Hrm 531 Week 3 Commitment And Benefits

Executive Summary…….3 W hy Employee Retention and Motivation Is Important…….5 Turbulence In The Work Environment…….5 At The Root Of The Problem—Demographics…….6 Retention As A Strategic Business Issue…….6 Calculating The Cost Of Attrition…….8 Why Employees Become Disengaged and Leave…….9 The Phenomena Of Intrinsic Motivation…….13 Turnover Is Not A

Organizations that are serious about making improvements are going to have to deal with the issue of job satisfaction. Job satisfaction can be best described as the positive feeling that an individual has about their job resulting from an evaluation of the job’s characteristics (Robbins & Judge, 2009, p.31). It would seem natural to think that job satisfaction would have a positive correlation with successful organizations. What impact does job satisfaction have on an organization? Research will show that there are not only internal effects from performance related issues, but also external effects that impact customer satisfaction.

There are two types of turnover, voluntary turnover happens when the employee makes the decision to leave and involuntary turnover is when employees has no choice in their termination (Schmitz, 2012). Every month or sooner managers experience some of their exceedingly qualified employees leave the company. After realizing that their company is becoming less profitable is when they begin to wonder why and brainstorm on ways to retain them. In Information Technology, “the cost of recruiting new staff is high and the loss of continuity when staff leave can also be very expensive” (Bott, 2005, p. 111). In IT, human resources strive to maintain their highly skilled employees while employees’

There are five major components of job satisfaction, one being monetary benefits (Ghillyer 2010). According to Ghillyer (2012) an employee’s behavior towards their pay may affect their work performance. The issue that arises with employee motivation is that management is unable to satisfy all (Ghillyer 2010). This becomes an even larger problem when employees being joining unions, resigning and being frequently absent (Ghillyer 2010).

The majority of employees resign from their jobs due to a number of reasons, including frustration from bad bosses, lack of motivation due to being in a less challenging work environment and low salary. According to a research involving more than 10,000 employees, career advancement is another major reason why people leave their job.

The end result of a lack of employee motivation in their jobs is turnover. When one is not happy with their career or job choice and it becomes clear that an employer is only looking out for the profit line of the corporation, employees will actively seek out new employment opportunities. The cost of turnover to an organization is tens of thousands of dollars now vying to be spent on interviewing, selecting, and training a replacement.

After analyzing this organization, it is apparent to that job satisfaction should be a priority for management. Job satisfaction can be best understood as a positive emotional state resulting from a perceived satisfaction from one’s job (Locke & Lathan, 2007). Employee satisfaction is an important retention strategy based on the knowledge that a satisfied employee is more effective in completing their duties, more productive, and seldom contemplates alternative employment. Achieving a goal of a high employee satisfaction rate consist of implementing compensation and reward strategies mentioned prior. It should be emphasized that employees, regardless of industry respond in a positive manner to positive recognition. Positive recognition can be achieved with more than compensation and rewards. Creating an atmosphere where employees feel like their ideas and opinions matter can be just as effective as monetary and non-monetary rewards. A routinely exchange of ideas

A high turnover in a few companies is a tremendous issue. An individual that is a manager should be able to understand the requirements of operating a business so that he or she keeps their employee ecstatic. A few reasons that unhappy employees leave their jobs are micromanaging, too many responsibilities, the manager doesn’t engage with his or her workers, promotions are limited within the company, communication, or even constant change within the company.

All over the globe retaining employees is a most critical factor for the organisations. High employee turnover is more common in private sector as compared to public. In construction industry, to reduce employee turnover and to improve the productivity of an organisation, organisations have to be aware of the reasons why an employees quit the organisation?. Employee turnover can be explained as the expenses, in term of money, time, and quality of work, that an organisation bear while replacing an employee. If an organisation fails to satisfy the needs of its employees then it is obvious that the employees will look forward to fulfill their necessities. This chapter discuss the reasons why employees quit their jobs.

The authors of this article give the misconceptions of employee turnover by systematically breaking down myths that organizations tend to believe cause employees to leave the workplace. The misconceptions are replaced with evidence based strategies that show the underlying factors beyond pay compensation that drive turnover in addition the employee morale. One of the meta-analytical relationships that

Many companies look to salaries and benefits as the first places to cut back when looking to make changes that involve cost-saving. When this happens, it is inevitable that some employees will leave the company to seek employment elsewhere. The employees that remain, whether they stay voluntarily or because they could not find employment elsewhere, are often resentful. Motivation decreases, taking job performance along with it. Employees lose their company loyalty and may even become angry enough to purposefully sabotage the company.

Turnover intention refers to the perceived possibility of an employee to leave or quit an organization either voluntarily or involuntarily (Balogun & Olowodunoye, 2012; Bigliardi, Petroni, & Ivo Dormio, 2005). The issue of employee turnover has several negative direct and indirect negative effects on organizations as well as the morale of the remaining employees. Employers need to be very creative in tackling this issue by recognizing the several factors to comprehend the reason behind due to which employees might decide to quit or leave their jobs otherwise as this has still a serious problem for all the organizations across the world. (Monama, 2015).Generally, there are some studies to see the reasons on why employees might decide to leave their organizations (Abdulkareem, Chauhan, & Maitama, 2015). But still, this problem needs the attention of the researchers to understand this phenomenon of employee turnover intention.

The employees have been showing striking deviations on this metrics. When it comes to employee turnover, the past decade has registered high numbers of employee’s turnover. It has not been easy for organizations to retain its workers for more than ten years. This is because employees have been seeking a satisfying job that fits their skill set, experience and passion. Employees have been more in touch with their personal interests and thus trying to link them to their career goals. This has seen a generation of employees that has high turnover and preference for jobs that fit their skill set. The turnover decisions have been based on the fact that employees have changed in their interests. The attendance of the employees has also been declining over the period. There has been a preference for flexible job schedule. The employers that have been able to recognize the need for flexible work shifts have been successful in their human resource management in the last decade.

According to Nancy C. Morse (1997) “Satisfaction refers to the level of fulfillment of one’s needs, wants and desire. Satisfaction depends on what an individual wants from the world, and what he gets.” Employee satisfaction is a measure of how happy workers are with their job and working environment. It is undeniable that there are many different factors affecting organizational effectiveness, and one of them is employee satisfaction. Also, it is said that a satisfied employee is a productive employee, so every company is giving higher priority to keep their employees satisfied by providing several facilities which improve satisfaction and promote a healthy work environment. If employees are not satisfied with their job, there can be chances for absenteeism, high turnover, low productivity, and making mistakes. Employee satisfaction is the sum of an employee’s experiences, both positive and negative, when performing his or her job. Moreover, the quality of an employee’s workplace experiences may be largely determined by his or her ability of meet personal objectives.

Employee Retention means that to encourage the employees to remain with the organization for the maximum period of time or until the completion of the project. The organization and the employees will be benefit for the employees’ retention. Robert, Mathis, John, Jackson (n.d) found that most of the employees leave an organization because of the frustration and constant friction with their supervisor or other team members. There are some other factors occur the turnover of the employees which are low salary, lack of growth prospects and motivation. The management must try to retain the employees who are really important to the organization. It was efficiency the organization performance