Business Research: Voluntary Turnover Problem in Organization
Added on 2020-04-01
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Voluntary turnover is a problem for many organizations 1VOLUNTARY TURNOVER IS A PROBLEM FOR MANY ORGANIZATIONSName:Institution:Course:Tutor:Date:
Voluntary turnover is a problem for many organizations 2IntroductionIn the human resource context, voluntary turnover continues to be the choice of workers to terminate their association with the organization. It can occur when the employee of a given organization chooses to leave the organization without receiving interdiction letter (Burnes 2016,p. 47). However, in every case of voluntary turnover, the departure of the employee is not the result of the negative relationship with the management of the organization. The event of voluntary turnover remains to be a major problem for most organizations. The organizations are always exposable to loosing of the valuable employee who is hard to find their appropriate replacements within a short duration. In many organizations, employees leave employment for various reasons. Business researchers conducted in most organizations have shown that the primary reasons that lead to voluntary turnover are organizational instability, limited growth opportunities, and feeling undervalued (Anvari et al., 2014, p. 187). Other causes include employee misalignment, rude behavior, work-life imbalance not fitting into the culture of an organization, or cases of being attracted to another employer that provides more of what the worker is looking for in the employment sector. Besides, employees might decide to vacate their jobs for other unknown reasons. In some cases, they may feel dissatisfied with their position or their compensation, they might have the urge to seek a career change, or they might have received and accepted another lucrative offer from a different organization (Koen 2013, p. 1). The cases of voluntary turnover aways involve competent workers leaving their positions leadingto adverse impact on operations of the organizations. As a result, cases of voluntary turnover can be costly and demand the activities of the organization because of the costs associated with ideas of recruiting as well as hiring the new worker. Therefore, the primary target of this research paper is first to show how the voluntary turnover is a problem for many organizations in the
Voluntary turnover is a problem for many organizations 3global business environment. Secondly, this work aims at explaining into details three broad reasons that lead to the voluntary turnover, and finally presenting some of the suggestions on what the organization can do to retain their highly skilled along with motivated workers. Why emoployees’ voluntary turnover is the dilemma for msot organizationsCases of employees’ turnover among employees are warning signs of low morale among the workforce of an organization, and this forms one of the factors that negatively affect the productivity of the organization. Voluntary turnover remains as the biggest problem for operations of many organizations. These organizations have to incur more costs in their operations to recruit new employees (Pulce 2014, p. 9). High cases of voluntary turnover among employees from different companies can have several detrimental impacts on operations of organizations. Voluntary turnover can negatively affect the activities of productivity of the enterprise, reduce the quality of customer service, reduce profits earned by the team, and affects turnover costs. The other reason is the huge budget that the organizations have to use in training new employees as well as the organization need to lose the right amount of time in socializing new employees with the organization culture (Vance 2012). The increase in wage bills among various organizations so that they can be able to be competitive in the marketplaces just like theircounterparts that offers huge salaries to attract more employees. Increases costs of operationsIn case a qualified employee leaves the organization voluntarily, the organizations have to incur additional charges during their activities in recruiting and training of new employees. Many people who leave the organization without giving prior notice affect the operational costs of the organization. According to David & Coenan (2016), the organizations have to channel so e
Voluntary turnover is a problem for many organizations 4of their capital aimed at increasing their operations to processes of advertising for the vacant posts. Other organizations have to provide money for the newly recruited employees to relocate from one region to another. All these funds incur because of voluntary turnover of an employee makes the company loose its profits, thus reducing its revenue in every financial year of its operations (Barlett 2014, p. 49). Besides, other few activities that are costs associated with the process of replacing employees after leaving an organization include training costs, onboarding, and orientation fee by other employees. There are also some of the costs incur by the administration of the organization that is indirect in the operations of the company. Some of these costs include the costs for organizing the interview of new applicants for the vacant position and call charges to contact various companies if they have extra personnel that can feel the void left during the case of a voluntary turnover. Therefore, voluntary turnover among employees continues to be costly for most organizations.Turnover affects operations of most companies because after using the huge sum of money in recruitment processes they are not able to recover it within a short period. Organizations always take a considerable amount of money and time to boost their operations. The newly recruited employees have to learn the job before they prove themselves. Therefore, the company will lose more income as their activities will have to receive adverse effect because recruits will take some duration to learn on how to recognize the subtleties of their jobs (Peltokorpi et al., 2017, p. 612). Therefore, replacement of qualified personnel by the organizations will make them use the money that was not in the budget. The money used during the process could have applied to improving the operations of the organization rather than searching for a new employee. Moreover, voluntary turnover makes the company incurred costs of researching to understand what might be the leading cause in their operations (Kim & Chang
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