The Negative Effect and Consequences of Employee Turnover and Retention on the Organization and Its Staff

Employee turnover which is considered to be one of the challenging issues in business creates insecurity for organizational workforce. The negative effect of turnover has been the focus of top management in almost every industry. It indicates that turnover is one of the most expensive and difficult workforce challenges facing organizations. The intention of the study is to examine how the organization is negatively affected by employee turnover and how it impinges on other staff members. The researcher will study secondary data to verify distinctive reasoning for turnover in order to supply supportive information but also performing an employee questionnaire or survey to obtain direct input from the faithful employees to aid in collecting actual information. The researcher will conduct the required business research to evaluate the contributing factors relating to turnover rates. Researcher will analyze the present economic situation and inspect any association to increased turnover rates. Implement employee recognition programs and rewards through tough economic times might promote retention. The aim of the study were to identify the definite intentions of turnover, its harmful effects and possible suggestions that could be supportive to the industries for their efficiency, productivity and performance. Keywords: Turnover, Retention, Job satisfaction, Productivity.DOI: 10.7176/EJBM/5-25-2013-0