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Study of Factors in Skilled Employee Turnover
QNT/561
Study of Factors in Skilled Employee Turnover
Employee turnover and retention of skilled workers is a vital aspect of business operations and a problem that many organizations face. High turnover rates can have a major impact on businesses in terms of cost, time, and profitability. It is for this reason retaining employees who offer companies the most potential to succeed is imperative, and turnover rates should be kept at a minimum. Costs of employee turnover can depend on multiple variables including, but not limited to, job satisfaction, pay, benefits, staffing, and job vacancy. These variables can be broken down into two groups, independent variables and dependent variables.
Independent Variables
Job satisfaction – describes how content an individual is with his/her current job. Factors that can increase job satisfaction among individuals include pay, benefits, perceived fairness, flexibility, working environment, and opportunities for advancement within an organization.
Job vacancy – available vacant positions can influence individuals to leave their current place of business and seek employment opportunities elsewhere to achieve desired needs including more.
Dependent Variables
Pay – wages employees earn in comparison to each other and competitors.
Benefits – these include items that can be offered to employees to increase job satisfaction including, work hours, health plans (medical/dental), insurance, etc.
Training – cost of training new employees or retraining current employees due to turnover rates.
Staffing - employing the right amount of individuals who are the best fit for the organization to ensure a safe workplace and scheduling flexibility.
It is important that organizations ensure that the best workers remain within their company to help increase productivity levels and ensure overall success. The cost of turnover can be devastating to organizations if no plan of action is set in place. According to William Bliss, "Conservative estimates put the cost of replacing a lost employee at 25 percent of the annual compensation amount. For the typical full time employee who earns $38,481 and receives $50,025 in total compensation, the total cost of turnover would amount to $12,506 per employee” (Bliss).
Research Proposal The focus point of our research is employee turnover and retention. We are asking if there are any measures that organizations can take to reduce the employee turnover rate and in turn improve the retention of skilled employees.
Interviews will be conducted with currently employed adults. We are attempting to gain the opinions about what they feel are ways to retain employees and improve retention of the skilled employees that help a company achieve its goals. Information will also be gathered regarding the reasons that contribute to employees leaving companies.

Research Design This research will be carried out in the form of a case study. This design has been chosen because the study will be performed by a small group of interns that will be recruited from a nearby university. It will also deal only with groups of employed or previously employed individuals.
Pay will be a confounding variable, as it will influence all the other factors. Rate of pay will be a huge determining factor in the retention of skilled employees. Everything else is largely secondary.

Development and sampling Team D has preferred simple random sample for the study of employee turnover to conduct this research structure. The team will develop a questionnaire addressing all the previously referenced variables. This questionnaire will be given to exiting employees as part of their checkout process. The surveys with currently employed adults outside of the business shall be conducted through telemarketing. This method has been chosen due to budgetary constraints. The Personnel Department will perform the exit interview with employees leaving the company.
Conclusion
This study will help the company understand why skilled employees are leaving. It will be done with a minimum of expense and maximum efficiency, and will help the company to determine methods to retain key personnel while remaining within the severe budgetary constraints imposed by the current economic climate.

References:
Bliss, William. "Cost of Employee Turnover." The Adivsor. Retrieved from: http://www.isquare.com/turnover.cfm January 14, 2012.
Wolhuter, C.C., Van der Merwe, A., Vermeulen, H. and Vos, M.S. (2003). Themes in Comparative E
Schiffman LG, Kanuk LL (1997). Consumer Behaviour, 6th edition, USA.

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