Analyzing HR Issues: Absenteeism and Turnover in Organizations

This report provides a critical analysis of two current HR issues: absenteeism and employee turnover. It discusses the challenges faced by human resources management (HRM), including the impact of these issues on organizational success, productivity, and revenue. Absenteeism is examined in terms of its causes, such as job dissatisfaction, personal issues, and stress, as well as its consequences, including reduced productivity and increased costs. Employee turnover is analyzed by looking at its types, costs, and impacts on company culture and revenue. The report also offers recommendations for addressing these challenges, such as providing training and coaching, promoting social engagement, recognizing employee contributions, encouraging personal evaluation, celebrating diversity, leveraging technology, and setting clear expectations. The aim is to provide insights and strategies for HRM to effectively manage these issues and improve organizational performance. Desklib provides access to a wealth of similar solved assignments and resources for students.

Assessment 3 Critical
Analysis of Two
Current HR Issues

Abstract
In this paper we discuss about the Critical Analysis of two current HR issues and what
challenges faced by the human resources management (HRM) and discuss in brief their advantage
and disadvantage an give a brief description of the human resources manger refers to the set of
people who make up the workforce of an organization , business sector its is a narrow concept is
human capital, the knowledge and skills which the individuals command. Human resources
operations contribute significantly to the success of an organisation like strategy Management ,
benefits analysis , training and development, conflict management

Table of Contents
Abstract ................................................................................................................................................2
Introduction .........................................................................................................................................4
Main Body ...........................................................................................................................................4
RECCOMENDATIONS.......................................................................................................................8
Conclusion ..........................................................................................................................................9
REFERENCES ..................................................................................................................................11

Introduction
Human resources management refers to the set of people who make up the workforce of
the organization and manage all issues which is related to people and it is the process of recruiting ,
selecting , indicating employees and providing a proper training and development to the
employees. Human resources management deals with the management functions like planning,
organizing, directing and controlling and it is a continuous process which deals with building a
team sprite and team work (Auffray and Fu, 2019). This report will include various challenges faced
by HRM with key focus on as HRM is very important function in every organization. Without
human resources management (HRM), companies would not be able to effectively recruit and
retain employees , improve and enhance the organization. HRM is an important aspect of an
organization and play a virtual role in human resource management. They manage the strategies
and ensure that the organisation reaches its business goals and it also corporate in decision making
which is based on future plans. HR managers helps to contribute to the growth of employees within
the company, and give proper a training and provide development programmes which helps to
improve the skills and knowledge of the employees. HR mangers play a major role to maintain a
healthy work culture in the company it contribute significantly in setting up a healthy and friendly
work culture which translate into better productivity among the employee. This is considered as a
common challenge faced by the human resources management to finding a suitable candidate for
the job from the large number of applicants and they have to make suitable changes from time to
time in the selection procedure and provide training to get quality results. The human resource
manager has a responsibility to balance the interest of management and employees. Profits,
commitment, cooperation, loyalty and sincerely are the factors expected by the management
whereas better salaries and wages, safety and security factors expected by employee from
management.
Main Body
Absenteeism at Workplace
Absenteeism refers to the habit of employees to remain absent. As per Jean Folger,2021-
there are various reasons of absenteeism like employees are not satisfied with their job, working
environment, some personal issue or medical issues. Without having any emergent reason, if
employee is taking leaves then this will affects the reputation of the employee and ability to remain
employed in the long run(The Causes and Costs of Absenteeism, 2021). A company's operation is
adversely affected when an employee is absent each and every day, particularly when the
organisation have to pay him even after he is absent. It is also a major issue when an employee take

leave when company have to submit any important project. Employees also keep taking leaves due
to some safety issues, along with this excessive burden of work makes employees habitual of taking
leaves and not getting appreciation for the work by their seniors, this results in demotivated
employees and they show less interest at workplace. Taking care of children is also a reason of
employee's leave, there are are many situation like child is falling ill. Stress of work at organisation
and no balance between social life and professional life make employees depressed and affect their
mental health. Absenteeism at workplace affects the productivity of the organisation, which results
in reduction the revenue and profitability of the business. Employee's inability to do the work will
affect the overall growth and success of the firm, when employees take leave then their work is
given to the other workers which increases their work liabilities. Other cost which company has to
pay due to absenteeism is poor quality of work by the employees who picked up the work of absent
workers. Managers may face extra burden to deal with such employees and company may suffer
extra cost for paying them salary even after they are on leave. Company may take some steps to
decrease the absenteeism at work place, they can declare reward for those employees who come
office regularly, give support to the employees emotionally or by boosting their morale, making
formal documents related to attendance which must be signed by all the existing employees and
new joining. Company can take the help of transformational leadership as they are more supportive
and show ethics towards the working of the organisation. Transformational managers works for the
proper working in the organisation they keep everyone together and motivated in order to work
done on time. Many companies has introduced several policies related to absenteeism like adoption
of limited workforce for the work, no sick pay is allowed for the employees who are taking leaves
by giving the reason of illness. Some companies offer various helps related to employees health in
order decrease absenteeism in the organisation such as physical health, psychological health, work
from home, environmental health and economic health. The reason behind this is to keep the
workforce healthy and happy to make them motivated so that they works for achieving the
organisational objective.
Employee turnover
Employee turnover refers to the number of workers who leave the firms and replaceable by
new employees. If turnover is heigh it is harmful to company,s productivity if skilled workers are
leaving the company it effect the company output and its work.
Types of Turnover
Turnover may take many forms it be be classified as “ internal” or “ external” .
Internal turnover involves employees leaving their current positions and taking the new

position within the same organization it generally consider an opportunity to help employees in
their career growth while minimizing the more costly external turnover.
Demerits of turnover- It causes many inconveniences for the company face are discussed below:
Turnover involves different types of cost like opportunity cost and replacement cost they both are
direct and indirect cost. Direct cost related to the living cost, replacement cost and indirect cost
which is related to production loss which reduce the performance levels. Another demerits is
decreased performance of the workplace and Less experienced workers are less likely to sell
higher- value solutions and deliver the optimization services.
The high turnover impact is not only effect the financial; it adversely affects the employee morale
they fell demotivated. Although poor morale results in a domino effects that negatively impacts
efficiency and effectiveness.
The pros of high staff turnover- It is the positive side of high staff turnover includes are listed
blow:
 Healthy turnover ratio helps to increase the demand and growth of a company.
 Fresh insights and innovation ideas
 Helps to improve team development
 Introduces new concepts, skills, tools, and experiences
 It helps to identify the trustworthy employees for the firm
The cons of high staff turnover- It is the negative side of high staff turnover which include:
 Low account continuity – it is difficult to maintain the account again and again client also
hate the constant changes in account mangers
 Being short- staffed can lead to additional pressure
 Difficult to handle the project barriers
 Heigh recurrent cost
The impact of high staff turnover on company culture.
High turnover ratio can negatively affect the company an its employees in many ways 'with the
constant need to hire and train new employees and by reattaining the employees , companies can
provide a higher calibre to workforce that affect postpositively to the bottom line.
Impact of turnover on revenue- Employee turnover has a directly effect the company performance
and its revenue. Revenue impact can be much higher depending on the industry and its employees
position.
Low workplace morale – High turnover rate can also effect the employees moral and put more

pressure to complete the task ' and it also difficult to provide training the new employees again and
again.
Reduction in marketing return on investment - The return on investment is lowered if the
organization is losing the return customers due to lowered quality products . This increase the cost
of one- time customer , lowering market return on investment .
RECCOMENDATIONS
There were many challenges which were discussed above regarding the workforce diversity
and employee engagement. The recommendations to get rid of these challenges are listed below:-
Provide training and coaching
An organisation should enforce a culture which helps the employees to boost their confidence and
building up new skills and enhancing their potential to perform the various tasks provided. If the
employees are ensured about their betterment in future, the level of engagement in their work starts
increasing. The term training and coaching can help the employees to maximize their effectiveness.
Providing a good direction in terms of success can help the workers put best of their efforts and to
accomplish their desired goals.
Getting social
As a lot of engagement in the work can make the employee feels emotionally invested in it. As the
organisation is a result of working together, the team management and group discussions should
also be promoted. Healthy personal relationships are considered as a key ingredient in promoting a
balanced work environment. The management can conduct various social gatherings , events and
seminars to encourage the social skills of the employees (Knollmann, Reissner and Hebebrand,
2019).
Recognition
the term rewards and recognition are considered as an important part of an organisation as I helps
the employees to stay motivated and contented. This also helps in increasing the management
efficiency, recognition and appreciation helps as a magic in the environment of an organisation. As
the workers are rewarded according to their work, they become more loyal and connected to their
work.
Encouraging personal evaluation

This term is related with the overall development and analysis of the skills and capabilities.
This lays down the stress on diversifying the present characteristics and promoting the new ideas
and enhancement of the personal traits. This recommendation will basically help the employees in
improving the workforce diversity in an organisation.
Celebrating the differences
As the organisation is a group of individuals working together, they all are different from each other
in every aspect, they have different cultural backgrounds, traditions, skills and qualities. The
company should celebrate and appreciate the differences, in spite of comparing their capabilities
and negative traits. There ability to work differently is considered as the power to promote the
diversity, within the organisation. The manager should encourage their qualities and should deliver
them the work according to their strengths and skills.
Moving forward with technology
As the technology is upgrading day by day, it is also referred as the important part of our day to
days lives, for both personal and professional point of view. With the increased use in the
technologies it is required to opt the technological diversifications, so as to move along with the
updated and dynamic world. The technologies have also played an important part in transforming
the business and economic world up to a great extent also it is convenient and very handy to use, as
it reduces the time and energy to perform a particular task.
Setting crystal clear expectations
According to the dynamic nature of the Business organisations, it is much needed for the team to
adapt some changes in themselves and in their visions too. For e.g. if the management is changing
their priorities and shifting its employees into new operations and projects then the things may get
messy and a sense or confusion can also be increased within the team members. For the betterment
of an organisation, the employees should be crystal clear about the vision and the goal of the
company, so as to avoid the further mistakes and issues. An organisation should focus on
developing a clear and focused mind so as to move forward (Ruhle and Süß, 2020).
Focus on helping the employees to flourish
The organisation keeps on changing and growing in terms of success, this will help the employees
to get the opportunity to be a part of that growth. The management should help its workers, to
accomplish their goal and also it should support and motivate them towards the direction of
success. As sometimes, when the employees feels stagnant and trapped in their present job role,

they start for looking new and better opportunities for the growth of their own self.
Reducing absenteeism
This term is related with the habit of being absent frequently, by this particular habit of an
individual, the paid leave and other exemptions are excluded. If the Manager is experiencing more
cases of absenteeism in the organisation, than he\she can take strict actions to reduce it. As an
increase in the absence of the employees can become a problem, by which the productivity and the
ability to perform a particular task and operation can be reduced up to a great extent which is not
considered a good part in terms of the growth of business.
Conclusion
The above report went into detail regarding the various challenges which is faced by the
human resources department such as absenteeism and the problems of employee turnover. The
report contained a detailed literature review of these problems which included a comprehensive
view of the problems including their characteristics, strengths, weaknesses and overall problems.
The report also included various recommendations to solve these problems such as establishing a
positive work culture and making the employees get subjected to proper training measures. It was
concluded from this report that human resource management has many complex resources which
are tough to remove.
REFERENCES
Books and journals

Knollmann, M., Reissner, V. and Hebebrand, J., 2019. Towards a comprehensive assessment of
school absenteeism: development and initial validation of the inventory of school
attendance problems. European child & adolescent psychiatry, 28(3), pp.399-414.
Malek, K., Kline, S.F. and DiPietro, R., 2018. The impact of manager training on employee
turnover intentions. Journal of Hospitality and Tourism Insights.
Qingjuan, W., Rui, L. and Ailing, W., 2019. The impact of promotion justice on occupational health
and turnover intention. Advances in Economics, Business and Management Research, 82,
pp.225-228.
Ruhle, S.A. and Süß, S., 2020. Presenteeism and absenteeism at work—an analysis of archetypes of
sickness attendance cultures. Journal of Business and Psychology, 35(2), pp.241-255.
Walton, J., 2018. Exploring reasons for employee turnover: a case study of the retail industry in
Atlanta, Georgia (Doctoral dissertation, Northcentral University).
Online referencing
(The Causes and Costs of Absenteeism, 2021) [online] available through
<https://www.investopedia.com/articles/personal-finance/070513/causes-and-costs-
absenteeism.asp>