WOLKI

TEUNI
VERSI
TY

COLLEGEOFBUSI
NESSANDECONOMI
CS

DEPARTEMENTOFMANAGEMENT

As
ses
singt
heEf
fectofEmpl
oyeetur
noveronOrganiz
ati
onalPer
for
manc
e
(i
nc as
eofWolki
teSpec
ial
izedHospi
tal
)

ARESEARCHPAPERSUMI
TTEDTOTHEDEPARTMENTOFMANAGEMENTFORPARTI
AL
FULI
FILLMENTOF THE REQUREMENTS FOR BACHELOR OF ARTS (
BA)DEGREE I
N
MANAGEMENT

By:-Fr
ahywetTr
uha

I
dnoSSR/
0535/
12

Advi
sor
:-ENDALKF.
(MBA)

Apr
il2023

Wol
kit
e,Et
hiopi
a
 Cer
tif
icat
e

Thi
sist
ocer
tif
ythatt
hes
eni
ores
saypr
epar
edbyf
rahywett
ruha ent
itl
ed“
Ass
ess
ing
t
heef
fec
tofempl
oyeet
urnoveronor
gani
zat
ionalper
for
manc
eint
hec
aseofwol
kit
e
uni
ver
sit
yspec
ial
izedhos
pit
al”
.Submi
ttedi
npar
tialf
ulf
il
lmentoft
her
equi
rement
sof
t
hedegr
eeofar
tsi
nmanagementc
ompi
leswi
tht
her
egul
ati
onoft
heuni
ver
sit
yand
meet
stheac
cept
eds
tandar
dswi
thr
espec
ttot
heor
igi
nal
it
yandqual
it
y.

Advi
sor……………………… Si
gnat
ure

Dat
e…………………………… ………………….

Exami
ner……………………… Si
gnat
ure

Dat
e…………………………….
. ………………….

Depar
tmenthead…………………………….
.
. Si
gnat
ure

Dat
e…………………………………… …….
.
..
..
.
..
..
.
..
..
.
..
..
.
.
ACKNOWLEDGMENT
Iwoul
dli
ket
oexpr
essmydeepgr
ati
tudef
rom t
hec
oreofmyhear
ttoGod,whohas
gi
venmet
hes
trengt
htoc
arr
yoni
nmyhar
dti
mesandf
orhi
sinval
uabl
egi
ftbei
ngwi
th
met
hroughouti
nmys
tudyast
her
esear
chc
omest
oendwi
thhi
swi
ll
.If
eelt
hedeepes
t
s
ens
eofgr
ati
tudet
omyAdvi
sorEndal
keF.
(MBA)
,amanwi
tht
ruer
espec
tforl
ear
ning,
f
orhi
spr
opergui
danc
eandenc
our
agementf
ort
hiss
tudyupont
hec
ompl
eti
onoft
his
s
tudy.Iwoul
dal
sol
iket
oac
knowl
edget
opar
tic
ipant
sandc
ont
ribut
orsoft
hes
tudy
who f
orwar
ds t
hei
ridea, bel
ieves
, agr
eement
s and di
sagr
eement
s t
hrough
ques
tionnai
re.Fi
nal
ly,mys
pec
ialt
hanksgot
oal
lmyf
riendsandr
elat
ivesf
ort
he
gener
ouss
uppor
tandc
ont
ribut
ionofbyl
ett
ingt
her
esear
chert
odi
scus
sands
har
ing
i
dea.
 Tabl
eofc
ont
ent

ACKNOWLEDGMENT
Li
stoff
igur
e I
I
Abs
trac
t I
II
CHAPTERONE 1
1. I
NTRODUCTI
ON 1
1.
1Bac
kgr
oundoft
hes
tudy 1
1.
2St
atementoft
hepr
obl
em 2
1.
3.Res
ear
chQues
tion 3
1.
4Obj
ect
iveoft
hes
tudy 4
1.
4.1Gener
alobj
ect
ive 4
1.
4.2Spec
ifi
cobj
ect
ives 4
1.
5Si
gni
fi
canc
eoft
hes
tudy 4
1.
6Sc
opeoft
hes
tudy 4
1.
7 Li
mit
ati
onoft
hes
tudy 5
1.
8Or
gani
zat
ionoft
hes
tudy 5
CHAPTERTWO 6
2. REVI
EWOFLI
TERATURE 6
2.
1Theor
eti
calRevi
ew 6
2.
1.1Conc
eptandDef
ini
ti
onoft
urnover 6
2.
1.2Typesofempl
oyeet
urnover 7
2.
1.3.
Caus
esofempl
oyeet
urnover 7
2.
1.4.
Eff
ect
sofempl
oyeet
urnover 13
2.
1.5.
Cos
tofempl
oyeet
urnover 14
2.
1.6.
Benef
itofempl
oyeet
urnover 16
2.
1.7.
Meas
uri
ngempl
oyeet
urnover 17
2.
1.8St
rat
egi
esf
orr
educ
ingempl
oyeet
urnover 18
2.
2Empi
ri
calr
evi
ew 20
 2.
3Conc
ept
ualf
ramewor
k 21
CHAPTERTHREE 22
3. METHDOLOGYOFTHESTUDY 22
3.
1 I
ntr
oduc
tion 22
3.
1Res
ear
chdes
ign 22
3.
2St
udyPopul
ati
on 22
3.
3 Sampl
ingDes
ign 23
3.
3.1Sampl
ings
izeDet
ermi
nat
ion 23
3.
3.2Sampl
ingTec
hni
que 23
3.
4Met
hodsofDat
aCol
lec
tion 24
3.
5 Dat
aAnal
ysi
sandPr
esent
ati
onMet
hods 24
3.
5.1Res
ear
chAppr
oac
h 24
CHAPTERFOUR 25
DATAANALYSI
SANDI
NTERPRETATI
ON 25
CHAPTERFI
VE 36
CONCLUSI
ONANDRECOMMENDATI
ON 36
5.
1CONCLUSI
ON 36
5.
2RECOMMENDATI
ON 36
Ref
erenc
es 38
 Li
stoft
abl
e

Tabl
e4.1personalPROFI LESofs ampl eres pondentsbys ex,AGE,MARTIALs
tat
usand
educat
ionlevel 25
Tabl
e4.2aboutc urrentwor k 26
Tabl
e4.3empl oyeet ur
noveri nt heor ganizati
on 28
Tabl
e4.4causesf oremployeest ol eavet heor ganization 29
Tabl
e4.5effectofempl oyeet urnoveront hehos pital 29
Tabl
e4, 6eff
ectofempl oyeet ur noveronexi s
t i
ngempl oyee 30
Tabl
e4.7whats houl dbedonet or educ et hec auseofempl oyeet
urnover 31
Tabl
e4.8performanc eappr aisals ystemoft hehos pital 32
Tabl
e4.9attit
udest owardst heiror gani z
at ion 33
Tabl
e4.10thec ostofempl oyeet urnoverf ort hehos pital 33
Tabl
e4.11Benefitofempl oyeet ur nover 34

I
 Li
stoff
igur
e

Fi
gur
e1c
onc
ept
ualf
ramewor
k 21

I
I
Abs
trac
t
Themai
nobj
ect
iveoft
hiss
tudywast
oas
ses
stheef
fec
tofempl
oyeet
urnoveri
n
Wol
kit
eUni
ver
sit
yspec
ial
izedHos
pit
al.Tomeeti
tsobj
ect
ivet
her
esear
cherus
ed
des
cri
pti
vet
ypeofr
esear
chdes
ign.Ther
esear
cherus
eds
impl
erandom s
ampl
ing
t
echni
quesf
ort
hes
akeofgi
vingequalc
hanc
eofbei
ngs
elec
tedandbec
aus
eofl
arge
numberoft
heempl
oyeet
her
esear
cherwasus
ed206empl
oyeesasas
ampl
efr
om 426
empl
oyees
.Ther
esear
cherus
edpr
imar
ydat
awhi
chwer
ecol
lec
tedus
ingques
tionnai
re
f
rom empl
oyeeoft
hehos
pit
alandi
nter
view f
orhumanr
esour
cemanager
.Af
tert
he
nec
ess
ary dat
a wer
ecol
lec
ted t
he r
esear
cherwas us
ed bot
h quant
itat
ive and
qual
it
ati
vemet
hodst
oanal
yzedat
aandpr
esentt
hes
edat
aus
ingt
abl
ebec
aus
eofi
ts
s
impl
etounder
standandappr
opr
iat
eforc
ompar
ison.Themai
nef
fec
tofempl
oyee
t
urnoveratwol
kit
euni
ver
sit
yspec
ial
izedHos
pit
al,
are:-Pr
oduc
tivi
ty,
Money,
andTi
me.
I
fsot
hemanagementoft
heor
gani
zat
ions
houl
dgi
veat
tent
ionf
oref
fec
tst
atedabove
t
oexi
stempl
oyeeswi
tht
hei
rac
cumul
atedknowl
edge,s
kil
landexper
ienc
etoi
mpr
ove
qual
it
iesofeduc
ati
oni
ntheor
gani
zat
ion.

I
II
 CHAPTERONE

1.I
NTRODUCTI
ON
I
nthes
echapt
eri
ncl
udebac
kgr
oundoft
hes
tudy,s
tat
ementoft
hepr
obl
em,r
esear
ch
ques
tion,obj
ect
iveoft
hes
tudyi
nthi
ssec
tioni
ncl
udegener
alands
pec
ifi
cobj
ect
ive,
s
copeoft
hes
tudyandor
gani
zat
ionoft
hes
tudy.

1.
1Bac
kgr
oundoft
hes
tudy
Ever
y or
gani
zat
ion whet
heri
tispr
ofi
tabl
e ornon-pr
ofi
tabl
e ar
e es
tabl
ished t
o
ac
compl
ishc
ert
aingoal
s.I
nor
dert
oac
hievet
hes
egoal
sandt
orunt
heover
allf
unc
tion
oft
heor
gani
zat
ionef
fec
tivel
y,t
heyneedt
ohaver
esour
cel
ikemoney,mat
eri
aland
human r
esour
ce.Human r
esour
ce bel
ievest
o be t
he mos
tvi
talofal
lres
our
ces
.
Ther
efor
e,i
tist
hehumanr
esour
ce,
whi
chs
houl
dbes
trongl
ydevel
opedt
ogett
hebes
t
outoft
her
est
.Mos
tseni
orexec
uti
vess
ayt
hatpeopl
ear
ethemos
timpor
tantas
seti
n
t
heor
gani
zat
ion.However
,theyar
eal
soc
hal
lengi
ngbec
aus
ehumanbei
ngsbyt
hei
r
nat
uregi
vegr
eat
erat
tent
ionf
ort
hei
rdemandot
hert
hant
hatoft
heor
gani
zat
ion.
Asi
t
i
shar
dtof
indt
heappr
opr
iat
ewor
kfor
cef
ort
heor
gani
zat
ion,i
tishar
dtos
ati
sfy
enoughandt
oret
aint
hem.Bec
aus
eofmanyr
eas
ons
,fai
li
ngt
oret
ainempl
oyees
c
reat
esempl
oyeet
urnover
.

AsMobl
ey(
1982)def
ined,
thatt
urnoveri
sthevol
unt
aryc
ess
ati
onofmember
shi
pinan
or
gani
zat
ionbyani
ndi
vidualwhor
ecei
vesmonet
aryc
ompens
ati
onf
orpar
tic
ipat
ingi
n
t
hator
gani
zat
ion.

Empl
oyeet
urnoveri
sther
elat
ionofwor
ker
sar
oundt
hel
abormar
ket
s,bet
weenf
irms
,
j
obsandoc
cupat
ions
,andbet
weent
hes
tat
sofempl
oymentandunempl
oyment(
Abas
si,
2000)
.Empl
oyeet
urnover
:ist
henumberofper
manentempl
oyeesl
eavi
ngt
hec
ompany
wi
thi
nther
epor
tedper
iodver
sust
henumberofac
tualac
tiveper
manentempl
oyeeson
t
hel
astdayoft
hepr
evi
ousr
epor
tedper
iod(
www.
Managementaboutc
om.
)

Ther
eas
on s
o muc
h at
tent
ion hasbeen pai
dtot
het
opi
coft
urnoverhass
ome

1
s
igni
fi
cantef
fec
tsonor
gani
zat
ion.Manyr
esear
cher
sar
guet
hathi
ght
urnoverr
ates
mi
ghthave negat
ive ef
fec
tson t
he pr
ofi
tabi
li
tyofor
gani
zat
ionsi
fnotmanaged
pr
oper
ly(
Johns
on,
2000)

Lane(
2001)des
cri
bedempl
oyeet
urnoverast
her
esul
tofbot
hqui
tsandl
ayof
fsand
f
urt
hers
tat
est
hats
omet
urnoveri
sar
esul
tofj
obsi
nonef
irmbei
ngdes
troyedandj
obs
i
nanot
herf
irm bei
ngc
reat
edandhenc
eduet
other
eal
loc
ati
onofj
obsac
ros
sthe
ec
onomyi
nres
pons
etoc
hangesi
npr
oduc
tdemand.

Tur
noverhasmanyhi
ddenori
nvi
si
blec
ost
sandt
hos
einvi
si
blec
ost
sar
eres
ultof
i
ncomi
ng empl
oyees
,co-
wor
ker
scl
osel
y as
soc
iat
e wi
thi
ncomi
ng empl
oyees
,co-
wor
ker
scl
osel
yas
soc
iat
edwi
thdepar
tmentempl
oyeesandpos
iti
onbei
ngf
il
ledwhi
le
vac
antandal
lthes
eaf
fec
tthepr
ofi
tabi
li
tyoft
heor
gani
zat
ions
,ont
heot
herhand
t
urnoveref
fec
tsonc
ust
omers
ervi
ceands
ati
sfac
tions
.Tur
noveri
ncl
udesot
herc
ost
s,
s
uchasl
ostpr
oduc
tivi
ty,
los
tsal
esandmanagement
sti
me(
Jons
on,
2000)
.

Res
ear
ches
timat
esi
ndi
cat
ethathi
ri
ngandt
rai
ningar
epl
acementwor
kerf
oral
ost
empl
oyeec
ostanappr
oxi
mat
ely50per
centoft
hewor
ker
sannuals
alar
y(J
ohns
on,
2000)
Butt
hec
ost
sdonots
topt
her
e.Eac
hti
meanempl
oyeel
eavest
hef
irm,
itpr
esumest
hat
pr
oduc
tivi
tydr
opsduet
othel
ear
ningc
urvei
nvol
vedi
nunder
standi
ngt
hej
obandt
he
or
gani
zat
ion.Fur
ther
mor
e,t
hel
ossofi
ntel
lec
tualc
api
taladdst
othes
ecos
ts.Si
ncenot
onl
ydoor
gani
zat
ionsl
oset
hehumanc
api
talandr
elat
ionc
api
taloft
hedepar
tment
empl
oyees
,butal
soc
ompet
itor
sispot
ent
ial
lygai
ningt
hes
eas
set
s(J
ohns
on,
2000)

1.
2St
atementoft
hepr
obl
em
Tur
noveri
sthenetr
esul
toft
heexi
tofs
omeempl
oyeesandt
heent
ranc
eofot
her
s.
Tur
noverc
anbequi
tet
ooc
ost
lyt
oanempl
oyer
.Onees
timat
eist
hati
tcos
tsAmer
ican
I
ndus
try11bi
ll
iondol
larayear
.Thos
ecos
tst
oanempl
oyeri
ncl
udec
ost
sfors
oci
al
s
ecur
ity and unempl
oyment c
ompens
ati
on,t
ermi
nal voc
ati
ons
,sever
anc
e pay,
under
uti
li
zedc
ost
sforf
aci
li
tat
esunt
ilt
her
epl
acementi
shi
red,adver
tis
ementand
ot
herexpens
es,admi
nis
trat
ionc
ostofnot
if
icat
ionandpayr
ollc
hanges
.Ther
eisal
so
pr
oduc
tivi
tyl
ossunt
ilt
henewempl
oyeer
eac
hest
heper
for
manc
eleveloft
heonewho
l
eftt
hej
ob(
Ivanc
evi
ch,1998)
.Empl
oyeet
urnoveri
sagai
nas
eri
ouspr
obl
em ofmany

2
or
gani
zat
ionsi
nthewor
ld.I
tist
heheadac
heofmanypr
ivat
eandgover
nment
al
or
gani
zat
ionsi
nEt
hiopi
a.Tur
noveri
sthebi
gges
tcos
tofempl
oyer
sandowner
sofmany
or
gani
zat
ionst
orepl
acet
heexi
templ
oyee.Human r
esour
cemanagerf
aced hi
gh
pr
obl
emi
ntoday’
swor
kingenvi
ronment
.
Anexc
ess
iveempl
oyeet
urnoveri
sundes
irabl
eandver
yexpr
ess
ive(
Edwi
ng,1984)
.The
wi
ll
ingnes
sofempl
oyee t
oleave one or
gani
zat
ion ofanot
herc
reat
esa s
pec
ial
c
hal
lengef
orhumanr
esour
cei
mpl
ement(
Wil
li
am andPaui
s,1989)
.Ac
cor
dingt
o(K.
As
wat
happa,1997)s
epar
ati
onar
epai
nfult
obot
hthepar
tiesands
houl
dther
efor
ebe
admi
nis
ter
edc
aref
ull
y.Theef
fec
toft
urnoverwoul
dbei
nters
pat
ialofoper
ati
on
i
ncl
udi
ngl
ossofs
ales
,oper
ati
onunderc
apac
ityet
c.i
naddi
ti
ont
hec
ompanyl
osest
he
advant
ageofexper
tis
eknowhow&ps
ychol
ogi
caldamagesonr
emai
ningempl
oyeewi
ll
happenandi
ntur
nhasnegat
iveef
fec
tonwor
ker
sper
for
manc
e.I
tispr
ovent
hat
empl
oyeet
urnoveri
soneoft
hemos
tcos
tands
eemi
ngl
yint
rac
tabl
etur
nar
esour
ce
c
hal
lengesc
ont
rac
tingor
gani
zat
ionanal
ysi
soft
hec
ost
sas
soc
iat
edwi
tht
urnoveryi
eld
s
urpr
isi
ngl
y.

Empl
oyeeofWol
kit
eUni
ver
sit
ySpec
ial
izedHos
pit
almayal
sol
ookt
heenvi
ronmentt
hat
wi
lls
ati
sfyt
hei
rneedsmos
tres
ear
cherwor
konf
act
orc
ont
ribut
ingt
oempl
oyeest
urn
overbutt
her
esear
cherf
ocusonef
fec
tofempl
oyeet
urnoveronWol
kit
eUni
ver
sit
y
Spec
ial
izedhos
pit
al.Ther
esear
cherwi
llc
onduc
tthes
tudyi
ntodi
scl
oset
heef
fec
tof
t
urnoverbec
aus
eoft
urnoveri
soneoft
hehi
ndr
anc
esofor
gani
zat
ionalper
for
manc
e
bas
edont
hes
ether
esear
cherhavewi
ll
ingnes
stoi
dent
if
ydi
ff
erentr
elat
edi
ssueof
t
urnoverandal
sobedoc
umentoft
heor
gani
zat
ion.

1.
3.Res
ear
chQues
tion
Ther
esear
chert
riedt
oans
wert
hef
oll
owi
ngr
esear
chques
tions
.

 Whati
sthec
aus
ethatder
ivesempl
oyeest
oleavet
hehos
pit
al?
 Howempl
oyeet
urnoveraf
fec
tthewol
kit
euni
ver
sit
yspec
ial
izedhos
pit
al?
 Whatar
ethec
ost
sofempl
oyeet
urnoveri
nthehos
pit
al?

3
  Whatmet
hod us
est
heWol
kit
eUni
ver
sit
yspec
ial
ized hos
pit
alt
oreduc
e
empl
oyeet
urnover
?

1.
4Obj
ect
iveoft
hes
tudy
1.
4.1Gener
alobj
ect
ive
Themai
nobj
ect
iveoft
hiss
tudyi
stoas
ses
stheef
fec
tofempl
oyeet
urnoveron
or
gani
zat
ionalper
for
manc
einc
aseofwol
kit
espec
ial
izedhos
pit
al.

1.
4.2Spec
ifi
cobj
ect
ives
1.Toas
ses
sthec
aus
ethatder
ivesempl
oyeest
oleavet
hehos
pit
al.
2.Toi
dent
if
ytheef
fec
tofempl
oyeet
urnoveri
ntheWol
kit
eUni
ver
sit
y
Spec
ial
izedHos
pit
al.
3. To as
ses
sthe ac
tualc
ostofempl
oyee t
urnoveri
nthe Wol
kit
e
Uni
ver
sit
ySpec
ial
izedHos
pit
al.
4.Topoi
ntoutt
hemet
hodt
hatus
etor
educ
etur
nover
.

1.
5Si
gni
fi
canc
eoft
hes
tudy
Thi
sst
udywoul
dhavet
hef
oll
owi
ngs
igni
fi
canc
e

I
twoul
dgi
vebet
terunder
standi
ngaboutt
urnoverandi
tsef
fec
ttoempl
oyeesf
orPol
icy
maker
,managementandhos
pit
al.
Asas
tudenti
t’
sagoodoppor
tuni
tyt
odevel
opt
he
exper
ienc
eofc
onduc
tingar
esear
chandwoul
dhaves
igni
fi
canc
etof
ullf
il
li
ngan
ac
ademi
crequi
rementf
ordegr
eei
nmanagementpr
ogr
am.
Itwoul
dpos
sibl
esol
uti
on
t
hathel
pst
hemanagementt
oreduc
etur
nover
.

1.
6Sc
opeoft
hes
tudy
Thes
copeoft
hes
tudywasl
imi
tedt
oef
fec
tofempl
oyeest
urnoverandgeogr
aphi
cal
ly
l
imi
tedt
owol
kit
espec
ial
izedHos
pit
al.Thi
sst
udypar
tic
ular
lyf
ocus
esont
hec
urr
ent
empl
oyeef
orac
compl
ishmentoft
hes
tudy.

4
 1.
7 Li
mit
ati
onoft
hes
tudy

Thes
tudywoul
dsuf
fert
hef
oll
owi
ngl
imi
tat
ionl
ike
 s
omer
espondent
sdi
dnotr
etur
nont
ime
 Mi
sunder
standi
ngofr
espondent
stof
il
ltheques
tionnai
res
 Abs
enc
eofs
omeempl
oyeesdur
ingc
oll
ect
ionofques
tionnai
res
.

1.
8Or
gani
zat
ionoft
hes
tudy
Thi
spaperi
sor
gani
zedi
nfi
vec
hapt
er,Thef
ir
stc
hapt
erdeal
sabouti
ntr
oduc
tiont
hat
i
ncl
ude,Bac
kgr
oundoft
hes
tudy
,St
atementoft
hepr
obl
em,Obj
ect
iveoft
hes
tudy,
Si
gni
fi
canc
eoft
hes
tudyandSc
opeandLi
mit
ati
onoft
hes
tudy.Thes
econdc
hapt
er
c
ont
ainsr
evi
ewofl
it
erat
ure.
Chapt
ert
hreeemphas
izeonmet
hodol
ogyoft
her
esear
ch.
Chapt
erf
ourc
ont
ainsanal
yzeandpr
esent
ati
onofdat
a.Thel
astChapt
erdeal
swi
th
c
onc
lus
ionandr
ecommendat
ionoft
hes
tudy.

5
 CHAPTERTWO

2.REVI
EWOFLI
TERATURE
I
NTRODUCTI
ON
I
nthi
schapt
ert
heor
eti
cal
,empi
ri
calc
onc
eptandc
onc
ept
ualf
ramewor
kar
edi
scus
s

2.
1Theor
eti
calRevi
ew
2.
1.1Conc
eptandDef
ini
ti
onoft
urnover
Empl
oyeet
urnoveri
sther
otat
ionofwor
ker
sar
oundt
hel
abormar
ket
s:bet
weenf
irm.
J
obsandoc
cupat
ions
:andbet
weent
hes
tat
esofempl
oymentandunempl
oyment
(
Abas
si ,
etal2000)
.

The t
erm t
urnoveri
s def
ined by pr
ice(
1977)as
:the r
ati
o oft
he numberof
or
gani
zat
ionalmember
swhohavel
eftdur
ingt
heper
iodbei
ngc
ons
ider
eddi
videdby
t
heaver
agenumberofpeopl
eint
hator
gani
zat
iondur
ingt
heper
iod. Fr
equent
ly,
manager
sref
ert
otur
noverast
heent
irepr
oces
sas
soc
iat
edwi
thf
il
li
ngavac
anc
y:
ei
thereac
hti
meapos
iti
oni
svac
ated,
vol
unt
ari
lyori
nvol
unt
ari
ly;anewempl
oyeemus
t
behi
redandt
rai
ned.Thi
srepl
acementc
ycl
eisknownas“
tur
noverWoods
”,(
1995)
.Thi
s
t
ermi
sal
soof
tenut
il
izedi
nef
for
tst
omeas
urer
elat
ions
hipsofempl
oyeesi
nan
or
gani
zat
ionast
heyl
eave,
regar
dles
sofr
eas
on.

Empl
oyeet
urnoveri
sdef
inedast
hel
ossofempl
oyeesbyt
heor
gani
zat
ioni
trepr
esent
s
t
hos
eempl
oyeewasdepar
tforavar
iet
yofr
eas
on(
Wil
li
amandDavi
s,1985)
.
I
tisa t
ermi
nat
ion ofempl
oymentdur
ing t
he c
alendarmont
h and i
t’
scl
ass
ifi
ed
ac
cor
dingt
ocaus
es,
lay
-of
f,di
schar
gedandot
her(
Pet
erde,
1965).
Tur
noverr
efer
sto"
themovementi
ntoandoutofanor
gani
zat
ionbyt
hewor
kfor
ce
(
Edwi
n,p.
1984)
.
I
ngener
alt
urnoverr
efer
sto"
themovementi
ntoandoutofanor
gani
zat
ionbyt
hewor
k
f
orc
e”(
Edwi
n,p.1984)
.AsI
vanc
evi
ch(
1987)
,iti
sdes
cri
bedas"
exi
tofandent
ranc
eof
empl
oyeet
otheor
gani
zat
ion.Thi
smovementi
sani
ndexoft
hes
tabi
li
tyoft
hatf
orc
e.
"
Anexc
ess
ivemovementi
sundes
irabl
eandexpens
ivewhenanempl
oyeel
eavef
irm.
Suc
hcos
tsar
einc
urr
ed(
Edwi
n,1984)
.

6
2.
1.2Typesofempl
oyeet
urnover
Labort
urnoverhavet
wot
ypest
hos
erel
ati
ngt
ojobs
hif
ti
ngass
uchasandr
elat
ingt
o
t
otalj
obs
epar
ati
on,s
omet
imeswi
thdet
ail
sofvol
unt
aryandi
nvol
unt
aryc
ess
ati
onof
empl
oyee(
Pet
erDewol
ff
.1965)
.

2.
1.2.
1Vol
unt
aryt
urnover
I
tisat
ermi
nat
ionofj
obbyt
heempl
oyeehi
msel
f.Empl
oyeel
eavet
her
ejobvol
unt
ary
when t
hei
rneedsar
e notbei
ng s
taf
fed att
hei
rpr
esentpl
ace ofwor
k and an
al
ter
nat
ivesj
obbec
omeavai
labl
ewhi
cht
heempl
oyeebel
ievewi
lls
ati
sfi
edmor
eof
t
hei
rneeds
(Ivanc
evi
ch.
p,1989)
.

Vol
unt
aryr
esi
gnat
ionsar
ereduc
edbyas
ati
sfyi
ngwor
kenvi
ronment
,hi
ghqual
it
y
s
uper
vis
ionandper
sonaloppor
tuni
tyf
orgr
owt
h(Wi
ll
iamandDavi
s,1985)
.

2.
1.2.
2Invol
unt
aryt
urnover
I
nvol
unt
aryt
urnoveroc
cur
swhenempl
oyer
sfi
reorl
ayof
fwor
ker
s(Haus
kenec
htand
Tr
evor2011;Sel
denandMoyni
han2000;Shawet
al.
1998)
.
Theempl
oyert
hroughs
uchac
tionsasl
ayof
fanddi
smi
ssal
sini
ti
atesi
t.Ther
eas
onsf
or
di
smi
ssal
sinc
ludei
ncompet
enc
e:i
nabi
li
tyt
ogetal
ongwi
thc
owor
ker
;di
shones
tyor
;
negat
iveat
tit
ude,l
ackofmot
ivat
ion;and f
ail
ureofr
efus
alt
ofol
low i
nst
ruc
tions
(
Wer
ther
,1997)
.

2.
1.3.
Caus
esofempl
oyeet
urnover
Thr
eear
edi
ff
erentf
ormsempl
oyeet
urnover
,whi
chc
aus
est
oleavest
heor
gani
zat
ion
wi
thdef
inedonbyoneasf
oll
ows
:-

2.
1.3.
1.Lowc
ompens
ati
on
Compens
ati
oni
swhatempl
oyeesr
ecei
veexc
hangef
ort
hei
rwor
k(Wi
ll
iam andDavi
s,
1985)
.
Compens
ati
on:-i
sthepr
imar
yandt
heonl
ysour
cesofi
ncomef
orempl
oyeesandt
hei
r
f
ami
ly andi
mpor
tantt
odet
ermi
nes
tat
usi
nsoc
ials
yst
em(
maggi
nson,
1981)
.
Lowc
ompens
ati
on:-i
swagesors
alar
iest
hatar
econs
ider
edt
obel
owr
elat
ivet
othe
aver
age l
evelofpayorr
elat
ivet
otheneed
Lac
kofs
uff
ici
entc
ompens
ati
onhasaver
ysi
gni
fi
cantef
fec
tonempl
oyeel
if
est
andar
d

7
l
eadi
ngt
olooki
ngf
orNealj
ob.Asf
arast
heor
gani
zat
ionalc
ompens
ati
oni
sconc
erned
empl
oyeec
ompens
ati
onar
edes
ignedanddot
hreet
hingsac
cor
dingt
o(Edwi
n,p,
1984)
.

1.Toat
trac
tcapabl
eempl
oyeet
otheor
gani
zat
ion
2.Tomot
ivat
ethemt
owar
dss
uperper
for
manc
eand
3.Tor
etai
nthei
rser
vic
esoveranext
endedper
iodoft
ime.

Compens
ati
ons
houl
dbewi
thenought
omot
ivat
eandr
etai
nqual
if
iedwor
ker
sand
opt
imalt
oens
ureenoughmar
gint
otheempl
oyer
.Iti
swi
del
yac
cept
edpr
inc
ipl
est
hat
t
hes
erewar
dss
chemesorc
ompens
ati
onspol
ici
eshavet
obeadequat
e,equi
tabl
e,and
c
ostef
fec
tive,
sec
uredi
ncent
ivepr
ovi
dingandac
cept
abl
etoempl
oyee(
Invoanc
eic
hand
Gl
uec
k,p.
1998)
.

I
tisheadi
lyac
cept
edpr
inc
ipl
ethatc
ompens
ati
onpol
ici
ess
houl
dbet
opaywageshi
gh
enought
omot
ivat
eandr
etai
nqual
if
iedempl
oyeesandats
omet
ime,l
owenought
oin
s
omeadequat
ePr
ofi
ttot
heor
gani
zat
ion.
Anor
gani
zat
ionc
ompens
ati
onpol
icymus
tmet
icul
ous
lydes
ignedandmus
tal
sobe
pr
oper
lymanagedi
fiti
smi
smanagedi
tsef
fec
tsar
efarr
eac
hing.Ac
cor
dingl
y,i
tmay
r
esul
tin hi
gh t
urnoveri
ncr
eas
edabs
ent
eei
sm mor
egr
ievanc
es;s
ear
chf
orhi
gher
payi
ngj
ob;j
obdi
ssat
isf
act
ionpoorpr
oduc
tivi
tyandc
oful
fi
ll
eds
trat
egi
cpl
an(
Wer
ner
andDavi
s;1985)
.

Empl
oyeec
ompens
ati
onhast
wof
orms

1.di
rec
tcompens
ati
on:
-whi
chr
efer
stowagesands
alar
y
2.i
ndi
rec
tcompens
ati
on:
-whi
chi
ncl
udesl
if
eins
uranc
e,heal
thi
nsur
anc
e,
vac
ati
on,pai
dhol
iday,pens
ionandmayal
soc
las
sif
iedasi
ntr
ins
icver
sus
ext
rins
ic,
financ
ialver
susnon-
financ
ial
 Int
rinsi
cc ompensat
ion:-i
stheful
fil
lmentofmot
ivat
ionthatkeepsanemployee
motivatedtowork.Theyar
eint
angibleandcomef
rom wit
hinthepers
ondoi
ngt he
acti
vit
y.

Anexampleofanint
rins
icc
ompens
ati
oni
sanempl
oyeebei
ngi
nvol
vedi
nthe
dec
isi
on-maki
ngpr
ocess.

8
  Ext
rins
icc ompens
ation:- is atangi
ble award gi
ven to an empl
oyee f
or
acc
ompl i
shi
ngsomething.
Theycanbemonetaryornon-monet
ary
Anexampl
eofamonet
aryext
rins
icc
ompens
ati
oni
sanempl
oyee’
ssal
ary.

2.
1.3.
2.I
nadequat
esal
ary
Thepr
oces
sofwagedet
ermi
nat
ioni
soneoft
hemos
tsi
gni
fi
cantr
ecr
uit
ment
,the
r
etent
ion,s
ati
sfac
tion and mot
ivat
ion of empl
oyees and on s
urvi
val of t
he
or
gani
zat
ional(
Frenc
h,1997)
.
Oneoft
hemos
tdi
ff
icul
tfunc
tionsofper
sonnelmanagementi
sthatofdet
ermi
ningr
ate
ofmonet
aryc
ompens
ati
onnotonl
ythes
eital
sooneoft
hemos
tcompl
exdut
iesbuti
tis
al
so one oft
he mos
tsi
gni
fi
cantt
o bot
hthe or
gani
zat
ion and t
he empl
oyee.I
n
es
tabl
ishi
ngs
alar
yforaj
ob(
Wor
k)t
her
ear
emoneyf
act
orst
hatneedt
obec
ons
ider
ed.
Si
gni
fi
cantf
act
orsaf
fec
tings
alar
ydet
ermi
nat
ionar
e(Edwi
n,p,
1984)
.
 Suppl
yanddemandf
orempl
oyees
kil
l
 Laboror
gani
zat
ion
 Thef
irm’
sabi
li
tyt
opaypr
oduc
tivi
tyoft
hef
irm
 Theec
onomy
 Cos
tofl
ivi
ngandgover
nment(
Edwi
n,p,
1984)
.

2.
1.3.
3.Luc
kofbenef
it
Thepr
ovi
si
onsofi
ndi
rec
tcompens
ati
ont
oempl
oyeei
nthef
orm ofheal
thi
nsur
anc
e,
l
if
eins
uranc
e,pens
ionpl
ans
,Paymentf
ort
imenotwor
kedands
oci
alwel
far
e(Heneman,
1998)
.Benef
ithasanef
fec
twhet
herappl
icant
sac
ceptt
hei
rempl
oymentof
feror
whet
hert
heyc
ont
inuei
nthet
heor
yofor
gani
zat
ion.Theabs
enc
eofadequat
ebenef
it
and s
ervi
cesc
ont
ribut
est
o empl
oyee di
ssat
isf
act
ion,i
ncr
eas
ed abs
ent
eei
sm and
t
urnover
.

2.
1.3.
4.Res
ignat
ion
Res
ignat
ioni
sdef
inedast
ermi
nat
ionc
aus
esbyempl
oyeet
hems
elves(
Daver
,1999)
.It
al
sodef
inedasani
nst
anc
ewher
einmanagementagr
eest
hatt
heempl
oyeehast
he
phys
icaloppor
tuni
tyt
ocont
inueempl
oymentwi
tht
heor
gani
zat
ion.

Res
ignat
ionc
anbeunavoi
dabl
eandavoi
dabl
e.

9
  Unavoi
dabl
eres
ignat
ion:
-ar
ecaus
edduet
omar
riage,r
etur
ntos
choolandot
her
per
sonalf
act
orsmos
ttheor
iesoft
urnovermai
ntai
nst
hreatt
oempl
oyeel
eague
t
hei
rjobvol
unt
arywhent
hei
rneedar
enotbei
ngs
ati
sfi
edatt
hei
rpr
esentpl
ace
ofwor
kandanal
ter
nat
ivesj
obbec
omesavai
labl
ewhi
cht
heybel
ievewi
lls
ati
sfy
mor
eoft
hei
rneed(
Invanc
einc
h,1989)
.

 Avoi
dabl
eres
ignat
ion:
-i
ssomet
hing or
gani
zat
ion c
an t
ake c
ert
ains
tepst
o
pr
esenti
t.
I
tisaki
ndoft
urnoverat
tri
but
edt
opr
obl
em wi
thc
ompens
ati
on,pr
omot
ion,
advanc
ementoppor
tuni
ty,s
uper
vis
oryr
elat
ionaland j
ob c
hal
lenge (
Hogan,
1992)
.
I
tisat
ypeofr
esi
gnat
iont
hatc
anbepr
event
ed

2.
1.3.
5.Unbal
anc
ewor
kload
I
tcanbes
eent
hatempl
oyeesofanor
gani
zat
ionwi
ths
imi
larj
obas
signmentand
pos
iti
onwi
llc
arr
youtt
hej
obdi
ff
erent
ly.
Onei
ndi
vidualmaybever
ybus
yint
ermswor
k
vol
umeandhemaywor
ksbeyondi
tspai
dti
me.I
nsuc
hsi
tuat
ionempl
oyeear
est
artt
o
s
tres
sandmayl
ookf
orot
heral
ter
nat
ives
.

2.
1.3.
6.Wor
kingpr
ocedur
es
Theor
gani
zat
ionss
houl
danal
ysi
sandal
tert
hei
rwor
kingpr
ocedur
eandpol
icesi
naway
whi
chwoul
denabl
eempl
oyeet
ous
ethei
rful
lpot
ent
ialandevengai
nsi
gni
fi
cantwor
k
exper
ienc
e.

Ther
ear
emanyc
aseswher
eempl
oyeeshavel
eftor
gani
zat
ionduet
onotpr
ojec
tor
as
signmentwi
thdonotr
equi
ret
hei
rful
lpot
ent
ialempl
oyeeswoul
dcer
tai
nlyl
eavei
t
t
her
e do not get exper
ienc
e and ar
e j
ust pl
aced on benc
h
(
htt
p:/
/www.
Buz
te.
com/
art
icl
es/
caus
esofempl
oyeet
urnoverht
m/)2.
3.7)

2.
1.3.
7Layof
f
Layof
fcanbet
empor
aryorper
manentdependi
ngonvar
iat
ionsi
nmar
ketdemandor
f
irmsgoesofbus
ines
s.I
tisani
nvol
unt
aryt
urnoveri
nvol
vingat
empor
aryori
ndef
ini
te
r
emovalf
romt
hepayr
ollofpeopl
ewi
ths
kil
l(Fr
enc
h,1993)
.
Ac
cor
dingt
osomes
chol
arsl
ayof
fsar
esepar
ati
onofempl
oyeef
ormt
heor
gani
zat
ionf
or

10
ec
onomi
creas
on.
Itmayl
astonl
yaf
ewweeksi
tit
spur
pos
eist
oaj
usti
nvent
oryl
evelor
t
oal
lowt
hef
act
ort
obet
oolf
ornewpr
oduc
t.Wheni
twasc
aus
edbyabus
ines
scyc
le,
t
hel
ayof
fmayl
astmanymont
hsorevenyear
s.Howevert
hel
ayof
fist
her
esul
tofa
r
est
ruc
tur
ingorr
esc
ali
ngofani
ndus
tryt
het
empor
aryl
ayof
fmaybeper
manent
(
Wil
li
amandDavi
s,p,
1985)
Whenc
ompani
esar
etomakel
ayof
faspert
heabovedef
ini
ti
ont
her
eisnos
etf
ormal
it
y
ofc
arr
youtt
hel
ayof
f.
Ac
cor
dingt
o(Edwi
n,1984)c
ompani
eswi
sht
otakeadvant
ageoft
hel
ayof
ftor
etai
nit
s
mos
tabl
eempl
oyeeandl
ett
hemor
emar
ginalonesgo.
Ther
eisac
ont
rover
syamongdi
ff
erents
chol
arsaboutl
ayof
f.Someagr
eeonl
ayof
fis
r
egul
atedt
hroughs
eni
ori
tys
yst
emswhi
leot
her
sadvoc
ater
elat
eitwi
thper
for
manc
e.
St
il
lot
her
sins
istl
ayof
ftobeonval
ueandnat
ureofper
for
manc
e.
Lay
offc
anber
educ
edi
nsomec
ompani
est
hrough

 Car
efulhumanr
esour
cepl
anni
ng
 Reduc
ewor
kweekorpar
tti
mel
ayof
fet
c.
Ac
cor
dingt
othepr
oponent
soft
hes
eni
ori
tyc
rit
eri
aofs
elec
tionempl
oyeet
obef
irs
t
l
ayof
fist
hos
eempl
oyeehavi
ngt
hehi
ghes
tlengt
hofs
ervi
ceandhenc
ear
eloyalar
e
r
etai
nedevenatt
heexpens
eofper
for
manc
e(qual
it
yandquant
ityofwor
k)whi
le
empl
oyeeswhoar
ethel
astt
ojoi
ntheor
gani
zat
ionar
elai
dof
fdes
pit
ethef
actt
hatt
hey
ar
egoodper
for
manc
e.

2.
1.3.
8.Di
smi
ssalofempl
oyee
Per
hapst
hemos
tst
res
sfulanddi
stas
tef
ulmet
hodofs
epar
ati
oni
sthatofdi
schar
ge.
Theempl
oyeei
sdeemedt
obef
undament
all
yuns
ati
sfac
tor
yint
ermsofper
for
manc
e
andat
tit
ude(
Edwi
n,1984)
.Inmos
tcas
esdi
smi
ssals
omet
imesc
all
edi
schar
gesof
empl
oyeesar
erel
atedt
odi
sci
pli
nec
ases
.Inaddi
ti
onuns
ati
sfac
tor
yper
for
manc
eof
empl
oyeedur
ingt
hei
rear
lyt
imeofempl
oymenti
sal
soanot
herc
aus
eofdi
schar
ge.

I
nthewor
dsofK.
Aswat
happdi
smi
ssali
sexpl
ainedas“
wher
ethet
ermi
nat
ion of
empl
oymenti
sini
ti
atedbyt
heempl
oyee.
”Iti
sknownasdi
smal/
dis
char
ge,whi
chi
sa
dr
ast
ics
tepandi
tshoul
dbet
akenaf
terc
aref
ult
hough(
1997)
.

11
Ac
cor
dingt
oK.
Aswat
happaagai
nthepos
sibl
ereas
onsf
orempl
oyeedi
smi
ssalwer
e:

 Exc
ess
iveabs
ent
eei
sm
 Ser
iousmi
sconduc
t
 Fal
ses
tat
ementofqual
if
icat
ionatt
het
imeofempl
oyment
 Thef
tofempl
oyee’
spr
oper
ty.
.

Somet
imesdi
smi
ssali
sbet
terf
orbot
hthewor
kerandt
hec
ompany
.Thi
sgi
vest
he
empl
oyeeac
hanc
etos
eeknewj
obwher
ehi
sorherabi
li
ti
esandt
emper
amentmaybe
mor
eappr
opr
iat
e.

Di
schar
ger
elat
est
oani
nvol
unt
arys
epar
ati
onofempl
oyeef
rom payr
ollf
ori
nadequat
e
per
for
manc
eorf
orvi
olat
ionofc
ompanyr
ules(
Frenc
h,1987)

Thepos
sibl
ereas
onf
orempl
oyeesuns
ati
sfac
tor
ymayi
ncl
udet
echnol
ogi
calc
hanges
,
c
hanges i
nthe or
gani
zat
ion s
truc
tur
e af
fec
ting empl
oyee’
sjob.Or
gani
zat
ional
i
nst
abi
li
tyhasbeens
hownt
ohavehi
ghdegr
eeoft
urnover
.Indi
cat
ionsar
emor
eli
kel
y
t
ost
aywhent
her
eisapr
edi
ctabl
ewor
kenvi
ronmentandvi
cever
sa(
Zuber
,2001)
.

I
nor
gani
zat
ionwher
ether
ewasahi
ghl
evelofi
nef
fi
ci
enc
yther
ewasal
soahi
ghl
evel
s
taf
ftur
nover(
Zuber
,2001)
.Ther
efor
eins
ituat
ionswher
eor
gani
zat
ionsar
enots
tabl
e
empl
oyees t
end t
o qui
tand l
ook f
ors
tabl
e or
gani
zat
ions bec
aus
e wi
ths
tabl
e
or
gani
zat
ionst
heywoul
dbeabl
etopr
edi
ctt
hei
rcar
eeradvanc
ement
.

2.
1.3.
9.RETI
REMENTANDDEATH
Theef
fec
tivenes
sandef
fi
ci
enc
yofempl
oyeewi
llbec
omel
ess
erwhenoneagebec
omes
or
derandor
der
.Henc
eanor
gani
zat
ionhasamaj
orr
espons
ibi
li
tyi
nfac
ili
tat
ingt
he
t
rans
iti
onf
romones
taget
oot
her
.

Ret
irementi
sbot
hvol
unt
aryandf
orc
eds
epar
ati
onofempl
oyee.Oneoft
hekeyi
ssues
ofmoder
nti
mesi
swhet
hert
hedec
isi
oni
sret
ires
houl
dbemadebyt
heor
gani
zat
ionor
bel
eftt
otheempl
oyeec
onc
erned.
Ret
irementi
ssai
dtobevol
unt
arywhenempl
oyeei
s

12
wi
ll
ingt
oret
irebef
orehi
smandat
oryageofr
eti
rementandi
nvol
unt
arywhent
he
empl
oyeei
sfor
cedt
oter
minat
emandat
oryage.

Equal
lyandi
mpor
tant
lydeat
hhasal
soi
tsownc
ont
ribut
ionf
orempl
oyeet
ermi
nat
ion
f
romanor
gani
zat
ion.

I
ngener
alt
her
ear
esomef
act
oryc
ont
ribut
ionst
oempl
oyeet
urnover
.

 Theec
onomyi
nexi
sti
nter
viewoneoft
hemos
tcommonr
eas
on.
 Theper
for
manc
eofoneor
gani
zat
ionper
cei
vedt
obei
ngec
onomi
cdi
ff
icul
ty
wi
llal
sor
ais
ethes
pac
efori
mpendi
ng l
ayof
fwor
ker
s;bel
ievet
hati
s
r
elat
ionalt
oseekot
herempl
oyment
.
 Theor
gani
zat
ionc
ult
uremeanst
hatt
her
ewar
dsys
tem,t
hes
trengt
hof
l
eader
shi
p.Theabi
li
tyoft
heor
gani
zat
iont
oel
ici
tas
ens
eofc
ommi
tmenton
t
hepar
tofwor
ker
s,andi
tsdevel
opmentofs
ens
eofs
har
edgoal
samong
ot
herf
act
or.
 Thec
har
act
eri
sti
cofj
obs
omej
obsar
eint
rins
ical
lymor
eat
trac
tivet
hanot
her
j
ob.J
obat
trac
tivenes
swi
llbeaf
fec
teddanger
,per
cei
ved,i
mpor
tanc
eand
c
apac
ityt
oel
ici
tas
ens
eofac
compl
ishment
.
 Demogr
aphi
c:- t
urnover
s al
so as
soc
iat
ed i
n par
tic
ular s
ituat
ion wi
th
demogr
aphi
candbi
ogr
aphi
calc
har
act
er,
ist
icofwor
ks
 Theper
son:-addi
ctt
het
oeabovef
act
orst
her
ear
eal
sof
act
orsi
nfami
ly
s
ituat
ion.
Ades
iret
olear
nanews
kil
lort
radeoruns
oli
ci
tedj
obaf
ter
.
 Tr
aitbas
ed:-t
hes
etr
ait
sar
esomeoft
hepr
oduc
tivi
tybehavi
ors
uchas
l
oot
ingabs
ent
eei
smt
hef
tsubs
tanc
eont
hej
obands
urr
ogat
eofempl
oyer
’s
equi
pmentorpr
oduc
tion(
Ber
nst
en,
A,andet
al,
1998)
.

2.
1.4.
Eff
ect
sofempl
oyeet
urnover
Thei
mpac
toft
urnoverhasr
ecei
vedc
ons
ider
abl
eat
tent
ionbys
eni
ormanagement
,
humanr
esour
cepr
ofes
sionalandi
ndus
tri
alphys
iol
ogi
sts
.Ithaspr
ovent
obeoneoft
he
mos
tcos
tly and s
eemi
ngl
y i
ntr
act
abl
e human r
esour
ce c
oll
eges c
onf
ront
ing
or
gani
zat
ion.Monet
aryandr
iddenc
ostas
soc
iat
edwi
thempl
oyeel
eaveyouar
eal
soa
c
onc
ernwhenanempl
oyeel
eaveyourbus
ines
s,i
tisc
ostf
oryourf
act
oryi
n(Ber
nst
en

13
andet
al,
1998)
.

Pr
oduc
tivi
ty:-whent
heempl
oyeel
eavest
heor
gani
zat
ionpr
oduc
tivi
tywi
llus
ual
lyt
ake
anddownt
urnbec
aus
eot
herwor
ker
smayhavet
oaddt
hef
ormerempl
oyee’
sdut
iest
o
t
hei
rwor
kload,
atl
eas
ttempor
ary.

Money:-i
naddi
ti
ont
othec
ost
sas
soc
iat
edf
rom yourownerpr
oduc
tivi
tyyoumayhave
t
opayempl
oyeeovert
imet
ogett
hemt
otakeupt
hes
tac
klef
tbyt
hef
ormerempl
oyee
unt
ilar
epl
acementc
anbef
ound.

Ti
me:-notonl
ymanyyoumayal
sodi
str
act
edf
rom yourr
efl
owi
ngdut
iest
ocoverf
ora
f
ormerempl
oyee,youwi
llhavet
ospendt
imeandmoneyonadver
tis
ingi
nter
viewi
ng
andhi
ri
ngar
epl
acementempl
oyeeanddonotf
orgett
het
imet
hatyous
penton
t
rai
ningandhi
ri
ngar
epl
acementempl
oyeeoneyouf
indandher
eanewempl
oyee,
you
wi
lls
til
lexper
ienc
ehangi
ngpr
oduc
tivi
tywhi
let
heempl
oyeewar
nshi
s/hernewj
ob.I
n
ot
herwor
ds,i
tcos
tsyourbus
ines
s.Bus
ines
smoneyever
yti
meonempl
oyeel
eaves
,
bec
aus
eitt
akesevenmor
eres
our
cet
oret
urnt
othes
omel
evelpr
oduc
tivi
tyorl
evelof
per
for
manc
ethatyouhadbef
ore(
Mor
eti
c)Campi
onM.
A,1998,p:25C,
1cooperandI
.T
Robi
nson(
EOS)i
nter
nat
ionalr
evi
ewofi
ndus
tri
alandor
gani
zat
ionalps
ychol
ogy.

Movementofempl
oyeei
sani
ndexoft
hes
tabi
li
tyoft
hatf
orc
e.Anexc
ess
ivemovement
i
sundes
irabl
eandver
yexpens
ive(
Edwi
n,1984)

Thewi
ll
ingnes
sofempl
oyeet
oleaveoneor
gani
zat
ionf
oranot
herc
reat
ess
pec
ial
c
hal
lengesf
orhumanr
esour
cedevel
opment(
Wil
li
amandPavi
s,1989)
.

Ac
cor
dingt
oK.
Aswat
happas
epar
ati
onsar
epai
nfult
obot
hpar
tiesands
houl
dther
efor
e
beadmi
nis
ter
edc
aref
ull
y(1997)
.

2.
1.5.
Cos
tofempl
oyeet
urnover
Tur
noverc
ost
sinc
lude c
ostf
ors
oci
als
ecur
ityand unempl
oymentc
ompens
ati
on,
t
ermi
nalvoc
ati
on,under
uti
li
zedf
aci
li
ti
esunt
ilt
her
epl
acementi
shi
red,empl
oyment
c
ost
ssuc
hasr
ecr
uit
mentexpens
es,
int
ervi
ewt
ime,
tes
tcos
tsc
omput
err
ecor
dcos
tand

14
c
over
ingexpens
es,admi
nis
trat
ionc
ost
sofnot
if
icat
ionandpayr
ollc
hanges
,andl
oss
es
ofpr
oduc
tivi
tyunt
ilt
henewempl
oyeer
eac
hest
heper
for
manc
eleveloft
heonewho
l
eftt
hej
ob(
Invonc
vic
handGl
uec
k,p.
1989)
.

Hi
ghl
abort
urnoverc
anbeexpens
ive,
alt
hought
heac
tualc
ost
sar
edi
ff
icul
ttoes
timat
e.
Togat
esomei
ndi
cat
ionsOr
gani
zat
ionsc
ans
tar
tbyaddi
ng t
hemos
tobvi
ousexpens
es
l
ikeadver
tis
ing,r
ecr
uit
mentandadmi
nis
trat
ivec
ost
stoget
herwi
thc
ostas
soc
iat
ed
wi
thmanagementands
uper
vis
oryt
ime,under
uti
li
zedf
aci
li
tyc
ost
sfi
llr
epl
acementi
s
done,i
nter
view t
ime,t
estc
ost&et
c.t
otalc
ostc
oul
dbever
ylar
geandi
tcanwel
l
c
onvi
ncet
he managementt
o make t
hem payatt
ens
ion on t
he i
ssue i
ncr
eas
ed
expendi
tur
eonr
ecr
uit
mentandt
rai
ningr
epr
esentonl
yas
mal
lpr
opor
tionoft
het
otal
c
ostofl
abort
urnover
.

Hi
ght
urnovermayr
esul
tin:

 Unnec
ess
ari
lyhi
ghs
taf
fi
ngl
evel
sandover
timepayment
s
 Los
tordel
ayedpr
oduc
tion
 I
nter
rupt
iont
othef
lowofwor
k
 I
ncr
eas
ed pr
oduc
tion c
ost
s,s
crap l
evel
sand r
isk ofac
cident
stoi
n
exper
ienc
edwor
ks
 Long-
ter
mwor
ker
sbec
omi
nguns
ett
ledandl
eavi
ng
 Lowmor
aleandr
esul
ti
ngl
owpr
oduc
tivi
ty
 Damaget
otheor
gani
zat
ionsl
ocalr
egul
ati
on.
Thec
ostofempl
oyeet
urnoverdependsonwhet
hermanageri
ntendst
oel
imi
nat
ethe
pos
iti
onalt
orepl
acet
hedepar
tedempl
oyee;byel
imi
nat
ionpos
iti
ont
hec
ompanyc
an
r
educ
ecos
tint
hel
ongr
unands
omec
osti
nvol
vedi
nrepl
ayi
nganempl
oyee(
Gomez
,
1995)
.Thec
ostofempl
oyeet
urnoverc
anbec
ategor
izedi
ntot
woc
ategor
ieswhi
char
e
di
rec
tandi
ndi
rec
tcos
t.

2.
1.5.
1.Di
rec
tcos
tofempl
oyeet
urnover
Di
rec
tcos
tsr
elat
ed wi
tht
urnoverar
e def
ined as “
thos
ecos
tsi
ncur
red i
nthe
empl
oymentf
unc
tionandeas
ilyi
dent
if
iabl
eandt
ypi
cal
lydi
rec
tlyas
soc
iat
edwi
tht
he
r
ecr
uit
mentef
for
t.”Hal
l,1981.

15
Cos
tsofempl
oymentf
allundert
hisc
ategor
yar
eadver
tis
ingagenc
yands
ear
chf
ees
.
I
nter
nal r
efer
ral
, appl
icant expens
es,r
eloc
ati
on expens
es, empl
oyment s
taf
f
c
ompens
ati
on,
rec
rui
ter
sexpr
ess
es.

2.
1.5.
2.I
ndi
rec
tcos
toft
urnover
Ac
cor
dingt
oHal
lCos
tsf
allundert
hisc
ategor
yar
emanagementt
ime,l
eadempl
oyee’
s
t
imet
rai
ningandl
essofl
ear
ningc
urveadvant
age”(
Hal
l,1981)
.Thes
ecos
tsar
emos
t
per
tinentc
ost
stot
urnover
.

Tobei
ngwi
thc
ostofmanagementt
imeper
tai
nst
othees
timat
edc
ostofmanagement
t
imes
pentor
ient
ingnewempl
oyees
.Cos
tofl
eadempl
oyee’
sti
meont
heot
herhand,
it
r
efer
stot
hees
timat
edc
ostoft
imes
pentbyl
eadempl
oyeesi
nor
ient
ingandt
rai
ning
newhi
res
.

Thel
ossofl
ear
ningc
urveadvant
agel
aborpr
oduc
tivi
tyl
oss
esar
etopar
toft
he
undet
ermi
nedc
ost
sofnew empl
oyees
.Ac
cor
dingl
y,i
tisawel
l-knownf
actt
hatf
ew
empl
oyeesar
enots
opr
oduc
tivewhent
heyar
enew.

Tot
heabovel
istofi
ndi
rec
tcos
tsot
heranal
ysi
saddedot
herc
osts
uchasdi
stur
banc
eof
per
for
manc
e,di
stur
banc
eofs
oci
alandc
ommuni
cat
ionpat
ter
ns.Dec
linei
nmor
aleand
s
trat
egi
c oppor
tuni
tyc
ost
s,t
her
ethe c
ostofpos
tponi
ng orc
anc
eli
ng pot
ent
ial
pr
ofi
tabl
event
ures
.

2.
1.6.
Benef
itofempl
oyeet
urnover
Al
though many peopl
esee t
urnovernegat
ivel
y,t
hey have s
ever
albenef
itwhen
t
urnoverr
atesar
etool
ow,f
ew new empl
oyeeshasbehi
redandoppor
tuni
ti
esf
or
pr
omot
ionar
eshar
plyc
urt
ail
ed.
Aper
sis
tent
lyl
owt
ruc
koverr
atemayhaveanegat
ive
ef
fec
tonper
for
manc
eift
hewor
kfor
cebec
omesc
ompl
acentandf
ail
stogener
ate
i
nnovat
ivei
deas
.Ac
ert
ainl
evelofempl
oyeet
urnoveri
sgoodandnec
ess
arypar
tof
doi
ngbus
ines
s,andt
hebenef
it
sofempl
oyeet
urnovert
otheor
gani
zat
ioni
ncl
udet
he
f
oll
owi
ng.

 Laborc
ostar
ereduc
ed
 Poorper
for
manc
eisr
epl
aced

16
  I
nnovat
ioni
sinc
reas
ed
 oppor
tuni
tyf
orgr
eat
erdi
ver
sit
yisenhanc
ed
 Empl
oysmayr
ecei
ves
omepot
ent
ialbenef
it
sfr
omt
urnovert
oo.

Ani
ndi
vidualmayes
capef
rom anunpl
eas
antwor
ksi
tuat
ionandevent
ualf
indone
s
ati
sfac
tion(
Enc
ycl
opedi
aofBus
ines
s,( 2ndedi
2011) ti
on)

Somebenef
it
sofempl
oyeet
urnoverar
eexpl
ainedbel
ow.

2.
1.6.
1.Reduc
edl
aborc
ost
s
Anor
gani
zat
ionc
anr
educ
eit
stot
all
aborc
ost
sbyr
educ
ingt
hes
izeofi
tswor
kfor
ce.
Al
thought
urnoverc
ost
sinl
ayof
fcanbec
ons
ider
abl
e,t
hes
alar
ysavi
ngr
esul
ti
ngf
rom
t
heel
evat
ionofs
omej
obsc
aneas
ilyout
wei
ght
het
urnoverpayandot
herexpendi
tur
es
as
soc
iat
edwi
tht
hel
ayof
f.

2.
1.6.
2.Repl
acementofpoorper
for
mer
Ani
ntegr
alpar
tofmanagementi
sident
if
yingpoorper
for
manc
esandhel
pingt
hem
i
mpr
ovet
hei
rper
for
manc
eitc
anempl
oyeesdoesnotr
espondt
ocoac
hingorf
eedbac
k,
i
tmaybebes
ttot
ermi
nat
inghi
m orhers
othatanewempl
oyeesc
anbebr
oughti
nthe
s
epar
ati
on ofpoorper
for
manc
ecr
eat
ed oppor
tuni
ti
est
o hi
re empl
oyee f
orhi
gh
per
for
mingi
nthei
rpl
ace.

2.
1.6.
3.I
ncr
eas
edi
nnovat
ion
Tur
noverc
reat
esoppor
tuni
tyt
ohi
reempl
oyeesf
orper
for
mingi
ndi
vidual
.Theyal
so
openupent
ryl
evelpos
iti
onsasempl
oyeesar
epr
omot
edf
rom wi
thi
nani
mpor
tant
s
our
ceofi
nnovat
ioni
ncompani
esi
snewpeopl
ehi
redf
rom t
heout
sidewhoc
anof
fera
f
res
hper
spec
tives
uchi
ndi
vidual
smaybeent
ryl
evelc
oll
egegr
aduat
esar
medor
engi
neerhi
redf
roml
eadi
ngr
esear
cheduc
ati
on.

2.
1.6.
4.Theoppor
tuni
tyf
orgr
eat
erdi
ver
sit
y
Tur
noverc
reat
esoppor
tuni
tyt
ohi
reempl
oyeesf
rom di
ver
sebac
kgr
oundsandt
o
r
edi
str
ibut
ethec
ult
uralandgenderc
ompens
ati
onoft
hewor
kfor
ce.
Inc
reas
ingi
tswor
k
f
orc
edi
ver
sit
yal
lowsanor
gani
zat
iont
otakeadvant
ageofadver
sewor
kfor
ce(
Gomez
,

17
Mej
iW:R,
1995)
.

2.
1.7.
Meas
uri
ngempl
oyeet
urnover
Toc
alc
ulat
eempl
oyeet
urnoverr
atewi
thi
n ayear
:-di
videt
het
otalnumberof
empl
oyeewhol
eavesi
nles
sthanoneyearbyt
het
otalnumberofempl
oyeeswhol
eave
i
nthes
ameper
iod

Her
e’swhatt
hef
ormul
alooksl
ike

Fi
rst year t
urnover r
ate
Numberofempl
oyeewholeaveaft
erlesst
hanoneyearofempl
oyment
×100
Numberofs
eparat
ionsduri
ngthesameperi
od

Toc
alc
ulat
eempl
oyeet
urnoverr
atebymont
h:-di
videdt
henumberofempl
oyees
s
epar
atei
nonemont
hbyt
heaver
agenumberofac
tiveempl
oyeesatt
hewor
ksi
te
dur
ingt
hes
ameper
iod.

Numberofsepar
ati
onsduringthemont
h
Mont
hlyt
urnoverr
ate= ×100
Aver
agenumberofemployeesduri
ngthemont
h

Wher
e:

Anempl
oyees
epar
atedi
ncl
udesvol
unt
aryandi
nvol
unt
arys
epar
ati
on.

Theaver
agenumberofempl
oyees;-istheaver
agenumberofempl oyeesemployed
overaspeci
fi
edti
meper i
od. (
EmployeeTurnoverRate
Learn How t o Cal culate Tur nover Rat es
(cor
porat
efi
nanc
eins
tit
ute.
c om)

Ex
ampl
e:-l
et’
ssaywel
osef
ourempl
oyeesoutof200i
nthemont
hofJ
anuar
y

4
Mont
hlyt
urnoverr
ate= ×100=0.
02
200

I
tindi
cat
est
hatf
rom t
otalempl
oyeeof200,2empl
oyeesar
eleavedt
heor
gani
zat
ion
mont
hly(
htt
p:/
/ bl
ogs
.Pay s
cal
e.Com/
compens
ati
on/
2010/
02/
how t
o-c
alc
ulat
e-
empl
oyee-
tur
nover.
htm/
)

18
2.
1.8St
rat
egi
esf
orr
educ
ingempl
oyeet
urnover
Empl
oyeet
urnoveri
scos
tlyanddi
srupt
ivet
oanyor
gani
zat
ionwhi
lenobus
ines
scanr
eal
ist
ical
ly
expec
ttoz
eroempl
oyeeat
tri
but
ion,
ther
ear
est
rat
egi
esf
orc
ompanyc
ani
mpl
ementt
oret
aint
he
bes
templ
oyeesandr
educ
ethel
ivel
ihoodofyourempl
oyeesj
oini
ngt
hepr
over
bialr
evol
vingdoor
.

2.
1.8.
1Hi
rer
ights
trat
egy
Muc
hli
keadi
vor
cet
hebes
tti
met
oavoi
dtur
noveri
sbef
oreengagement
.Us
eanempl
oyees
urvey
des
ignedt
ohel
pac
cur
atel
yident
if
yski
llgapsandwor
kloads
,andi
mpl
ementyourr
ecr
uit
ment
pl
ans
.Ac
cor
dingl
y,s
omeoft
hec
omponent
sofhi
ri
ngr
ighti
ncl
ude

 Behavi
orbas
edt
est
ing

 Compet
enc
ysc
reeni
ng

 Bac
kgr
oundc
hec
king

 Or
gani
zat
ionalf
it

 Capac
ityf
orl
ear
ning

 Mot
ivat
ion

 Fut
uregoal
s

Youneedt
odi
scoverwhet
hert
heempl
oyeehast
her
ights
kil
ls,c
ompet
enc
y,and
c
har
act
erar
etheyar
egoodf
itf
oryouror
gani
zat
ionandc
ult
ure?Dot
heyhavea
s
uff
ici
entdegr
eeofmot
ivat
ingdot
heyhaveac
apac
ityt
okeepl
ear
ningi
nther
ole?
Whatar
ethes
elong-
ter
mcar
eergoal
s?

2.
1.8.
2Des
ignt
hebes
tcompens
ati
onpac
kages
trat
egy
Tai
lorc
ompens
ati
onpac
kagesi
ndi
vidual
lywher
epos
sibl
e(es
pec
ial
lyf
orl
inemanager
andexec
uti
vepos
iti
ons
,andr
evi
ew atl
eas
tannual
ly,keepupt
odat
ewi
thmar
ket
s
alar
yrat
esormakes
uret
hehumanr
esour
cedepar
tmenti
supt
ospeed.
Nots
urpr
isi
ng

19
t
her
eisac
learr
elat
ions
hipbet
weenbenef
it
sandt
urnoverr
ates
.

Ens
uret
hatyoupr
ovi
des
tandar
dindus
trybenef
it
,suc
hasdi
sabi
li
tyi
nsur
anc
e,f
eas
ibl
e
hour
s,orl
if
eins
uranc
ewher
eappr
opr
iat
eal
waysbeopent
onegot
iat
ionwi
thval
uabl
e
empl
oyeeandt
iepayt
oper
for
manc
e.

2.
1.8.
3Ef
fec
tivec
ommuni
cat
ionandmor
als
trat
egy
Ast
heownerormanager
,yous
ett
het
onef
orempl
oyeemor
ale.
Don'
tsetupr
epet
iti
ve
meet
ingsunl
esst
heyar
etr
ulypr
oduc
tiveandyouar
eopent
osugges
tionsf
rom your
empl
oyeesf
ormaxi
mum empl
oyeeengageens
uret
hatc
ommuni
cat
ioni
snotaoneway
c
ycl
einyourc
ompanymor
eanef
fec
ttol
ist
ent
ofeedbac
kthr
oughanempl
oyee
s
ati
sfac
tion s
urvey and be r
eady t
o ac
ton t
he f
eedbac
k you r
ecei
ve.Empl
oyee
engagementc
anbeal
ong-
ter
mgoalandnotnec
ess
aryac
hievedover
night
.

2.
1.8.
4Char
gedevel
opmentandt
rai
ning
Pr
ovi
depl
ent
yoft
rai
ningoppor
tuni
ti
est
okeepempl
oyeesi
nter
est
edandi
nli
newi
th
pr
ofes
sionalenvel
opments
tandar
dsi
nthemar
ket
.Al
lowf
ormul
ti
pler
olesoral
loc
ate
di
ff
erentt
askst
oenc
our
agevar
iet
yandmot
ivat
ion.Setgoal
sforempl
oyeesori
nvol
ve
t
hem bys
ett
ingdown.Wi
tht
hem &as
kingt
hem aboutt
hei
rfut
ureas
pir
ati
onswi
thi
n
t
heor
gani
zat
ion.Bas
epr
omot
ionsonyourempl
oyee’
sper
for
manc
eandc
ult
ivat
ea
per
cept
ionoff
air
nes
sinc
areerpr
ogr
ess
ion.I
fther
ear
eappl
eoppor
tuni
ti
esf
orgr
owt
h
&c
areerpr
ogr
ess
ioni
nyouror
gani
zat
ionandyouhavedemons
trat
edt
oempl
oyeest
hat
t
heyhavel
ongt
ermpr
ojec
tion,
thenyourempl
oyeeswi
llbemor
eli
kel
ytos
tayon.

2.
1.8.
5Pr
ovi
deagr
eatenvi
ronments
trat
egy
Pr
ovi
deanat
trac
tive,heal
thyands
afewor
kenvi
ronmentf
oryourempl
oyees
.Make
s
uref
urni
tur
eandequi
pmentobs
erveoc
cupat
ionalheal
thands
afet
yrequi
rement
sand
s
etupameni
ti
esandr
ests
pac
eswher
eempl
oyeesc
ant
aket
imeout
.Makeyourof
fi
cea
pl
eas
antpl
acet
obe.

2.
1.8.
6Cul
tur
eandr
espec
tst
rat
egy
Looki
ngbeyondt
hephys
icalwor
kenvi
ronmentt
ofewert
angi
blef
act
orss
uch as

20
or
gani
zat
ionalc
ult
ure,
manager
sandowner
sshoul
dcul
ti
vat
eac
ult
ureofr
espec
t,t
eam
wor
k,andmut
ualc
oll
abor
ati
on.Enc
our
agi
ngheal
thyc
ompet
iti
onbet
weenempl
oyees
mayhel
pwi
thmor
alandmot
ivat
ion.
However
,thi
sshoul
dnotbedoneatt
heexpens
eof
as
uppor
tiveor
gani
zat
ionalc
ult
ure.Li
nemanager
sshoul
dbet
rai
nedt
oval
ueand
enc
our
age c
ult
ure and r
espec
tful
lnes
s.(
Blog .
Coi
group c
om /
str
ategi
esr
educ
ing
empl
oyeet
urn)
.

2.
2Empi
ri
calr
evi
ew
Thi
spar
toft
hel
it
erat
urer
evi
ew i
sdes
ignedt
opr
esentdi
ff
erentr
esear
chesand
empi
ri
cals
tudi
est
hathavei
nves
tigat
ed

Rut
hNyaga(
2015)
,MtKenyaUni
ver
sit
ydi
dthes
amer
esear
chonempl
oyeet
urnoveron
or
gani
zat
ionalper
for
manc
eandanal
yzedt
hatempl
oyeet
urnoverhadanegat
iveef
fec
t
onor
gani
zat
ionalpr
oduc
tivi
tys
heal
sos
tat
ethec
aus
esofempl
oyeet
urnovert
hat
i
ncl
udedl
ackofempl
oyeer
etent
ions
trat
egi
es,l
owl
evelofempl
oyeemot
ivat
ion,l
ack
ofc
areerdevel
opmentandpoorwor
kingenvi
ronment
.Hers
tudyr
ecommendedt
hat
t
heor
gani
zat
ionhumanr
esour
cemanagements
houl
dempl
oys
trat
egi
cst
rat
egi
ess
uch
usi
ncr
eas
eds
alar
yandr
emuner
ati
on,pr
ovi
dingr
ecogni
ti
onandi
ndi
vidualgr
owt
h
oppor
tuni
ti
es,s
he al
so f
inal
ized t
hat t
he management s
houl
d pr
ovi
de open
c
ommuni
cat
ion,of
ferempl
oyeer
ewar
dpr
ogr
am,of
ferr
ecr
eat
ionf
aci
li
ti
esaswel
las
var
iousgi
ft
s.

Dr
.Adr
ianI
qbal(
2017)
,Kenyat
taUni
ver
sit
ydi
dthes
ames
tudyofempl
oyeet
urnover
onor
gani
zat
ionalper
for
manc
eandanal
yzedt
hatt
hedegr
eeofc
ommi
tmentandl
oyal
ty
c
anbeac
hievedi
ftheor
gani
zat
ionenr
ichont
hej
obs
,empower
sandc
ompens
ate
empl
oyeespr
oper
ly.I
nor
derf
orempl
oyeest
ost
ayi
ntheor
gani
zat
iont
hathavehi
red
t
hem t
hent
heyneedt
owor
kef
fec
tivel
ywi
tht
hei
rmanager
s.I
fther
e19manager
s
c
ons
idert
hem poorempl
oyeest
hent
heyar
eunl
ikel
ytogetpas
tpr
obat
ionper
iod.I
f
t
heydo,t
heyar
eli
kel
ytof
eelt
hatt
heyar
egoi
ngnowher
eint
heor
gani
zat
ionand
pr
obabl
yleaveaf
terf
ewyear
sbec
aus
etheybel
ievet
heyhavenof
utur
ether
e.

Lej
arasPaulLemi
na(
2014)
,Nai
robiUni
ver
sit
ydi
dthes
ames
tudyofempl
oyeet
urnover
onper
for
manc
eoft
heor
gani
zat
ionandanal
yzedt
hatempl
oyeet
urnoveraf
fec
tst
he

21
gener
alper
for
manc
e oft
he or
gani
zat
ion,he c
ont
inue t
ost
atet
hatt
her
eisa
r
elat
ions
hipbet
weenempl
oyeet
urnoverandr
ecr
uit
mentc
ostpr
ovedt
obenegat
iveon
or
gani
zat
ion per
for
manc
eand f
inal
lyt
her
ewasar
elat
ions
hip bet
ween empl
oyee
t
urnoverandempl
oyeemor
ale.Het
her
efor
est
atedt
hatempl
oyeet
urnoverowi
ngt
o
t
hef
actt
hati
twi
lls
avet
heor
gani
zat
ionont
het
imeandmoneys
pentonr
ecr
uit
ingand
t
rai
ning ofnew empl
oyee henc
ethi
swi
llgi
ve t
he managementhumbl
eti
me t
o
c
onc
ent
rat
eont
hec
orebus
ines
soft
heent
ity.
(224836806.
pdf(
cor
e.ac
.uk)

2.
3Conc
ept
ualf
ramewor
k
Conc
ept
ual f
ramewor
k i
s expl
aini
ng var
iabl
e whi
ch i
nfl
uenc
e or
gani
zat
ional
per
for
manc
e.Ther
ear
etwovar
iabl
esdependentandi
ndependentvar
iabl
e.Dependent
var
iabl
eisor
gani
zat
ionalper
for
manc
e.I
ndependentvar
iabl
esar
evol
unt
aryt
urnover
,
wor
kingpr
ocedur
es,
invol
unt
aryt
urnover
,compens
ati
ons
yst
emandbenef
its
yst
em.

Fi
gur
e1c
onc
ept
ualf
ramewor
k

Independent Dependent
variabl
e var
iabl
e

 Wor kingproc edure

 I
nvol untaryt ur
nover Organi
zat
ional
 Compens ationsyst
em perf
ormance
 Benef i
tsystem
 Volunt ar
yt urnover

SOURCE,
OWN

22
 CHAPTERTHREE

3.METHDOLOGYOFTHESTUDY

3.
1Int
roduc
tion
I
nthi
schapt
ert
her
esear
chmet
hodol
ogywhi
chwoul
dbeus
edf
ort
hiss
tudyar
e
di
scus
sed.Topi
csofc
over
agei
nthi
schapt
eri
ncl
uder
esear
chdes
ign,s
tudypopul
ati
on,
s
ampl
ingdes
ign,dat
acol
lec
tionmet
hod,dat
aanal
ysi
smet
hodar
einc
ludi
ng.Res
ear
ch
met
hodol
ogy i
sa way t
osys
temat
ical
lys
olve t
he r
esear
ch pr
obl
em aswel
las
under
stoodasas
cienc
eofs
tudyi
nghowr
esear
chi
sdones
cient
if
ical
ly(
Kot
har
ie,
2004)
.
Res
ear
chmet
hodsmaybeunder
stoodasal
lthos
emet
hods
/tec
hni
quest
hatar
eus
ed
f
orc
onduc
tingofr
esear
ch.

3.
1Res
ear
chdes
ign
Ther
esear
chwasus
eddes
cri
pti
ves
tudyi
nor
dert
oas
ses
stheef
fec
tofempl
oyee
t
urnover
.Bec
aus
e des
cri
pti
ve s
tudy c
onc
ern wi
th ar
rangi
ng s
ummar
izi
ng and
pr
esent
ingnumer
icaldat
aint
hef
orm oft
abl
ethatt
her
eaderc
anunder
standeas
ily.
Ther
esear
cherwasus
ecr
oss
-sec
tionaldes
cri
pti
ver
esear
chdes
ignwhi
chi
nvol
vesonl
y
onec
ont
actwi
tht
hes
tudypopul
ati
ons
.Itwasc
onduc
tedf
ort
hepur
pos
eofas
ses
sing
t
heef
fec
tofempl
oyeet
urnoveri
nWol
kit
eUni
ver
sit
yspec
ial
izedHos
pit
al.

3.
2St
udyPopul
ati
on
Tot
alpopul
ati
oni
sthet
otalnumberofempl
oyeesonwhi
cht
her
esear
cherwant
sto
c
onduc
tthi
sres
ear
ch.
Thepopul
ati
onoft
hiss
tudy,
asor
gani
zat
ion,
isWol
kit
eUni
ver
sit
y
Spec
ial
izedhos
pit
al,andt
hepopul
ati
onsoft
hiss
tudyar
eal
lper
manentempl
oyeesof
t
hehos
pit
al.Thet
argetpopul
ati
onf
ort
hes
tudyc
ons
ist
edof223c
lini
cals
taf
fand203
admi
nst
afft
otalof426per
manentempl
oyeeswor
kingi
nthehos
pit
al

23
3.
3 Sampl
ingDes
ign
3.
3.1Sampl
ings
izeDet
ermi
nat
ion
Bas
edon Yamane(
1967)s
ampl
esi
zedet
ermi
nat
ion f
ormul
a,f
rom at
otalof426
per
manentempl
oyee oft
he hos
pit
alt
he c
alc
ulat
esampl
esi
zei
s206,at95 %
c
onf
idenc
eleveland0.
05pr
eci
si
onl
evel
s.

Thef
ormul
abel
owwoul
dbeus
edt
odet
ermi
net
hes
ampl
esi
ze:

Wher
e

n=s
ampl
esi
ze

e=mar
ginofer
ror

N=t
otalpopul
ati
ons

Ther
efor
e,t
her
esear
cherwoul
dus
e206asas
ampl
efr
om t
het
otalpopul
ati
onof426.
Cur
rentempl
oyeesofent
rieswi
th95% c
onf
idenc
eleveland5% of mar
ginofer
ror
meanst
hatt
her
esear
cherhas95% c
onf
idenc
ethatt
hef
indi
ngsoft
hiss
tudywoul
dbe
i
nthei
nter
nalof5% er
rorf
romt
het
rueval
ueoft
hepopul
ati
on.

3.
3.2Sampl
ingTec
hni
que
Seker
an(
2001)def
inesas
ampl
easapor
tionoft
hepopul
ati
ont
hathasat
tri
but
esast
he
ent
irepopul
ati
on.I
nthi
sst
udy,t
her
esear
cherwoul
dus
esi
mpl
erandom s
ampl
ing
bec
aus
eeac
hmemberoft
hepopul
ati
onunders
tudywoul
dhaveequalc
hanc
eofbei
ng
s
elec
ted.Thi
stec
hni
quei
nvol
vess
elec
tingatr
andom f
rom al
lli
stoft
hepopul
ati
on
(
sampl
efr
ame)t
her
equi
rednumberofs
ubj
ect
sfort
hes
ampl
e

24
3.
4Met
hodsofDat
aCol
lec
tion
Ther
esear
cherwoul
dbeus
edbot
hpr
imar
yands
econdar
ysour
cesofdat
a.Thepr
imar
y
s
our
cewoul
dbec
oll
ect
edbydi
str
ibut
ingques
tionnai
ret
otheempl
oyeesoft
hehos
pit
al
t
hati
ncl
udesbot
hopenendedques
tion(
thi
sques
tionnai
ref
rom eac
hres
pondentc
an
gaveaper
sonalr
espons
eoropi
nioni
nhi
sorherownwor
ds)andc
los
edendedques
tion
(
thatgave t
he r
espondent
’s ans
wers
elec
ted f
rom a numberofpr
edet
ermi
ned
al
ter
nat
ives
)andi
nter
view.I
twoul
dver
yconveni
entf
orc
oll
ect
ingf
act
ualdat
aandi
s
us
ual
lyeas
ytoanal
ysi
s.Thes
econdar
ysour
cesofdat
ainc
ludebooks
,int
ernetand
r
ecor
dfi
les
,ot
herpubl
ishedandunpubl
isheddoc
ument
s.

3.
5 Dat
aAnal
ysi
sandPr
esent
ati
onMet
hods
3.
5.1Res
ear
chAppr
oac
h
Ther
esear
cherwoul
dus
ebot
hquant
itat
iveandqual
it
ati
vemet
hodst
oanal
yzedat
a.
Ther
esear
cherwoul
dus
equal
it
ati
vemet
hodt
oanal
yzet
heopi
nionandr
espons
eof
empl
oyeesi
nthef
orm ofnar
rat
ionandquant
itat
ivemet
hodal
sous
etoanal
yzet
he
dat
aint
hef
orm oft
abul
ati
on,per
cent
ageandf
requenc
y;t
hishel
pst
ounder
standand
i
nter
preteas
ily
.Themet
hodofpr
esent
ingdat
ather
esear
cherwasus
eist
abl
ebec
aus
e
ofi
tss
impl
etounder
standandappr
opr
iat
eforc
ompar
ison.

25
 CHAPTERFOUR

DATAANALYSI
SANDI
NTERPRETATI
ON
Thi
schapt
eri
sdevel
opedt
oanal
yzet
hedat
agat
her
edt
hroughques
tionnai
resf
rom
empl
oyeeofHos
pit
alwi
thr
egar
dtoef
fec
tofempl
oyeet
urnover
.TwoHundr
edSi
x
ques
tionnai
reswer
edi
str
ibut
edr
andoml
yto206empl
oyeesoft
hehos
pit
al.Outoft
he
di
str
ibut
edques
tionnai
res196(
95%)wer
eappr
opr
iat
elyf
il
ledandc
oll
ect
ed.
Ther
estof
10(
5%)wer
enotappr
opr
iat
elyf
il
ledbyt
her
espondent
s.Thec
oll
ect
eddat
aar
ebr
ief
ly
anal
yzedandi
nter
pret
edus
ingt
abl
eandper
cent
agesi
nthef
oll
owi
ngs
ect
ion.

TABLE4.
1PERSONALPROFI
LESOFSAMPLERESPONDENTSBYSEX,
AGE,
MARI
TALSTATUSAND
EDUCATI
ONLEVEL
Number I
tem Respondent
Frequenc
y Percent
age
Mal
e 100 51%
1 Sex
Femal
e 96 49%

Tot
al 196 100%

2 Age
18-
30 104 53%

31-
45 91 46%

45andabove 1 0.
51%
Tot
al 196 100%
3 Educat
ional Cert
if
icat
e 48 25
level
Dipl
oma 43 22

Degr
ee 65 33

Masterand 40 20
above

Tot
al 196 100%

26
Sour
ces
:ownsurvey,
2023
4 Res
pondent
Marit
al Marr
ied Fr
equenc
y perc
ent
age
St
atus
Si
ngle 60 31%

Mar
ried 53 27%

Wi
dowed 42 21%

Di
vor
ced 41 21%

Tot
al 196 100%
Sour
ces
:owns
urvey,
2023

Bas
edont
her
espons
eobt
ained,ass
howni
ntabl
e4.
1,i
tem 1s
howst
hat100(
51%)of
t
her
espondent
swer
emal
eempl
oyeeand96(
49%)oft
her
espondent
swer
efemal
e
empl
oyees
.Thi
simpl
iest
hatmos
toft
her
espondent
sar
emal
eempl
oyeest
hes
emeans
t
hatmal
epar
tic
ipat
ioni
sgr
eat
ert
hant
hatoff
emal
e.

Regar
dingt
hei
raget
her
espondentar
ecat
egor
izedi
nto3agegr
oupAc
cor
dingl
y,
104(
53%)oft
her
espondent
sfai
lswi
thi
ntheager
angebet
ween18-
30year
s,91(
46%)
oft
her
espondent
sli
edi
n31-
44year
sandt
her
est1(
0.05%)oft
her
espondent
sli
ed
above45year
s.Onec
aneas
ilyunder
standt
hatt
hewor
kfor
cepopul
ati
oni
sdomi
nat
ed
byt
heagegr
oupbet
ween18-
30year
s.

I
nthes
amet
abl
eit
em 4s
howst
hat60(
31%)oft
her
espondent
sres
pondedt
hats
ingl
e,
53(
27%)oft
her
espondent
srepl
iedt
hatmar
ried,42(
21%)oft
her
espondentr
epl
ied
t
hatwi
ndowed,
ther
estof41(
21%)r
espondent
srepl
iedt
hatdi
vor
ced.
Thi
simpl
iest
hat
mos
toft
her
espondent
sar
esi
ngl
e.

I
nthes
amet
abl
eit
em 3s
howst
hat48(
25%)oft
her
espondent
ssai
dthatt
heyhad
c
ert
if
icat
e,43(
22%)oft
her
espondent
srepl
iedt
hatt
heyhaddi
ploma,65(
33%)oft
he
r
espondent
srepl
iedt
hatt
heyhaddegr
eet
her
estof40(
20%)r
espondent
srepl
iedt
hat
t
heyhad mas
terand above.Thi
simpl
iest
hatt
he hos
pit
alhol
dsmor
e educ
ated
per
sonnel
.

Tabl
e4.
2aboutc
urr
entwor
k

27
Number I
tem Res
pondent

Fr
equenc
y Per
cent
ages

1 Areyouhappyi
nyourc
urr
ent
work

Yes 93 47%

No 103 53%
Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asi
tisi
ndi
cat
edf
rom abovet
abl
e4.
2it
em 1,t
het
abl
edes
ignedt
oshow whet
her
empl
oyeesar
ehappyi
ncur
rentwor
kornotandt
her
eas
onf
ort
his
,ass
howni
nthe
t
abl
eabovei
tem1,
outoft
het
otal196r
espondent
s93(
47%)oft
hem r
epl
iedt
hatt
hey
ar
ehappyi
nthei
rcur
rentwor
k.Ther
emai
ning103(
53%)oft
her
espondent
sres
ponded
t
hatt
heyar
enothappyi
nthei
rcur
rentwor
k.

Ther
eas
onf
or103(
53%)oft
her
espondentnothappyi
nthei
rcur
rentwor
kbec
aus
eof
t
her
eis no f
avor
abl
econdi
ti
on means t
hat management i
s not s
ati
sfac
tor
y;
envi
ronmenti
snotc
onduc
ive,hi
ghwor
kloud,t
hec
ompens
ati
oni
slow.TheRemai
ning
Meanst
hat93(
47%)oft
her
espondenthappyi
nthei
rcur
rentwor
kres
pondedt
hat
bec
aus
eofl
ovet
hei
rpr
ofes
sionals
kil
l,bec
aus
eofc
urr
entwor
kleadi
ngt
her
efami
ly.

Fr
om t
hisonec
anunder
standt
hatmaj
ori
tyempl
oyeeofwol
kit
euni
ver
sit
yspec
ial
ized
hos
pit
alar
enots
ati
sfi
esi
ncur
rentwor
kduet
other
eas
ons
tat
edaboveandt
hel
ike.

28
Tabl
e4.
3empl
oyeet
urnoveri
ntheor
gani
zat
ion

Number I
tem Res
pondent

Fr
equenc
y Per
cent
ages

1 Isther
eempl oyeest
urnoveri
n
yourorgani
zation

Yes 126 64%

No 70 36%

Tot
al 196 100%

2 I
fyouranswerini
tem1,i
syes
whattypeoft
urnover

Vol
unt
ary 111 57%

I
nvol
unt
ary 85 43%

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

I
nthef
irs
tit
em oft
abl
e4.
3above,126(
64%)r
espondent
sres
pondedt
hatt
her
eis
empl
oyee’
stur
noveri
nthei
ror
gani
zat
ion and 70 (
36%)oft
he r
espondental
so
r
espondedt
hatt
her
eisnoempl
oyeest
urnoveri
nthehos
pit
al.For
mthes
eonec
an
eas
ilyunder
standt
her
eishi
ghempl
oyeet
urnoveri
nHos
pit
al.

I
tem t
wooft
hes
amet
abl
eindi
cat
est
hatf
rom t
otalr
espondent
sof126i
nit
em 1,who
s
ayyest
her
eisempl
oyeet
urnoveri
nthei
ror
gani
zat
ion,111(
57%)oft
her
espondent
s
r
espondedt
hatt
hist
urnoveri
svol
unt
aryt
urnoverand85(
43%)oft
her
espondent
s
r
espondedt
hati
tisi
nvol
unt
aryt
urnoveri
nthehos
pit
al.

29
TABLE4.
4CAUSESFOREMPLOYEESTOLEAVETHEORGANI
ZATI
ON
It
em Res
pondent
Number
Frequenc
y Per
cent
ages

1 Whatdoyouthinkthecaus
efor
empl
oyeestoleavethehospi
tal

Wor
kingc
ondi
ti
onpr
ocedur
e 43 22%

Advanc
eandpr
omot
ion 12 6.
1%

Compens
ati
on 38 19%

Sal
arys
cal
e 67 34%

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Ass
howni
ntheabovet
abl
e4.
443(
22%)r
espondent
sres
pondedt
hatwor
kingc
ondi
ti
on
pr
ocedur
es,12(
6.1%)r
espondent
sres
pondentt
hatadvanc
eandpr
omot
ion,38(
19%)
r
espondent
sres
pondedt
hatc
ompens
ati
on,
67(
34%)r
espondent
sres
pondedt
hats
alar
y
s
cal
e.

TABLE4.
5EFFECTOFEMPLOYEETURNOVERONTHEHOSPI
TAL

I
tem Res
pondent
Number
Fr
equenc
y Per
cent
ages
1 Doesemployeet
urnoverhave
ef
fectont
hehospital
?

Yes 127 65%

No 69 35%

Tot
al 196 100%

30
2 WhatI
stheef
fec
tof
empl
oyeet
urnover
?

pr
oduc
tivi
ty 98 50%

Money 45 23%

Ti
me 53 27%

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asi
ndi
cat
edi
ntheabovet
abl
e4.
5it
em1,
outoft
het
otal196r
espondent
s,127(
65%)of
t
her
espondent
sres
pondedt
hatempl
oyeet
urnoverhasef
fec
tofont
heor
gani
zat
ion,
69(
35%)r
espondent
sres
ponded empl
oyee t
urnover have no ef
fec
t ofon t
he
or
gani
zat
ionf
rom t
hisonec
aneas
ilyunder
standt
hatt
urnoverhaveef
fec
tont
he
or
gani
zat
ion.

I
tem 2oft
hes
amet
abl
eabovei
ndi
cat
est
hatoutoft
otal196r
espondent
s,98(
50%)of
t
her
espondent
sres
pondedt
hatempl
oyeet
urnoverhasef
fec
tonpr
oduc
tivi
ty,
45(
23%)
r
esponded t
hatmoney and t
he r
emai
ning 53(
27%)t
ime.Ac
cor
ding t
oit
em 2
r
espondent
srepl
iedi
ndi
cat
est
hatt
heef
fec
toft
urnoveri
sonpr
oduc
tivi
tyoft
he
hos
pit
al.

TABLE4,
6EFFECTOFEMPLOYEETURNOVERONEXI
STI
NGEMPLOYEE
Number I
tem
Res
pondent
s

Fr
equenc
y Per
cent
age

1 Isemployeeturnover
haveeffectonexist
ing
employee
Yes 126 64%

31
 No 70 36%

Tot
al 196 100%
Sour
ce:owns
urvey,
2023

I
tem 1oft
heabovet
abl
e4.
6show t
hatf
rom t
het
otalnumberofr
espondentwho
par
tic
ipat
edi
nthes
urvey126(
64%)agr
eet
hatempl
oyeet
urnoverhasef
fec
tonexi
sti
ng
empl
oyeeandt
her
emai
ningr
espondent
s70(
36%)r
espondedt
hatempl
oyeet
urnover
notaf
fec
texi
sti
ngempl
oyee.

Ac
cor
dingt
oit
em1oft
heabovet
abl
eindi
cat
ethatempl
oyeet
urnoveref
fec
ton
exi
sti
ngempl
oyeeoft
hehos
pit
al.

I
tem 2oft
hes
amet
abl
eabovei
ndi
cat
est
hatt
her
espondent
s126(
64%)agr
eet
hat
empl
oyeet
urnoverhaveef
fec
tont
heexi
sti
ngandl
eaveempl
oyee.Theyputt
hei
r
r
eas
ont
heef
fec
tforl
eaveempl
oyeer
eas
onl
ike.

 Theymayf
ailt
ogetempl
oyments
oon.Eveni
ftheygets
oont
heymaynotgett
he
j
obast
heyexpec
tbef
orei
fsot
hewayofl
if
emayaf
fec
tednegat
ivel
yandnew
envi
ronmentbyi
tsel
fhass
omedi
ff
icul
ty.Theyputt
hei
rreas
on f
oref
fec
tof
t
urnoverf
orexi
sti
ngempl
oyeer
eas
onl
ike:
-wor
kloadont
heexi
sti
ngs
taf
f
 Mor
alepr
obl
emonexi
sti
ngempl
oyee
 Lac
kofs
ati
sfac
tioni
nsec
uri
ty
TABLE4.
7WHATSHOULDBEDONETOREDUCETHECAUSEOFEMPLOYEETURNOVER
Number I tem Respondent

Number per
cent
ages

1 Whatshoul
dtheorgani
zat
ion
dotoreduc
ecaus
eofempl oyee
tur
nover

I
ncr
eas
ingc
ompens
ati
on 86 44%

Shar
eofwor
kload 44 22%

Tr
aini
ng 51 26%

I
ncr
eas
epr
omot
ion 15 7.
7%

32
 Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asdes
cri
bedont
heabovet
abl
e4.
7fr
om t
het
otalnumberofr
espondent
s86(
44%)of
t
hem r
espondent
sres
pondedt
hatt
heor
gani
zat
ions
houl
dinc
reas
ecompens
ati
ont
o
r
educ
eempl
oyeet
urnover
,44(
22%)oft
her
espondent
sres
pondedt
hats
har
eofwor
k
l
oadi
sgoodwayt
oreduc
etur
noverover
,51(
26%)oft
her
espondent
sres
pondedgi
ving
t
rai
ningi
sawayt
oreduc
etur
noverandt
her
est15(
7.7%)oft
her
espondent
sres
ponded
t
hati
ncr
eas
epr
omot
ion.

TABLE4.
8PERFORMANCEAPPRAI
SALSYSTEM OFTHEHOSPI
TAL

Number I
tem Res
pondent
Fr
equenc
y Per
cent
ages
per
for
manceappr
ais
als
yst
em
1 oft
hehos
pital

Conduc
ive 65 33%

Moder
ate 105 54%

Bad 26 13%

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asdes
cri
bed on t
he above t
abl
e 4.
8fr
om t
he t
otalr
espondent
sabout65(
33%)
r
espondent
sres
ponded t
hatappr
ais
als
yst
em ofhos
pit
ali
sconduc
ive,105(
54%)

33
r
espondedt
hatmoder
ateappr
ais
als
yst
em and26(
13%)s
aidbadappr
ais
als
yst
em.
Fr
om t
hes
ether
esear
cherc
anc
onc
ludet
hatt
heappr
ais
als
yst
em oft
hehos
pit
alar
e
moder
atei
nlar
ge.

TABLE4.
9ATTI
TUDESTOWARDSTHEI
RORGANI
ZATI
ON

Number I
tem Res
pondent
Number Per
cent
ages
1 At
tit
udetowar
dyour
or
ganiz
ati
on

Ver
ygood 46 23%

Good 118 61%

Bad 32 16%

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asi
ndi
cat
edont
heabovet
abl
e,46(
23%)r
espondent
sres
pondedt
hatt
heyhavever
y
goodat
tit
udet
owar
dst
hei
ror
gani
zat
ion,
118(
61%)r
espondent
sres
pondedt
hatgood
at
tit
udeandt
her
est32(
16%)r
espondedbadat
tit
udet
owar
dst
hei
ror
gani
zat
ioni
tmay
duet
opr
obl
ems
tat
edunderc
aus
eofempl
oyeet
urnover
,pr
obl
eml
ikeWor
king
c
ondi
ti
on,
proc
edur
e,Advanc
eandpr
omot
ion,
Compens
ati
on,
Sal
arys
cal
e,wor
kload
andl
iker
eas
on.
Gener
all
yfr
omt
het
otalnumberofr
espondent
smos
tatt
hemhave
goodat
tit
udet
owar
dst
hei
ror
gani
zat
ion.
TABLE4.
10THECOSTOFEMPLOYEETURNOVERFORTHEHOSPI
TAL
Number I
tem Res
pondent
Fr
equenc
y Per
cent
ages
1 Whatar
et hec os
tof
empl
oyeet ur
nover
i
ntheorganizati
on

Di
rec
tcos
t 98 50%

34
 I
ndi
rec
tcos
t 98 50%

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asi
ndi
cat
edont
heabovet
abl
e4.
10,98(
50%)r
espondent
sres
pondedt
hatt
heyhave
di
rec
tcos
tofempl
oyeet
urnoverandt
her
est98(
50%)r
espondedi
ndi
rec
tcos
tof
empl
oyeet
urnover
.Gener
all
yast
heabovet
abl
e4.
10wec
ani
nfert
hatt
hehos
pit
al
i
ncurbot
hdi
rec
tandi
ndi
rec
tcos
t.
TABLE4.
11BENEFI
TOFEMPLOYEETURNOVER
Number I
tem Res
pondent
Fr
equenc
y Per
cent
ages
1 Whataret
hebenefi
tsof
empl
oyeetur
noveri
n
or
ganiz
ati
on?

Reduc
edl
aborc
ost 51 26%

Oppor
tunit
yforgr
eat
er 66 34%
di
vers
ity

I
ncr
eas
edi
nnovat
ion 50 25%

Replac
ementofpoor 29 15%
perf
ormer

Tot
al 196 100%

Sour
ce:owns
urvey,
2023

Asi
ndi
cat
edont
heabovet
abl
e4.
11,
ther
espondentoft
hehos
pit
alr
epl
iedt
hebenef
it
ofempl
oyeet
urnoverf
ort
hehos
pit
als
ays ,
51(
26%)r
espondent
sres
pondedt
hat
r
educ
ed l
aborc
ost
,66(
34%)r
espondentr
esponded t
hatoppor
tuni
tyf
orgr
eat
er
di
ver
sit
y,50(
25%)r
espondentr
espondedt
hati
ncr
eas
edi
nnovat
ionandt
her
est29(
15%)

35
r
espondentr
espondedt
hatr
epl
acementofpoorper
for
mer
.Gener
all
yfr
om t
het
otal
numberofr
espondent
smos
toft
her
espondents
ayst
hatbenef
itofempl
oyeet
urnover
i
soppor
tuni
tyf
orgr
eat
erdi
ver
sit
y.
3An
4. al
ysi
soft
hei
nter
viewques
tion
I
naddi
ti
on,
toques
tionnai
resf
orempl
oyeest
her
esear
cheral
soc
onduc
teduns
truc
tur
ed
i
nter
viewwi
thhumanr
esour
cemanageroft
heor
gani
zat
ion.I
twasus
edbec
aus
eofan
uns
truc
tur
edi
nter
viewi
sthemos
tfl
exi
blet
ypeofi
nter
viewi
ncont
ras
ttoas
truc
tur
ed
i
nter
view,t
heques
tionsand t
heor
deri
n whi
cht
heyar
epr
esent
ed ar
enots
et.
Ther
efor
ether
esear
cherhavebeenpr
epar
ed3i
nter
view ques
tionst
othehuman
r
esour
cemanagerr
egar
dingt
otheef
fec
tofempl
oyeet
urnoveronor
gani
zat
ional
per
for
manc
einwol
kit
euni
ver
sit
yspec
ial
izedhos
pit
al,
sot
hehumanr
esour
cemanager
oft
hehos
pit
algi
vehi
sres
pons
eint
hef
oll
owi
ngf
orms
.
I
nthef
irs
t,ques
tionwhatar
ethes
trat
egi
est
hatc
anus
ethehos
pit
alt
oret
aint
hebes
t
empl
oyee?Thehumanr
esour
cemanagers
ayst
hatt
hehos
pit
alus
edi
ff
erents
trat
egyi
t
i
ncl
udei
tgr
antbenef
it,
givet
rans
por
tat
ions
yst
em ont
hehos
pit
alc
ost,
bui
ldi
ng
c
afet
eri
aint
he hos
pit
alt
oreduc
est
rayoft
ime ,bui
ld ent
ert
ainmentpl
acef
or
r
efr
eshment
I
ntheSec
ond,
ques
tionwhatar
ethebenef
it
sofempl
oyee’
stur
noverf
ort
hehos
pit
al?
Hes
aysi
tgett
hei
nnovat
orempl
oyeebec
aus
eofgearoutofl
essper
for
m empl
oyee,
Hi
ri
ngt
her
ightpeopl
ewi
tht
her
ights
kil
lswhof
iti
ntot
hec
ompany
’sc
ult
uref
rom t
he
s
tar
t,t
hehos
pit
alc
anr
econf
igur
ethei
rcompens
ati
onpr
act
icesands
etnews
tar
ting
s
alar
iesf
orl
essexper
ienc
edwor
ker
sandgett
hehos
pit
als
omeamountofmoney,
Rec
rui
ti
ngc
andi
dat
esf
orvac
antpos
iti
onsmeanspayi
ngs
tar
tingwages
,whi
char
e
of
tens
igni
fi
cant
lyl
owert
hant
hes
alar
ypai
dtoal
ong-
ter
mempl
oyee.
Thel
asti
nter
viewques
tioni
swhati
sthec
ostofempl
oyeet
urnoverf
ort
hehos
pit
al?
Hes
ayswhenempl
oyeess
eet
hei
rco-
wor
ker
sleavi
ng;t
heyof
tent
aket
imet
oref
lec
t
onwhy.Thi
sref
lec
tionc
andamagemor
aleandhur
tcompanyc
ult
ure,i
treduc
e
pr
oduc
tivi
tymeanst
hatt
hehos
pit
alwor
kisnotpr
oper
lywor
ked,t
hec
ostofnew
empl
oyee f
orr
ecr
uit
ment
,tr
aini
ng,exam.And al
sot
he hos
pit
ali
ncur
scos
tfor
r
ecr
uit
er,
fort
rai
ner
.

36
 CHAPTERFI
VE

CONCLUSI
ONANDRECOMMENDATI
ON

Thes
tudywasdes
ignedt
oas
ses
stheef
fec
tofempl
oyeet
urnoveratwol
kit
euni
ver
sit
y
s
pec
ial
izedhos
pit
al,s
ofart
heat
tempt
shavebeenmadet
opr
esentandanal
ysi
sthe
dat
agat
her
edf
rom s
ampl
eres
pondent
sofhos
pit
alempl
oyees
.Bas
edont
heanal
ysi
s
andpr
esent
ati
ont
he

5.
1CONCLUSI
ON
Fr
om t
hei
nves
tigat
ionmadeal
mos
tal
loft
her
espondent
sres
pondedt
hatt
her
ear
e
empl
oyeet
urnoveratwol
kit
euni
ver
sit
yspec
ial
izedHos
pit
al,andmaj
ori
tyoft
hes
e
t
urnoverar
evol
unt
aryt
urnover
.Thes
eindi
cat
ethatt
her
eishi
ghvol
unt
aryempl
oyee
t
urnoveratwol
kit
euni
ver
sit
yspec
ial
izedHos
pit
al.Themaj
orf
act
ors
,leadi
ngt
ohi
gher
empl
oyeet
urnoveri
nanor
gani
zat
ionar
e:-wor
kload,weat
herc
ondi
ti
on,wor
king
c
ondi
ti
onpr
ocedur
es,s
alar
ysc
ale,advanc
eandpr
omot
ion.Al
loft
heempl
oyeeagr
ee
t
hatempl
oyee t
urnoverhasef
fec
tofon t
he or
gani
zat
ion weat
hernegat
ivel
yor
pos
iti
vel
y.Negat
ivel
yaf
fec
tli
ke:-empl
oyeel
eavewi
tht
hei
rac
cumul
atedknowl
edge,
s
kil
landexper
ienc
e,wor
kloadont
heexi
sti
ngs
taf
f,ef
fec
tonqual
if
iesofeduc
ati
on,
i
ncr
eas
esi
ncos
tsf
ort
rai
ning,r
ecr
uit
ingands
elec
tionofnew empl
oyeesandi
tmay
af
fec
tpos
iti
vel
yli
ke:-r
educ
edl
aborc
ost
,oppor
tuni
tyf
orgr
eat
erdi
ver
sit
yrepl
acement
ofpoorper
for
manc
e.Empl
oyeet
urnoverhasanef
fec
tonexi
sti
ngandl
eaveempl
oyee
ef
fec
tli
ke:-t
hel
eaveempl
oyeemayf
ailt
ogetempl
oyments
oon.Eveni
ftheygat
e
s
oont
heymaynotgett
hej
obsast
heyexpec
tedbef
ore,newenvi
ronmentbyi
tsel
fhas
s
omedi
ff
icul
ty.Theexi
sti
ngempl
oyeemayaf
fec
tduet
o:-wor
kloadont
heex
ist
ing
s
taf
f,mor
alepr
obl
emandl
ackofs
ati
sfac
tioni
nsec
uri
ty.

5.
2RECOMMENDATION
Based on t
hei
nfor
mati
on gat
her
ed f
rom pr
imar
yand s
econdar
ydat
aforwol
kit
e
uni
ver
sit
yspec
ial
ized Hos
pit
alIs
ugges
ted t
oimpr
ove t
he per
for
manc
e oft
he
or
gani
zat
ion.

 Fr
om t
hiss
tudy even t
hough t
her
eishi
gh empl
oyee t
urnoveratwol
kit
e

37
 uni
ver
sit
yspec
ial
izedhos
pit
al,t
heor
gani
zat
ionyetnotgi
veenought
imeand
r
esour
cest
othes
etopi
c.Wol
kit
euni
ver
sit
yspec
ial
izedHos
pit
al,s
houl
dgi
vea
s
pec
ialc
ons
ider
ati
onf
ort
hes
etopi
csi
nceempl
oyeet
urnoverhaveef
fec
tont
he
or
gani
zat
ionaswel
lasont
heempl
oyees
oitmaybet
tert
oconduc
tres
ear
chi
n
det
ailont
hist
opi
cbyus
ingmys
tudyasabas
eorbyus
ingmys
tudyi
tsel
fto
r
educ
eef
fec
tofempl
oyeet
urnoverbywor
kingwi
thempl
oyees
.
 The mai
ncaus
e ofempl
oyee t
urnoveratwol
kit
e uni
ver
sit
yHos
pit
al,ar
e:-
weat
herc
ondi
ti
on,wor
king c
ondi
ti
on,s
alar
ysc
ale,wor
kload advanc
e and
pr
omot
ioni
fsot
hemanagementoft
heor
gani
zat
ions
houl
dgi
veat
tent
ionf
or
c
aus
est
atedabovet
oexi
stempl
oyeeswi
tht
hei
rac
cumul
atedknowl
edge,s
kil
l
andexper
ienc
etoi
mpr
ovequal
it
iesofeduc
ati
oni
ntheor
gani
zat
ion.
 I
nor
dert
oreduc
eempl
oyeet
urnoveri
ntheor
gani
zat
ion:-t
headmi
nis
trat
ion
s
houl
dhavet
owor
kwi
thempl
oyeesoft
hehos
pit
alt
osol
vet
hegapbet
ween
t
hem,
shar
eofwor
kload.
 Theor
gani
zat
ions
houl
dcr
eat
est
rat
egi
est
oreduc
eempl
oyeet
urnovers
trat
egy
l
ike:-pr
ovi
deagr
eatwor
kenvi
ronments
inc
eitpr
ovi
deanat
trac
tive,
heal
thand
s
afewor
kenvi
ronmentf
ort
heempl
oyees
,ef
fec
tivec
ommuni
cat
ionandmor
al
s
trat
egyandc
ult
ureandr
espec
tst
rat
egyt
oreduc
eempl
oyeet
urnover
.
 Gener
all
y,di
ff
erentt
hingwi
llexpec
tfr
om t
heor
gani
zat
iont
oreduc
etur
nover
s
uchasi
ncr
eas
esal
arys
cal
e,t
ocr
eat
ecomf
ort
abl
ewor
kenvi
ronment
,dec
reas
e
wor
kloadofempl
oyeebyr
ecr
uit
ingnewempl
oyee.

38
Refer
ences
EdwingB.
Fli
ppo.(1984).
per
sonnelmanagement
.(6th edi
ti
on)
.Si
ngapor
efongand
Sonspri
nter
s’pt
e.

Enc
ycl
opedi
aofbus
ines
s.(
2011)
.(2ndedi
ti
on)
.

Fr
enchL.W.(
1987)
.Per
sonnelmanagementpr
oces
s 6th edi
.( ti
on)
.Bos
tonHought
on
Mif
fli
nco.

GomezMej i
alui
seR.Davi
dB.Backi
ng,Rober
tL.Cardly.(
2001)
.managi
nghuman
res
our
ce.(3rdedi
ti
on)
.New Del
hipr
enti
ce-
HallofI
ndiapri
vateli
mit
,Ari
zonas
tat
e
uni
ver
sit
y.

HallE.
Thomas.(
1980)
.TurnoverCos
ts:personnel
;themanagementofpeopl
eatwor
k.
t
h
7 editi
on:Amer
icanmanagementassociat
ionUSA.

JohnaM.Ivac
evi
ch.(2006)
.Humanr es
ourc
emanagement 9th edi
.( ti
on)
.New Del
hi
TataMc
Graw-Hil
lpubli
shi
ngcompanyli
mit
ed,C.
T.Bauer
.

Pi
eterdeWolf
f.(
1982)
.Mot
ivat
ionandwor
kBehavi
or 3rdedi
.( ti
on).
PlanoBus
ines
s
publ
ishi
ngI
nc.

Wil
li
am B.Weatherand Keit
h Davi
s.(
1985).Per
sonalmanagementand human
nd
r
esourc
e.(
2 edi
ti
on).
Singapor
echongmohoff
setpr
int
ingpt
eltd.

Gr
ahamH.
T.(
1978)
.Humanr
esour
cemanagement
s.2ndedi
( ti
on)
.

Graham J
ohnM.andG.Gloec
k.Wi l
li
am.(
1989)
.Foundat
ionofper
sonnelandhuman
resour
cemanagement
.(4t
hedit
ion).

Retr
ieved fr
om ( ht
tp:
// blogs
.Pay s
cal
e.Com/
compens
ati
on/
2010/
02/
how t
o-
cal
culate-
employee-
turnover.
htm/
)

John M.I
vancevi
ch.(
1998)
.Human Res
our
ce Management
.(7t
h edi
ti
on)
.Von
Hart
manpres
s,Inc
.

Ret
rievedf
rom(
224836806.
pdf(
cor
e.ac
.uk)

Yemane,Tar
o.(
1967)
.st
ati
sti
csani
ntr
oduc
tor
yanal
ysi
s 2nd edi
,( ti
on)New Yor
k,
Har
perandr
ow.

39
 APPENDI
Xi

QUESTI
ONNARI
ES

WOLKI
TEUNI
VERSI
TY

COLLEGEOFBUSI
NESSANDECONOMI
CS

DEPARTMENTOFMANAGEMENT

Ques
tionnai
rest
obef
il
ledbyr
espondent

Dearr
espondent
,Iam as
tudentofwol
kit
euni
ver
sit
ytaki
ngdegr
eepr
ogr
am i
nmanagement
.I
am Cur
rent
lyCar
ryi
ngOuts
tudyent
itl
edas
ses
singt
heef
fec
tofempl
oyee’
stur
noveratWol
kit
e
uni
ver
sit
yspec
ial
izedhos
pit
al.
Yourr
espons
ewoul
dpl
ayagr
eatr
olef
ort
hes
ucc
essofs
tudy
andt
her
esear
cherwi
llber
espons
ibl
efort
hec
onf
ident
ial
it
yofyourr
espons
e.Soyou’
rec
orr
ect
andgeni
usr
espons
ehasgr
eat
erval
ue.
Henc
eyouar
eki
ndl
yreques
tedt
ores
pondf
reel
y.

Gener
alI
nst
ruc
tion

 NoNeedofExpl
aini
ngYourI
dent
ity
 Pl
eas
ePutTi
ckMar
k(√)OnAGi
venBoxOnYourChoi
ceAndYouAr
eKi
ndl
y
 Reques
ted t
oAns
werByWr
iti
ngOnTheSpac
ePr
ovi
ded.
Par
tOne:-
Per
sonalI
nfor
mat
ion

1.
Sex: Mal
e Femal
e

2.
YourAge: 18-
30 31-
40 Above40

3.
Mar
italSt
atus
:

Mar
ried s
ingl
e Wi
dowed di
vor
ced

4.
Educ
ati
onalLevel
:

Cer
tif
icat
e di
ploma Degr
ee mas
ter
sandabove

40
Par
tTwo:
-Ques
tionRel
atedt
othes
tudy

5.
IsYoupl
eas
antI
nyourCur
rentWor
k. Yes No

6.
What
everYouAns
werI
nNumber“
5”J
ust
if
yTheReas
on.
---
---
---
---
---
---
---
---
---
---
---
---
-
-
---
---
---
---
---
---
---
---
---
---
---
---
---
---
---
---
---
-

7.
IsTher
eEmpl
oyee’
sTur
noverI
nYourOr
gani
zat
ion? Yes No

8.
IfYourAns
werForNumber“
7”I
s“Yes
”WhatTypeOfTur
nOver
?

Vol
unt
ary I
nvol
unt
ary

9.
WhatDoYouThi
nkTheCaus
eForEmpl
oyeesToLeaveTheOr
gani
zat
ion?

Wor
kingCondi
ti
onPr
ocedur
e Advanc
eandPr
omot
ion

Compens
ati
on I
ncr
eas
efr
ingebenef
it Sal
arys
cal
e

10.
IsEmpl
oyeeTur
noverHavi
ngEf
fec
tOnTheOr
gani
zat
ion?Yes No

11.
IfYourAns
werForQues
tionNumber
”10”I
s“Yes
”WhatI
stheEf
fec
t?-
---
---
---
---
---
--

Pr
oduc
tivi
ty Money Ti
me

12.
IsEmpl
oyeeHaveEf
fec
tonExi
sti
ngandLeaveEmpl
oyees
?Yes No

13.
IfYourAns
werForQues
tionNumber
”12”I
s“Yes
”WhatKi
ndOfEf
fec
t?

14.
WhatDoYouThi
nkToReduc
eTheCaus
eOfEmpl
oyeeTur
nover
?

I
ncr
eas
ingCompens
ati
on Tr
aini
ng

Shar
eofWor
kLoad I
ncr
eas
epr
omot
ion

15.
per
for
manc
eappr
ais
esys
temOfTheOr
gani
zat
ion.

Conduc
ive Moder
ate Bad

16.
Att
itudet
owar
dsYourOr
gani
zat
ion.

41
 Ver
yGood Good Bad

17.
WhatAr
eTheCos
tsOfEmpl
oyeeTur
noverForTheHos
pit
al?

Di
rec
tCos
tOfEmpl
oyeeTur
nover I
ndi
rec
tCos
tOfEmpl
oyeeTur
nover

18.
WhatAr
eTheBenef
itOfEmpl
oyeeTur
nover
?

Reduc
edl
aborc
ost Oppor
tuni
tyf
orgr
eat
erdi
ver
sit
y

I
ncr
eas
edi
nnovat
ion Repl
acementofpoorper
for
mer

APPENDI
Xii

I
nter
viewf
orHumanr
esour
cemanager

1.
Whatar
ethes
trat
egi
est
hatc
anus
ethehos
pit
alt
oret
aint
hebes
templ
oyee?

2.
Whatar
ethebenef
it
sofempl
oyee’
stur
noverf
ort
hehos
pit
al?

3.
Whatar
ethec
ostofempl
oyeet
urnoverf
ort
hehos
pit
al?

42