Employee Retention

In any organization, People have become very important stakeholders. But as the benefits take superseded loyalty and professionalism creep into the organizations and it becomes an unyielding task to retain talented people in the organizations (SRIVASTAVA & RASTOGI, 2008). 

In this process Securing and retaining skilled employees plays an important role. And as employees’ knowledge and skills are the key factors to companies’ ability to be economically competitive. This confirms that employee retention is very important for the functioning and competitiveness of a company (Kyndt, et al., 2009).

When there is a high employee turnover in an organization, it causes an increase in the resources cost, extra efforts and costs for new recruiting regularly, and the cost of time when having to replace major positions (SRIVASTAVA & RASTOGI, 2008).  

Employee retention strategies became more and more important and majorly they will be considered an essential factor to be achieved to keep a business sustainable, and it has affected the organization’s vision, mission, values, and policies (Dibble, 1999). It will provide supportive levels of managerial communication and describe the importance of non-verbal communication, which is a suitable discussion among each level of employees. Causing improper communication leads to a poor work environment which increases employee turnover (Cloutier, et al., 2015).

According to (Bhat & Mishra, 2019), “fairness and transparency are basic but powerful concepts that leave a lasting impression on employees. We believe that the workers identified five factors as the main factors of job satisfaction:” 

• Respect employees at all levels.
• Compensation / Payment
• The trust relationship between employees and management
• Safety at Work
• Ability to use skills and abilities 

Theoretical Framework of Strategies to retain employee

(Likhitkar & Verma, 2015) 

With good reason, the retention and further development of highly skilled or outstanding employees is often the key priority in terms of a company’s human resource management strategy (Dibble 1999). Some companies have in place strategic policies to respond to the upcoming global competition for the most skilled employees, which include looking to the future (Dibble1999).

Most employers and company leaders fail to identify the reasons why their employees leave their positions (Alam, 2015). So there is a gap between them so the top management cannot meet the needs and they fail to provide the guidance. Further because of the lack of opportunities for professional development, inadequate compensation or rewards, imbalance in the work-life, stress, and favoritisms (Alam, 2015).

Employee satisfaction and employee engagement are the key elements of the employee retention process. Naturally, managing these factors is important, but it is very time consuming. At the same time, employees focus on productivity, presentation, employee morale, quality of work, and staff turnover. In general, (Bhat & Mishra, 2019) states that “employee retention management means that the organization really wants to participate in the company and supports a talented and motivated employee committed to the overall success of the organization.

Benefits of Employee retention Management

(Likhitkar & Verma, 2015)

References

Alam, M. S. M., 2015. Employee Turnover in MFIs: Reasons & Remedies. Employee Turnover in MFIs.

Bhat, K. A. & Mishra, D. S. S., 2019. A Study Of Hr Practices & Effective Employee Retention Strategies. THINK INDIA (Quarterly Journal), 22(4).

Cloutier, O., Felusiak, L., Calvin , H. & Enda , J. J. P.-., 2015. The Importance of Developing Strategies for Employee Retention. Journal of Leadership, Accountability and Ethics, 12(2).

Crisp, G., 2021. Employee Turnover: Costs, Causes and Cur er: Costs, Causes and Cures. 

Dibble, C., 1999. Sector-Driven Co-Evolution of Regional Networks and Agent Locations. Society for Computational Economics.

Kyndt, E., Dochy , F., Michielsen, M. & Moeyaert, B., 2009. Employee Retention: Organisational and Personal Perspectives. Vocations and Learning.

Likhitkar, P. & Verma, D., 2015. Employee Retention: An issue of every Business Sector. ACADEMIA Accelerating the world's research., 3(11), pp. 66-77.

SRIVASTAVA, V. K. & RASTOGI , S., 2008. Employee retention By way of management control systems. Ubiquity.