What are the reasons that employees voluntarily leave employment?

What are the reasons that employees voluntarily leave employment?

With continuing pressure to improve bottom-line results, HR managers need to know why employees voluntarily leave organizations and businesses.


Mercer survey. Although there is a common assumption that pay and benefits are the most critical factors in employees' decisions to stay with or leave an organization, research shows that other factors --many related to career opportunities --play a much bigger role. A 2005 survey by Mercer Human Resource Consulting finds that what makes employees start looking for new employment in the first place can usually be traced to one or more of the following eight drivers of employee commitment:

1. Employees' confidence in their future with the organization
2. Employees' confidence in achieving career objectives
3. Employees' confidence in the future success of their organization
4. Degree of teamwork and cooperation
5. Employees' satisfaction with the type of work they do
6. The chance to do challenging and interesting work
7. The company's commitment to quality
8. Opportunities for continuous learning to improve skills
Supplee Group survey. A 2001 survey by the Supplee Group points the finger at poor managers, rather than pay issues. Money won't keep people in a place they otherwise can't stand. Nearly as many people leave because of poor upper-level management than because of low salary, inadequate training and meager career growth potential combined.

The survey asked participants which of 17 factors were most important in the decision to leave their jobs. Twenty-six percent said their perception of managers being inept was the primary motivator for quitting. Managers were cited for poor communication, being overly critical and petty, taking credit for their employees' accomplishments, being unclear in giving direction, rudeness, and a general lack of support and performance feedback.

Here are the specific factors examined in the study and the percentage of respondents who cited each as their primary reason to leave:
1. Poor management (26%)
2. No career growth potential (13%)
3. Little recognition of my accomplishments (10%)
4. Inadequate compensation (7%)
5. Poor training program (7%)
6. Inadequate performance appraisal (7%)
7. Unable to fully utilize my abilities (6%)
8. Infrequent performance appraisals (5%)
9. Poor support from company (5%)
10. Work is boring (5%)
11. Poor professional development track (2%)
12. Too much travel (2%)
13. Dislike the nature of the business (1%)
14. Making a career change (1%)
15. Fear of being fired (1%)
16. Relocation (1%)
17. Retirement (1%)
Exit interviews. Exit interviews are an enormously important part of any retention strategy. If you know why employees leave, you'll be in much better shape to fix problems before they drive employees away.
 
Do your homework to get the most valuable retention information out of the exit interview. Make an appointment in advance to allow both the interviewer and interviewee to prepare. Don't schedule it for the employee's last day, as that day tends to be "lost." The interviewer should be familiar with the employee's performance record and should have spoken with the employee's supervisor. Conduct the interview in a private setting where the employee can speak freely.
 
A checklist of information you need from departing employees:
 
Answers to the following questions will give you insight into why someone is leaving:
  • Why are you leaving?
  • If you are going to another job, what does that job offer that your current job does not?
  • What factors contributed to your accepting a job here? Were your expectations realized?
  • How would you evaluate your salary in comparison to the work you performed?
  • What did you enjoy about working here?
  • What did you dislike about working here (even things that didn't contribute to your leaving)?
  • What comments or suggestions do you have for making this a better place to work?
  • Would you recommend our organization to a friend or relative as a good place to work? Why or why not?
Reprinted with permission. © CCH

What are the reasons that employees voluntarily leave employment? With continuing pressure to improve bottom-line results, HR managers need to know why employees voluntarily leave organizations and businesses.

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