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Retention Management And Metrics

Employee Turnover And Retention Briefings Abstract: 29

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Low Employee Turnover is Not Always A Sign of Success [The Post Standard] Thursday 03/25/04 8:42 PM

Low turnover isn't always a sign of employee satisfaction. Employees may stay with an organization because they have become complacent or are biding their time until a better opportunity arises. When employees stay for these reasons their productivity suffers and a negative attitude toward the company develops. Companies need to identify the reasons behind their turnover or lack thereof.

If a company is breeding long term employees with marginal performance, it should begin to provide these employees with performance improvement plans or redirection to more suitable positions. This sends the message to all employees that they are accountable for their performance.

Companies whose employees stay merely because of lack of opportunity elsewhere are vulnerable to increased turnover when the job market heats up. If your employee turnover is conditional upon economic conditions, it's important to begin preventative measures as soon as possible. Low turnover today doesn't insure against high turnover tomorrow.
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