This paper looks at direct and indirect costs associated with employee turnover.
Written in 2007; 1,639 words; 7 sources; MLA; $ 53.95
Paper Summary:
In this article, the writer researches and examines the effects of employee turnover on an organization, including the costs in terms of financial aspects as well as costs associated with customer retention. It is clear that employee turnover is very costly to organizations and as noted in the introduction of this study employee turnover rates are as high as 23.4% in some industries, which demonstrates a very large financial cost to these organizations. As demonstrated by this report, the costs associated with employee turnover are costs both of the direct and indirect nature. The writer concludes that there are methods of avoiding employee turnover which are briefly touched upon within the scope of this present research. The writer further concludes that there are methods that hold promise for the organization in the reduction of employee turnover and the costs in terms of finance and productivity that the organization suffers due to employee turnover.
Outline:
Objective
Introduction
Costs Associated with Employee Turnover
Causes of Employee Turnover
Comprehensive Cost Calculation
Calculation of Losses Associated with Employee Turnover
Strategies for Avoiding Employee Turnover
Summary and Conclusion
From the Paper:
"The employee will likely only contribute at a 25% level of productivity for the first few weeks therefore; the organization must calculate 75% of the employee's salary for at least two to four weeks of their new employment. During weeks, five through twelve the employee will likely contribute at a 50% level of productivity requiring the organization calculate 50% of the individual's salary for that period. During the thirteenth through the twentieth week, the employee will likely contribute at a 75% level of productivity requiring the organization to calculate 25% of the individual's salary for that period."
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