Turnover costs a company a lot in fact the average cost of employee turnover to any organization is 25% of the annual salary with addition to 25% of the annual benefits offered to the employee. It is important to understand the reasons to turnover of employees and generally these include limited growth opportunities, bad supervisor, uninteresting or unchallenging jobs, lack of a recognition and reward system, lack of a competitive compensation package, chances of an improved compensation package and the culture plus relationship with colleagues.
Certain factors have to be considered by any organization while developing a employee retention program in order to avoid turnover and these include evaluation of the reasons and problems leading to turnover, feedback of employees that is existing and employees leaving by using exit interviews, high involvement of the management, appropriate and effective communication by management to employees of the changes or the retention program and constant revision of the retention strategy or plan. Recruitment is an essential part of the retention program since it indirectly reduces turnover by getting the right people for the right job who are satisfied and automatically turnover is minimized. Microsoft which is an organic organization and employees do not have linear careers plus they are paid enormously and due to this the employees tend to get over worked with less benefits but they are paid well. The stress of work and lack of commitment in the employees of Microsoft has caused turnover and recruitment does play a role in affecting turnover to a certain extend because their recruitment is a good process it’s the other reasons causing turnover more comparatively. Therefore, considerable differences exist in both organizations when it comes to studying the relation between strategic recruitment and turnover.
These are excerpts of essays please place order for custom essay paper, term papers, research papers, thesis, dissertation, book reports and case studies.