Assignment HR

Literature Review

Regarding the reasonses of the problem

Introduction

Turnover, in essence, results from job dissatisfaction for individual employee in the workplace. However, being dissatisfied in a work is not the only reason of leaving the company. When employees possess skills that are in demand, they are likely to be tempted by a high salary, more benefits or better potential for career development. Consequently, it is sometimes necessary to understand and identify the difference between employees who are unsatisfied, leaving the job and those who quit for other reasons. There is a variety of causes and influential factors that result in employees’ turnover of an organization.

Reasons of Turnover

Managerial factors. High employee turnover is caused by the instability in the management of an organization. Employees are more inclined to stay and work when the organization is stable and friendly working environment (Bergmann and Scarpello, 2001). The obligation of a quantitative approach to managing the employees has led to disillusionment of employee and so it directs to turnover. Because of this, managers should not apply the quantitative approach in supervising their employees (Dress and Shaw, 2001). Approving a cost oriented approach to labor costs increases employee turnover (Liu, Liu and Li, 2006). If managers take steps to cut the labor turnover, it is essential to avoid all these approaches (Dobbs, 2001). Organizations could eventually reduce in size turnover unless organization has performed as well balanced communication system between managers and workers (Griffeth and Hom, 2001).

Working environment. If working environment is low-grade due to lack of all the basic facilities such as proper lighting, working in a space with some natural light, ventilation, air conditioning system, open space, restroom, lavatory, furniture, safety equipment while discharging hazardous duties, drinking water and refreshment, workers will not be capable of facing up the difficulty for a long time (Singh, 2008). Besides, a bad boss creates an adverse working environment, thereby leading the employees to leave the job.

Pay. According to Shaw et al (1998), “Pay is something given in exchange for services rendered in an organization”. It has played a significant role in retaining and rewarding high quality human resources. To be more precise, one of the critical factors of employee turnover is lower salary. When employees’ receive lower salary and insufficient financial rewards, they tend to stay no longer with the organization (Lavob, 1997). It is often said that job dissatisfaction is the major cause of poor pay scale procedure, leading employees to leave the job. A good illustration of this is that a new employee may guess why the person next to him gets a high salary for what is supposed to be the similar job (Dobbs, 2001). A common opinion is that good pay can be a strong determinant of job satisfaction that leads to achieve higher productivity in the organization.

Career promotion. In wide terms, reward program demonstrates the broad theory of compensation strategy which is described as the “deliberate utilization of the pay systems as an essential integrating mechanism through which the efforts of various subunits or individuals are directed towards the achievement of an organization’s strategic objectives” (Labov, 1997). The best way of promoting and motivating employees would be a combination of pay, promotion, bonus and other kinds of rewards to achieve organizational performance (Ting, 1997). The reason behind is that lack of promotion and ordinary work responsibilities considerably can lead to the intention of turnover (House et al, 1996). To an extent, employees consider leaving the organization due to the ineffective performance assessment and perceptions of job unfairness (Weiss and Cropanzano, 1996). By implementing “job enrichment” programs, organization would be capable of retain employee and to provide the opportunities for better career development (Magner et al., 1996).

Job fit.  According to Campion (1991), Selection process is related to the fit between the candidate and the job. O’Reilly et al (1991) argued that job satisfaction levels will go up if there is a good fit between qualities of the applicants and the job. Therefore, it is imperative to have a good fit between what the candidate wishes for and what the organization requires. Organizations will increase the productivity if they recruit the suitable employees and take necessary measures to increase job satisfaction. On the other hand, turnover will not be minimized until employees are not satisfied with the job. As a result, management needs to deal with the pressing issue of employee turnover and job satisfaction. Thompson et al. (2006) state that “A happy worker is a productive worker”.

Influence of co-workers. In 2002, a study carried out by Martin and Martin (2003) of 477 workers in 15 companies investigates the reasons why employees are intended to quit the job. One of their major findings is that “co-workers intentions have a major significant impact on all destination options – the more positive the perception of their co-workers desire to leave, the more employees themselves wanted to leave”. In fact, job change acts as a form of social pressure or rationalization on employees while co-workers intend to leave their positions.

The task:

- Literature review regarding solution for the problems of teachers’ turnover in schools.(two pages)

The problem is:

1. Managerial factors.

2. Working environment.

3. Career promotion.

4. Job fit.  

5. Pay

Note:

1. According to literature review should be from academic journal not website. (1 theory’s , 5studys or 1 model ).

2. Original with good academic citations and references

3. Done on 17 Dec

4. From three or four sources or more.

5. Reference links APA style