How employee turnover affects business and how to improve employee retention

High employee turnover is generally regarded as bad for business. 1) It has a negative impact on day-to-day functioning of a company. Many tasks and work requirements may remain unfulfilled and other employees may feel overloaded and stressed if required to cover for vacant positions for long periods of time. 2) Employee turnover can affect profit margins when customer service is negatively affected. It’s very important to monitor the quality and service levels customers are receiving especially when there is employee turnover. 3) Employee turnover increases hiring and training costs which may negatively affect the bottom line of the business. Even after lost employees have been replaced it takes time for new hires to become fully productive. 4) Current employees may become frustrated and overworked. This can cause dissatisfaction and unhappiness in the workplace. This may further increase employee turnover rate in the company. For more information on employee retention contact http://www.myhrpro.com/engagement-and-retention

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