Employee Turnover, Essay Example

Employee turnover is a human resource concept implying to the replacement of employees in an organization. The partings of employees from the organization are commonly attributed to deaths, resignations, transfers and retirements (Raines, 2013).  High turnover is particularly sensitive in a situation that, the job market is saturated with highly qualified job seekers. At this time, the company ought to take care about the experienced and skilled employees leaving the firm to be replaced by a high degree of novice employees. The organization is obliged to account for the cost that is associated with turnover especially in light of a prevailing unhealthy economic period. The costs are allied to real costs in terms of the time required for conducting the process of selection and recruitment leading to replacement, along with the opportunity cost associated with lost productivity. Although the job market may be saturated with highly qualified job seekers, the management has to consider the prevailing unhealthy economic period and assess the costs that are associated with turnover.

The permanent solution lies in recruitment and selection of the right talent from the beginning. This will prevent the need for hiring at a time that the organization feels that the job market saturated with highly qualified job seekers and avoid the costs associated with orientation and internships of new employees (Raines, 2013).  Old employees have already been inducted in to the culture of the organization and a working relationship develops among managers and co-workers. Retention of existing employees is also augmented by offering the compensation that best suits their performance. Offering the right compensation will minimize the chances of being attracted to the job market that is saturated with highly qualified job seekers at any one time.

Reference

Raines, Susan A. 2013. Conflict Management for Managers: resolving workplace, client, and policy disputes. 1^st Ed.  Jossey-Bass Publishers.