staff turnover is prone in this industry is because employees do not find their place of work exciting enough.Through our extensive studies of the fitness and leisure industry we uncovered that in factturnover was associated to ‘push’ factors, otherwise characterised and resolved by makingchanges
 within
the organisation. This correlation is strongly linked to front line managementand a good manager can reduce attrition within the organisation to near zero if they follow somesimple principles and practices, as outlined in this report.
 
Our findings; why people leave work?
 
Employees resign for many different reasons. Sometimes it is the attraction of a new job or theprospect of a period outside the workforce, which 'pulls' them. On other occasions they are'pushed' (due to dissatisfaction in their present jobs) to seek alternative employment. It can also be as a result of both ‘pull’ and ‘push’ factors.However, evidence strongly suggests that push factors are a great deal more significant in mostresignations than most managers appreciate.
It is relatively rare for people to leave jobs in which they are happy, even when offered higher pay elsewhere.
 Another reason for voluntary turnover is a change in domestic circumstances outside the controlof any employer, as is the case when someone relocates with their spouse or partner. A lack of training and development opportunities is also a major reason for voluntary turnover. But we feelthat within the selected industries and for the benefit of this report, that in fact attrition isassociated to detrimental and often overlooked characteristics built within the framework of the business model. Once addressed, a happier, more motivated and more productive workforce willprevail.
CIPD
research highlights the importance of front line managers and how their behaviour relatesdirectly to employee engagement, job satisfaction, advocacy and performance and therefore pushfactors. A poor relationship with a line manger can behind an individual’s decision to quit their job and leave the organisation, but its significance can be masked as a result of the difficultiesassociated with exit interviews. We have highlighted some of the key failings that line managers may invariably exercise:
 
·
M
anagement demands that one person does the job of two or more people, resulting inlonger days and weekend work.
 
 
·
M
anagement cuts back on administrative help, forcing professional workers to use theirtime copying, stapling, collating, filing and other clerical duties.
 
·
M
anagement puts a freeze on raises and promotions, when an employee can easily finda job earning 20-30 percent more somewhere else.
 
·
M
anagement doesn't take the time to clarify goals and decisions. One outcome of thismay be that work is rejected after it has been completed, damaging the morale andesteem of those who prepared it.
 
·
M
anagement promotes someone who lacks training and/or necessary experience tosupervisor, alienating staff and driving away good employees.
 
·
N
o opportunity for advancement;
 
sometimes management makes false promises of jobpromotions that never happen. Other times, companies need to downsize, rather thanto hire and promote. Smart, talented employees that have confidence in themselvesand their abilities will give up and look for employment elsewhere.
 
·
T
oo little coaching and feedback and loss of trust and confidence in senior leaders.
 
 What can be done to keep people in work?
 
26 Recommendations
 
 A happy workforce will add to the overall success of the business and in turn this will result inlower costs, especially those associated to recruitment. Companies like the
Marriott International
 

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