Chapter 10

Employee Turnover

I have always known what employee turn over meant, but it was good to read about it so I could get the official definitions and workings of how turnover in organizations really work. Employee turnover is when employees leave the organization. When the organization initiaites the turnover the result is involuntary turnover like terminiating an employee for drug use or laying off employees during a turnover (When organizations would perfer to keep them it is voluntary turnover)

Normally organizations try to avoid the need for involuntary turnover and to minimize voluntary turnover. Both kinds of turnover cost alot of money which is something I have never really thought about. It is crazy to think about every time a company hires or fires employees it is costing them alot of money. Replacing workers is expensive and new employees need time to learn thier jobs and build teamwork skills. Plus people today are more ready to sue a former employer if they feel they feel they were discharged. Effective HR management can help the organization minimize both kinds of turnover. I am going to look at employee turnover at organizations totally different now because I am more aware of how much it costs the company in the long run.