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What are the main causes of Employee Turnover?

2nd Jul 2014
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Employee turnover technically projects the rate of employees leaving a company and new employees filling up their positions. Employee turnover is not a good thing for any company as it directly hits the cost aspect. And yes, employee turnover is expensive.

What could be the reason for employee turnover? There is a saying that most employees leave their managers. If this could be one of the reasons, then inadequate pay could be the other. Surprisingly, neither one of these are the main causes for employee turnover.

Then why do employees quit their jobs? 

Here are the main reasons of employee turnover.

  • Lack of vision: Initially, no employee cares about the company's profit but about their personal interest and gains. These shortsighted employees come with high expectations without realizing that the process would take some time. Therefore, they tend to change jobs.
  • Salary scale: This is the common reasons why the employee turnover rate is high. Employees are for sure in search of jobs that pay them well. When employees are underpaid, they tend to look out for jobs that offer considerable pay.
  • Work environment: Work environment is also the main cause for employee turnover. Every employee would want to work in the environment that he is comfortable in. This is one such reasons why employees jump from one company to another in a just a couple of months.
  • Paucity of motivation: Employees who leave due to lack of motivation are not among those who look forward for a pat on their back, but those who would want to know if their work adds value to the company's growth.
  • Growth policies: This is the prime reason why employees quit their job. Employees always look up for potential opportunities for advancements and promotions.
  • No employee engagement: Employee engagement is one of the important motivator. Employees would be happy to be a part of the company's ups and downs, and therefore they should be kept posted with all the happenings in the organization.

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