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Literature Review on Employment/Labour Turnover Essay

Literature Review

An employee is a particular individual that was hired by an employer to perform a certain task or a job. It’s the duty and the responsibility of the employee to perform the tasks that are being directed towards him/her by the employer and the employer must ensure that in return the employee is properly appraised for performing the task well. Employee appraisal is a vital part of the relationship between the employee and the employer. Employee appraisal is a source of motivation provided by the employer towards the employee to show whatever that he/she is doing or have already done is being appreciated by the company and that they wants the employee to keep up his/hers good performance. A well satisfied employee is always looking forward to perform much better day in day out and is willing work for the employer as long as he/she can. A demotivated employee’s enthusiasm is much lesser than a motivated employee’s enthusiasm. Enthusiastic behavior at workplace not leads up to great individual performance; it also enlightens the other individual that surrounds the particular enthusiastic employee.

A less friendly workplace can be bad for such individual’s, maybe even the management’s harsh work ethic’s or the work load that is being diverted towards the employee’s from the top management can ruin the enthusiastic atmosphere of a work place. These sorts of phenomena’s can lead up to employee turnover. There are two known types of employee turnover scenarios that can occur within an organization. Involuntary turnover is the turnover that occurs for employee termination, absenteeism or due to violations of the workplace policies. Voluntary turn occurs when and employee leaves a particular organization on his/hers own accord. In such incidents the employee can have number of reasons for leaving the particular organization. Employee turnover is derived to be bad for the performance of an organization.

Researches have been conducted throughout the years to sort out the effects of employee turnover by many researchers worldwide. Such as, A Meta-Analysis of Antecedents and Correlates of Employee Turnover by Rodger .W Griffeth, Peter W. Hom and Stefan Gaertner (Year of 2000) The researchers started off with searching all published articles related to predictor turnover-relationships in the year of 1990’s with the use of computerized sources. They also researched organizational sciences with the use of various books written under the particular subject. And decided to add the public correlations that were found out as solutions if they were to meet the criteria that is given below, 01. Actual turnover (except for the job leavers) was assessed 02. The study used a predictive design that collects predictor measures before Turnover occurrence.

03. Turnover was measured at the individual level of analysis

Through their research they were able to find out that the reasons behind the employee turnover was mostly, job satisfaction, organizational commitment, job search, comparison of alternatives, withdrawal cognitions, and quit intentions.

“Employee Turnover-a Study of its Causes and Effects to Different Industries in Bangladesh – Rezaul Hasan Shumon”

In this particular research the researcher have considered analyzing some major factors that he thinks that plays a major role in causing employee turnover. The economy, characteristics of the job, demographics, the person, a bad match between the employee’s skills, lack of opportunity for advancement or growth, feelings of not being appreciated, inadequate or lackluster supervision and training and unequal or substandard wage structures. Through this research the researcher was able to find many causes for employee turnover, they are, irregular payment, less salary, improper management, job location, better job option and insufficient medical allowance is the causes that were found out to be the major reasons for employee turnover. And the researcher suggested some solutions that were voted the most by the employees as solutions that they prefer the most. Such as, Standard salary structure, standard increment and medical facilities were amongst the top three voted solutions by the employees.

Harris at al. (2002)

According to Harris’s research, he came up with a theory stating that higher employee turnover rate of a firm, lower the rate of the firm’s ability to provide incentives to its employees, and ultimately it affects the firm by reducing its productivity. He also found out that the theory of job matching postulates that turnover is a solution for both the employees and the employers can adapt to in order to avoid being restricted in sub-optimal matches. He also states that the issue of trying maintain the workforce stability and flexibility on an even scale is way too much of pressure to handle that it will easily point out the rise of an optimal turnover rate.

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