High Employee Turnover Case Study

Question 1: In light of the committee’s agreement on the causes of the high employee turnover, upper management should give attention to the concepts of employee motivation and empowerment because disengaged employees cost company’s money. According to Gallup, disengaged employees cost the U.S economic more than $300 billion (as cited in Buchbinder & Shanks, 2012, p.40). Engaged employees must be motivated and vice versa. Motivation plays an important role in an organization because it brings more benefits to the organization.
Motivation improves level of efficiency of employees. Motivated employees are fully engaged in their work. They work harder and are more productive which help to achieve the organization’s goals. Employees who are motivated …show more content…
The organization will spend more money on replacing an employee including interviewing, hiring, and training. For job which requires higher levels of education and specialized training, it costs even more. High employee turnover also affect the efficiency level of employee. The employees have to cover the workload of other employees who left which may result in stress. Besides that, they need to take time from their job to train new employees as well. Therefore, the organization’s productivity decreases along with the quality of work. Another cost is it takes time for hiring new …show more content…
As mentioned above, it takes more money to hire and train new employee than reward the ones we have. We should make sure “to use many different types of rewards to achieve the desired outcomes” (as cited in Buchbinder & Shanks, 2012, p.50). We could create the reward program such as time off for quality work, merchandise, and more opportunities for internal promotion. Another strategy is open a suggestion box to allow the employee’s voice to be heard and a monthly meeting for employees and managers to discuss