HOW EMPLOYEE RETENTION EFFECT ON HUMAN RESOURCE MANAGEMENT

HOW EMPLOYEE RETENTION EFFECT ON HUMAN RESOURCE MANAGEMENT

Introduction

One of the key areas of concern for HR experts all across the world is the retention of productive employees. Because of the high expenses and time lag associated with employing new staff, employee retention is extremely crucial. Employers also want to keep valuable employees who give their all to the company. Employees are more likely to leave a job in a global work environment for a variety of reasons, including greater career opportunities, lucrative income packages, flexible working hours, and a better office atmosphere Harvey and Richey (2001).


Employee Retention is a procedure in which workers are encouraged to stay with the company for as long as possible or until the project is completed. Employee retention is advantageous to both the employer and the employee. Employee retention management is taking intentional steps to keep employees engaged and focused so they choose to stay on the job and contribute fully to the company's success. A effective employee retention program may help you recruit and keep important personnel while also lowering turnover and its associated expenses. All of these factors contribute to a company's productivity and overall success. It is more cost effective to keep a good employee than to find, train, and orient a new one of the same quality Collin (2009).

Employee retention is an important aspect of HR management and planning. As the polar opposite of retention, turnover is frequently regarded as a normal HR issue needing records and reporting. Indeed, employee retention is not a problem that can be solved by data or records; it all depends on how we interpret individual needs. From the perspective of employees, the only clear logic that employers must grasp is that the organization must act as a helping hand for real issues. As a result, businesses are being driven to investigate why people leave and stay. Sometimes, in the HR department, a person is appointed to focus only on retention to ensure that it is given top attention (Herman 2009, Amold 2005).


Ways of HRM Deal with Employee retention


  • ·         Finding the Reason for Leaving (Discuss the various issues face to face)

Recognize his issues and pay attention to his side of the situation. The retention of staff should be prioritized.

  • ·         Try to provide a solutions

It is critical for management to retain those individuals who have the potential to be important to the organization.

  • ·         HR person must ensure that he is recruiting the right employee who actually fits into the role

A right person in the wrong career would never find their job interesting and would almost continue to seek a change. Verify that each employee has been allocated duties in accordance with his or her area of expertise and interest.

  • ·         HR must launch various incentive schemes for the top performers

This way the employees feel important for the organization and strive hard to perform even better the next time.

  • ·         Motivational activities at the workplace

External trainings that assist employees in learning something in addition to their regular employment. Encourage them to join in extracurricular activities that are beneficial to their overall development.

  • ·         Employee Training and Development

External trainings that assist employees in learning something in addition to their regular employment. Encourage them to join in extracurricular activities that are beneficial to their overall development. Encourage them to interact with one another so that their level of comfort grows.

Conclusion

It needs to be noted that maintaining excellent people is vital to sustaining organizational success. Recruiting and keeping new staff is both costly and time-consuming. Furthermore, turnover has a detrimental impact on your employees' productivity and morale. Leaders have attempted to reduce turnover as a result of staff shortages. The necessity for efficient retention techniques is becoming more important.

References

          https://www.tutorialspoint.com/employee_retention/employee_retention_the_role_of_hr.htm#:~:text=Employee%20retention%20efforts%20may%20include,employee%20retention%20strategies%20during%20restructuring.

·         https://study.com/academy/lesson/role-of-hr-in-employee-retention-productivity.html

·         https://www.whatishumanresource.com/employee-retention

·         https://www.toolbox.com/hr/engagement-retention/articles/what-is-employee-retention/

Comments

  1. Dilini MBAApril 6, 2022 at 4:46 AM

    This is a timely article as many organisations experience high staff turnover nowadays. Staff retention is very important as it will improve productivity and also reduce costs such as recruitment, training and advertising. HR plays an important role in keeping staff motivated and reduce staff turnover. Good article. All the Best!

    ReplyDelete
  2. Uditha ArawpolaApril 17, 2022 at 4:52 AM

    Employee retention is well-explained. Excellent article. I wish you the best of luck!

    ReplyDelete
  3. Gayan MarasingheApril 28, 2022 at 4:42 AM

    Employee retention helps to save organizations from losing productivity. Companies with a high retention rate tend to have more engaged employees who contribute more to the organization. All the best!!

    ReplyDelete
  4. H.M.W.IRESHA MBA24May 1, 2022 at 10:14 AM

    Employee retention can be defined as an organization’s ability to keep its employees. organization can prevent top talented ones from leaving with the right practices and strategies. Effective employee retention can save an organization from productivity losses. nicely Explained & timely valuable topic. best of luck!

    ReplyDelete

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