Read below to find out the 6 Ms that cause a high employee turnover rate.
Business Reference says that some specialists feel that low morale of staff leads to high turnover by establishing an atmosphere where staff are looking for excuses to leave. Employees are more likely to leave in these businesses due to problems such as low pay, bad leadership or feeling unappreciated. High turnover can then further reduce staff morale, resulting in an increasingly high turnover and reduced morale downward spiral. In comparison, employees with greater morale are less likely to leave, even if their pay is small.
Measuring performance through employee evaluations is an element of the compensation systems of many organisations. As an outcome of managers observing and assessing their performance, the ratings staff receive can directly affect the quantity of salary or wage increase of the employee. That motivates employees to work harder and not feel like they are stuck at a dead-end job with no future. However, if there are no employee measurement efforts taking place, it will result in a higher employee turnover rate.
Although you may consider it to be of minor significance, some elements of the job may have a significant effect on your lives. Something like sitting in a chair all day may lead to chronic health issues, for example. Not only this, there is a complete list of issues related to the absence of workplace motion. Allowing employees to have flexibility with movement prevents back pain, decreased productivity and low morale. However, being rigid with your employees and their movement will result in health problems and a higher employee turnover rate.
Low employee motivation will lead to a higher employee turnover rate. One thing that can lead to a clear lack of motivation for the worker is the absence of praise or the easy recognition of a well done job. Knowing that you have accomplished your job well is not enough: it is essential that your colleagues and executives see it as such. A successful team leader will instinctively know when and, most importantly, how much to acknowledge accomplishment and offer praise. A straightforward ‘Good job! ‘ can have a much higher effect on one member of the team than on another.
What creates high turnover of employees? The answer is bad management, according to one research. The O.C. research. The Tanner Institute discovered leadership to be a direct influence on the morale of employees. Indeed, 94.4 percent of individuals with elevated morale in the workplace say their executives acknowledge the job they do and properly reward them. The research indicates that bad leadership has an adverse effect on morale, leading to disinterested employees and high turnover, if powerful leadership has such a powerful influence on staff morale.
Monetary benefits is the arguably one of the main factors of taking a job. If you are paying your employees a salary that does not cover their basic expenses or if you cut down on their salary, employees will leave your company for another that offers a better payment plan.
Read more on this topic by reading Robert Keay’s book on Customer Happiness.