An Analysis of Employee Turnover Issues in ICC Sydney

This report presents an evaluation of employee turnover at ICC Sydney, a large-scale convention center. The research investigates the factors contributing to high turnover rates, including lack of training, inadequate compensation, and unsafe work practices. The study employs both secondary and primary research methods, including literature review, interviews, and surveys, to understand the scope of the problem. Key findings indicate that employee turnover impacts the firm's performance and profitability, increasing manpower costs. The report concludes with recommendations for ICC Sydney's management, such as increasing compensation, fostering open communication with employees, enhancing workplace safety, and implementing financial and non-financial incentives to improve employee satisfaction and reduce attrition. The report also includes a table of contents, figures, references, and an appendix to support the findings.

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An Evaluation of the issue concerning
Employee Turnover in ICC Sydney

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Abstract
Statement of the Problem
The research focuses on addressing the problems faced by ICC Sydney regarding the growth of
employee turnover and the policy mechanisms required to be undertaken for countering the
impacts of employee turnover on ICC. The research would focus on understanding the factors
that prompts the growth of employee turnover in hospitality industry.
Research Methods
The research activity is focused on being undertaken by a combination of both secondary and
primary research activity. Secondary research is carried out based on the study of books,
journals, reports and case studies associated to the employee turnover issues impacting the
tourism industry and ICC Sydney in particular. Primary research is required to be based on both
interview and survey research activity encompassing both qualitative and quantitative data sets.
Main Findings
The research activity reflects that employee turnover in ICC Sydney is caused owing to the
impact of large numbers of factors like the absence of training, employee development and
empowerment mechanisms, unsafe work practices and also the existence of reduced
compensation levels. The interview of the supervisor of the food and beverage department
highlighted the undertaking of different strategies like development of interaction with the staffs,
enhancement of the compensation levels, helping them attain effective work-life balance and the
like for helping in reducing the attrition levels.
Conclusions
The research activity concludes that the growth in employee turnover levels in hospitality firms
like ICC not only happens to affect the performance potentials of the company in servicing
consumer needs but also tends to affect the profit margins of the institution. The increase in
employee turnover levels tends to enhance the level of manpower costs of the organization
associated to recruitment and training functions.

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Recommendations
In terms of recommendations the management of ICC is required to focus on increasing the
compensation levels for the staffs, develop open forums and consulting activities with employees
for understanding their problems, work on enhancing the safety parameters of the workplace
while also in motivating the staffs based on employing of financial and non-financial incentives
for meeting of departmental and organizational objectives.

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Table of Contents
Table of Figures...............................................................................................................................6
Introduction......................................................................................................................................7
Overview of ICC..........................................................................................................................7
Problem Statement.......................................................................................................................7
Research Aims.............................................................................................................................7
Research Objectives.....................................................................................................................7
Significance of the research.........................................................................................................8
Literature Review............................................................................................................................8
The case of employee turnover....................................................................................................8
Factors influencing employee turnover rates...............................................................................9
Employee turnover in hospitality industry of Australia............................................................10
Impact of employee turnover in hospitality industry of Australia.............................................10
Policies undertaken by hospitality firms for reducing employee turnover rates.......................11
Methodology..................................................................................................................................14
Research Paradigm....................................................................................................................14
Research Design........................................................................................................................14
Research Strategy......................................................................................................................15
Sampling....................................................................................................................................17

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Data Collection methods............................................................................................................17
Data Analysis methods..............................................................................................................18
Research Ethics..........................................................................................................................19
Findings and Discussions..............................................................................................................19
Findings from Interview Analysis.............................................................................................19
Reasons for employees leaving ICC......................................................................................20
Impact of Employee Turnover on the Performance of ICC..................................................20
Significance of developing an effective organizational culture............................................20
Factors encouraging growth in Employee Turnover.............................................................21
Principle factors for employee dissatisfaction.......................................................................21
Policies to encourage growth of employee satisfaction.........................................................21
Strategies to be undertaken for reducing levels of employee turnover.................................22
Findings from Survey Analysis.................................................................................................22
New Trend of Employees quitting ICC.................................................................................22
Most prominent factor influencing employee exits from ICC...............................................23
Factors causing dissatisfaction in ICC's Workplace..............................................................24
Strategy to be undertaken for reducing attrition rates...........................................................25
Factors needed to be controlled for Development of Organizational Culture.......................26
Conclusions and Recommendations..............................................................................................27

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References......................................................................................................................................29
Appendix........................................................................................................................................33
Table of Figures
Figure 1..........................................................................................................................................23
Figure 2..........................................................................................................................................24
Figure 3..........................................................................................................................................25
Figure 4..........................................................................................................................................26
Figure 5..........................................................................................................................................27

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Introduction
Overview of ICC
International Convention Centre (ICC) based in Sydney acts as a large scale convention center
that has a seating capacity of 8,000 people. It has further facilities like a red carpet area and also
large number of exhibition halls. Further, ICC is located at a prime location near Darling Harbor
and caters to the needs of its customers through the use of a wireless facility (ICC, 2019).
Problem Statement
The operations of ICC Sydney are being potentially impacted by the growth in the level of
employee turnover where it is observed that the management is failing to retain the new recruits
over a period of 8-10 months. The same is requiring the firm to expend considerable number of
dollars for continually recruiting and training of people that affects the performance and profit
potential of the firm (Finnegan, 2015).
Research Aims
The aim of the research activity is to understand the factors that contribute to the growth of
employee turnover in ICC and the strategies and policies that can be undertaken by the
management for reducing the levels of employee turnover.
Research Objectives
 To understand the concept of employee turnover

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 To understand the factors that cause employee turnover in hospitality firms
 To understand the policies that needs to be undertaken by ICC’s management for
reducing the growth of employee turnover.
Significance of the research
The significance of the research activity lies in uncovering the factors that contribute in the
growth of employee turnover in hospitality firms and thereby in discovering strategies that can
be employed for countering the impacts of employee turnover. The research would help in
enhancing and sustaining growth in performance potential of the hotel and also help in
augmenting the profitability position based on reducing the rate of employee turnover.
Literature Review
The case of employee turnover
In a study carried out by Miller (2017), the issue of employee turnover is identified as one of the
most significant and stringent cases that is required to be dealt with by the managers of a
business institution. Employee turnover is also observed to be a phenomenon that gains its
emergence either due to the voluntary exists on the part of employees owing to their access to
emerging market opportunities or the mass removal of employees from the firm due to changes
in human resources and operational policies. The growth in the level of employee turnover rates
associated to the organizations operating in emerging economies tends to broadly affect the level
of operations of such firms which in turn attracts managerial interventions (Miller, 2017). Again,
Finnegan (2015) highlighted on the emergence of employee turnover requires the firms to focus

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more on the generation of investments associated to recruitment and training functions which in
turn affects the profit margins of the institution. From the employees’ perspective the emergence
and growth of employee turnover tends to require the employees for developing their expertise,
knowledge and skills so that they can effectively compete and perform in turbulent markets
(Finnegan, 2015, pp. 1-7).
Factors influencing employee turnover rates
In a study, Flood (2018) highlighted on considerable numbers of factors are identified that
prompt the emergence and growth of employee turnover along firms and industries as a whole.
The employees tend to voluntary quit their existing workplace owing to the emergence of
potential dissatisfaction. Employees tend to become dissatisfied owing to the existence of pay
rates lower than the industry averages, unhygienic and unsuitable work conditions and standards,
stringent policies and non-cooperative work environments. They thereby focus on migrating over
to such firms and industries that not only promises but also helps them gain an enjoyable work
experience in the long run (Flood, 2018, p. 1336). Further, Ain (2018) reflected that the
employees also focus on quitting a firm owing to the existence of discriminatory policies that
causes abrupt fluctuations in pay rates and work conditions depending on gender types, skin
color types, sexual and religious orientations. Again, the level of work challenge and work
diversities existent in an organization may tend to encourage a set of employees in an institution
while at the same time causes others to avoid the same by shifting to other organizations or
industry types. The lack of training and development activities in the workplace also tends to
influence the quitting decisions of the employees such that they tend to migrate to firms and
industries that render knowledge and growth opportunities. The perception of the employees

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associated to the instability of the organization also tends to affect their confidence levels and
thereby requires them to migrate over to other firms (Ain, 2018).
Employee turnover in hospitality industry of Australia
Page (2019) reflected that the Australian hospitality industry is observed to suffer from a
potential trend where staffs tend to quit the hospitality firms only at the completion of eight
months of their service tenure. Thus, the new recruits in the Australian hospitality sector tend to
quit their services within an annual period thereby leading to an increase in the manpower costs
for the hospitality industry as a whole. The increased levels of employee turnover for the
Australian hospitality sector in turn tend to enhance the level of overhead costs for the hotel
institutions (Page, 2019). Pantelidis (2014) further reflected that the rising level of employee
turnover rates in the Australian hospitality sector in turn affects the level of employee loyalty and
commitment in the industry with also the degree of customer services generated by the firms.
The new sets of staffs recruited by the firm needs to be effectively trained for longer durations
both along on and off-the-job sites such that the same helps in enhancing their potentials in
servicing the customers. The above fact thereby tends to enhance the level of manpower and
training costs for the firm. Again, the growth in the level of employee attrition rates in the
hospitality firms potentially affects the level of employee morale in the concern which in turn
affects both employee and firm productivity (Pantelidis, 2014).
Impact of employee turnover in hospitality industry of Australia
Stangl and Pesonen (2017) highlighted that the issue of employee turnover potentially impacts
the performance and productivity rates for the manpower and also for the business organizations

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as a whole. The growth in the level of employee turnover rates in the hospitality industry tends to
enhance the level of manpower and organizational cost for the firms involved in the hospitality
industry. The growth in the level of attrition rates requires the management of the hotel firms for
investing considerable amount of investment and time regarding the recruiting of the right type
of personnel for fitting in the different roles and thereby in generating quality training programs
for enhancing the skill and knowledge base of the recruited staffs. The above functions in turn
affects the level of productivity and performance of the existing workforce in that the same are
affected by increased amount of tasks and also their need for training of the new recruits (Stangl
& Pesonen, 2017). Again, Baum (2016) sated that the continual exiting of the quite recently
recruited staffs from the hotels and the failure in retaining them tends to vehemently affect the
morale of the existing and productive staffs in the organization thereby leading to loss of
performance potential (Baum, 2016, pp. 22-30).
Policies undertaken by hospitality firms for reducing employee turnover rates
In a report published by OECD (2016) the different types of policies that can be undertaken by
the management of the hospitality firms for reducing the attrition levels in the same are
effectively highlighted. The policies associated to generation of training and employment
development programs would contribute in enhancing the level of knowledge and expertise of
the hotel staffs to deliver quality services to the customers. It would also help in enhancing the
loyalty level of the hotel staffs such that the undertaking of the training and personnel
development programs contributes in making the hotel personnel feel cared for by the
management body. The training and development programs are required to be carried out at
specific intervals wherein new operational procedures and technologies in use along the

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hospitality industry are introduced to the staffs. An informed and interactive environment would
rightly help in motivating the staffs to work in a productive fashion for meeting of departmental
and organizational objectives (OECD, 2016).
Another specific policy that can be undertaken by the management of the hotel firms as
identified by Keller and Meaney (2017) is to recognize the internal talents in the firm that
contribute in generating needed customer satisfaction and thereby in aptly rewarding them for
their performances and decision making expertise. The management of the hotel needs to focus
on the generation of fortnightly and monthly meets wherein the performances of the staffs
associated to different departments like housekeeping, food and beverage, customer servicing
and likewise needs to evaluated for selection and rewarding of potential performers. The
management body can also focus on the generation of monthly newsletters which would help in
informing the staffs about the innovation and changes introduced in the firm with also
highlighting the awardees for the different categories (Keller & Meaney, 2017).
Likewise, Schawbel (2015) reflected on an open forum can also be constituted by the hotel
management wherein senior staff members along with managers can help in carrying out
consultation activities with the new recruits and non-experienced staffs operating in the firm. The
consultation activities need to be carried out with a focus on understanding the problems and
issues faced by the staffs and thereby focus on brainstorming of potential solutions in close
collaboration with the concerned stakeholders (Schawbel, 2015).
To this end, Green (2018) states that the staffs are required to be held as internal customers to an
organization. The recognition of the staffs as internal customers thereby require the management
to focus on development of policies that would help in sustaining a conducive working and