Sample Paper on How to improve retention in the workplace

How to Improve Retention in the Workplace

1.0 Introduction

            Labor retention, refers to the degree to which an employer is able to retain an organization’s workforce at a particular time. It is quickly becoming an important concept that is continually gaining priority as cases of labor turnover continue increasing at the dawn of each day. According to Erling (2013), employees’ turnover defines the proportion of organizational workforce that leaves the organization within a particular period and is usually portrayed as a percentage of the total number of the organization’s workers. Employee turnover is a common concept that naturally occurs in any business organization, as employees tend to constantly obtain and subsequently terminate their employment contracts. Excessive turnover rates have however become an issue of concern among organizational managers since they have increasingly become costly thereby affecting overall organizational productivity (Faucher-King, 2010).

Most organizations in the US have particularly experienced the highest turnover rates in the recent past, which has in return drained the nation’s economic resources through funding   activities such as recruitment, deployment and training. The fact that new employees make more errors and are prone to accidents compared to experienced employees has further intensified the cost of replacing human capital, which exceeds the estimated hiring cost. Reliable data, for example, indicate that United States recorded an average of 3.3% monthly turnover between 2000 and 2008 (Eseme, 2008). Evidence however, indicates that the rates can significantly vary between periods and job sectors. United States for example reported an average rate of 39.6% in annual labor turnover in industrial sectors, which varied significantly from the hospitality sector, which recorded an average rate of 78.5% annually. These rates cost the country more than eleven billion dollars per year, which explains why most organizational managers agree that labor turnover is a rampant problem that should appropriately be addressed. Employee turnover has been linked to escalating real and opportunity costs that include the total amount of time taken when hiring replacements and lost productivity respectively. While these represent direct as well as indirect costs, they are estimated to be equivalent to more than 150% of employees’ salary package. According to Peter (2013), other direct costs associated with labor turnover include leaving, redeployment and transition costs, while indirect costs include reduced productivity, low level of performance, demoralization and unnecessary overtime. Improving labor retention within an organization is crucial, as it would promote effectiveness and overall organizational performance. This study aims to establish ways through which retention within the workplace can be improved.

1.1 Study objectives

The specific objectives that will guide this study include:

  • To establish the various factors that reduce retention in the workplace
  • To determine the effects of reduced labor retention
  • To establish ways through which labor retention can be improved

1.2 Study significance

           Undertaking this study will be of great significance, as it will help to generate reliable recommendations that organizations can adopt to help improve retention within the workplace. This is because high labor turnover can be a significant challenge that is bound to severely affect the overall productivity, profitability and the subsequent performance of an organization.

1.3 Study hypotheses

H0 there is no correlation between job mobility and retention in the workplace

H1 there is a direct correlation between learning opportunities, remuneration packages, working conditions, employer-employee relationships and labor turnover

H2 there is a direct correlation between learning opportunities, remuneration packages, working conditions, employer-employee relationships and retention in the workplace

2.0 Literature review

            Data relating to employee turnover is widely being used by organizations to determine the impact that poor labor retention has on organizational performance. This is because experienced employees are given opportunities to serve in better-paying positions in the global market, some of which are too good to turn down. According to Erling (2013), labor turnover is a serious problem that affects employees as well as the organization in equal measures. Employees experience disruption from daily work routine and they are often required to acquire new skills in their new places of work as well as establish new career prospects. Conversely, organizations loose quality skills required to perform a particular task, which disrupts the process of production while on the other hand raising costs related to redeployment and training replacements. While employees are an important organizational component that can contribute to overall organizational success, improving retention in the workplace is important for any organization pursuing to succeed in the contemporary economy. This review is intended to help establish what other scholars have documented in relation to labor turnover and retention.

2.1 Factors that reduce retention in the workplace

            Scholarly evidence indicates that different factors are to blame for reduced labor retention within the workplace. A study by Eseme (2008) indicated that poor remuneration is a key factor that reduces an organization’s capacity to retain quality workforce. In order, to effectively retain quality workforce, an organization should give satisfactory remuneration packages to its employees. On this note, the organization should establish a compensation system that is able to attract, maintain and motivate workers. From Eseme’s point of view, poor remuneration packages contribute to increased labor turnover as employees terminate their contracts to seek for well paying employment opportunities. In his study, Eseme further established that an organization’s inability to integrate good remuneration packages with good working conditions could equally lower its capacity to retain its employees. He noted that employees could still leave an organization with better remuneration terms if the prevailing work conditions are demoralizing.

Another study by Peter (2013) showed that poor performance appraisal and response could lower an organization’s capacity to retain quality workforce. Organizational workers need to be effectively appraised so they can rate their performance and subsequently improve their competence. This is because contributing to overall organizational success can lead to recognition and reward where it is due. Peter realized that most organizational managers are unresponsive to quality performance while they on the other hand rush to criticize employees on the few occasion when their level of productivity tend to be below expectations. This may eventually demoralize employees, and subsequently lead to ultimate turnover.

Job dissatisfaction is another key factor that can hinder a company’s capacity to retain employees within the workplace. Eric (2009) conducted a study in which he established that dissatisfaction in the workplace contributes to constant absenteeism, which in return translates into labor turnover. During the study, Eric established that employees satisfied with their jobs often hold positive attitudes, which motivate them to be fully committed to their work. He however realized that employees that are dissatisfied with their jobs often hold negative attitudes that contribute to absenteeism and eventual termination of contracts. Eric thus concluded that there is a positive correlation between employment dissatisfaction and absenteeism, which ultimately leads to labor turnover.

Eric further noted that the economy is another important factor that contributes to significant decline in an organization’s ability to retain employees in the workplace. During the inquiry, Eric interviewed employees intending to terminate their contracts in four different companies in United States’ industrial and hospitality sectors. He noted that one of the leading factors that most employees stated to have contributed to their desire to leave their respective organizations was the economy. The employees quoted the availability of better paying jobs as key factor that demanded for them to leave their current places of employment to seek for greener pastures. He realized that most employees, particularly those working in low ranking positions would leave their respective places of employment if they could secure employment in a different organization paying about 50% more compared to their current hourly wages.

Another inquiry by Erling (2013) showed that job characteristics could contribute to an organization’s inability to retain employees in the workplace. While certain jobs can be more attractive compared to others, employees can terminate their contracts in jobs that are less attractive if they manage to secure employment positions in organizations with more attractive job positions. Attributes of a job’s attractiveness can be determined by various factors that include skill variety, task identity, task significance, independence and feedback.  According to Erling, lack of skill variety in a job can contribute to a high degree of labor turnover, as employees are not able to develop a wide range of skills required to undertake various activities. This is because jobholders often find more meaning in jobs demands for a wide range of skills and abilities than jobs that require mastery of routine. On this note, employees can leave routine jobs if they are able to secure employment in organizations where they can undertake a variety of work-related activities that demand for a wide range of skills and expertise. Lack of task identity can also contribute to increased labour turnover, as employees may not be able to identify with completed tasks, which contributes to recognition and subsequent employee motivation. From Erling’s point of view, employees find more meaning in jobs where they have made significant contribution through the entire process than in jobs where they have only made partial contribution. On this note, employees seeking to identify with specific tasks can prefer job positions where they coordinate an entire process than jobs where they contribute to a work team and subsequently receive group rather than individual recognition. Erling further noted that lack of task significance can contribute significance decline in an organization’s ability to retain employees in the workplace. Employees can be motivated to serve in a particular job position if they perceive it as having significant impact on people’s lives. While task significance can be measured on basis of the internal or external influence that it perpetuates, employees can find meaning in job positions that have a positive physical or psychological impact on other people’s lives than jobs that do not have significant impact on any individual apart from benefiting the organization. Erling further realized that lack of job autonomy, which defines the extent to which a job provides employees with a significant amount of freedom, could contribute to an organization’s inability to retain employees in the workplace. This is because employees do not get enough time to plan work or even determine potentially productive job procedures. He noted that most employees prefer jobs with a high level of autonomy as the ultimate job outcome is greatly determined by their efforts, decisions, plans, and not instructions given by organizational leaders. This is because such employees would have higher personal responsibility for achievements and failures made. Lack of clear feedback relating to individual employee’s performance can as well reduce an organization’s ability to retain employees in the workplace. Erling noted that employees that receive clear information about their overall job performance can have proper knowledge pertaining to the impact of their job activities as well as the various areas that they may need to improve to enhance their productivity. This explains why most employees can opt to terminate their contracts in one organization if they secure employment in another organization where they can constantly receive clear information about their performance.

A scholarly research by Faucher-King (2010) showed that lack of individual growth and advancement opportunities limits an organization’s capacity to retain employees. Providing opportunities for training to enhance self-development can enable employees to gain competence and be able to enjoy their work. This is because gaining advanced skills can give them confidence thereby boosting their morale. Lack of training makes employees to feel that they are serving on a “dead end” as they do not have means to improve their competence. This may in return affect their overall productivity, which may cause them to voluntarily terminate their contracts or be terminated on basis of poor performance.

An evidence-based research by Eric (2009) showed that lack of proper quality tools and equipments can reduce an organization’s ability to retain employees in the workplace. If employees do not have quality tools and equipments that enable them to effectively undertake various tasks, they may eventually fail to reach their expected level of performance even though they might have the required level of knowledge and abilities. This might render potentially productive employees to feel that their skills and abilities are underutilized, and hence, are unable to deliver as much output as possible.

2.2 Effects of poor retention in the workplace

Scholarly evidence has shown that reduced labor retention can lead to negative effects that may eventually affect the well-being of an organization. A study by Peter (2013) showed that poor labor retention contributes to reduced employee productivity particularly when highly qualified employees leave an organization.  He established the fact that highly qualified employees are well informed about an organization’s goals and policies as well as how they can productively fulfill their duties for the organization. New employees however tend to be inexperienced and hence they take a reasonable amount of time to fulfill their duties, which subsequently reduces their overall productivity.

Peter also realized that high employee turnover contributes to the decline in quality of product or service. This is usually attributed by disruption of daily routine resulting from significant reduction of the overall number of employees available that can work together in a team to generate high quality products or services. Termination of contracts for experienced employees can for example lead to engagement of inexperienced new employees into production process, which may eventually leads to significant reduction in product quality. This is particularly the case in production industries where routine and repetition of activities play a greater role than qualifications and innovation.

According to Peter, significant reduction in an organization’s inability to retain employees in the workplace reduces the overall returns generated to cover for cost incurred during investment. He noted that organizations tend to experience constant costs during marketing in effort to attract new customers. High labour turnover may however reduce the organization’s ability to maintain the newly obtained customers or even receive referrals, which subsequently reduce the amount of returns generated from sale of products or services. This ultimately increases the cost incurred to serve a one-time customer, which may eventually hurt the overall performance of the organization.

Erling (2013) however showed that poor labor retention affects a company’s ability to retain customers, which subsequently reduces quality of customer service. Erling observed that customers often feel comfortable working with the same customer representatives over time. This is because they tend to build loyalty with employees that they are used to, and hence they can share their desires and expectations with them. Constant turnover and replacement however limits a company’s ability to establish a strong rapport with its customers, which subsequently affects the quality of service that the customers receive.

Scholarly evidence further indicates that poor labor retention contributes to increased replacement costs. An inquiry by Eric (2009) showed that organizations incur high costs related interviewing, recruiting and training replacements. Eric realized that the process of redeploying new workers distracts the hiring staff as they diversify their concentration from their normal income generating routine to recruit, interview and train new employees. As explained by Eric, reduced labor retention causes firms to generate reduced profits. He realized that any activity within the organization that tends to reduce revenue is directly linked to reduced profits. During his study, Eric observed that most stores that experience high rates of labor turnover often generate low profit margins.

Eric further realized that an organization’s inability to retain employees in the workplace usually has a direct impact on the amount of revenues and profits generated by the organization. He for example observed that the estimated cost of losing an employee that can earn eight dollars per hour is between $3,000 and $25,000. He noted that the various aspects that can contribute to such costs include hiring and training costs as well as lost sales and reduced productivity. Other expenses can include payment of severance cost as well expenses incurred when placing new adverts, reviewing application, hiring and training. The impact of labour turnover on revenue can however vary from one industry to another depending on employee experience, job position and wages earned.

Scholarly evidence indicates that reduced labour retention can perpetuate positive effects that can benefit the wider organization in the long run. A study conducted by Eseme (2008) showed that labour turnover allows for the departure of unproductive workers that often contribute to poor performance and subsequent organizational unproductively. He observed that workers experiencing challenges related to aging as well as mental and physical instability might opt to terminate their contracts in an organization as they cannot be able to cope with increasing work-related pressures. This in return protects the organization from incurring costs associated with poor productivity and performance while on the other hand maintaining employees that are not worthwhile. Consequently, labour turnover can allow for elimination of bad matches whose incapacities may be directly linked to reduced organizational performance. Although careful scrutiny may be employed during recruitment and hiring procedures, some employees may turn out to be poor performers that do not make any significant contribution towards overall performance of the wider organization. When such employees terminate their employment contracts, their decision becomes beneficial to the organization as it gets lid of employees that do not in any way render any significant benefit.

Another inquiry by Faucher-King (2010) showed that reduced labour retention could create an opportunity for an organization to make important adjustments to match the prevailing market conditions. He observed that the demand for human capital in any organization is highly dependent on external conditions prevailing within the market. On this note, terminating certain employees’ contracts may thus be inevitable depending on whether the prevailing market conditions demand for organizations to have a high or low level of human capital. Involuntary but compulsory redundancy may subject the company to increased costs that include severance pay that can eventually dilute the psychological contract of employees leaving the company. A significant amount of natural contract termination can however enhance positive adjustment as employees that voluntarily leave the organization create an opportunity for the company to naturally adjust to the demand of the wider market. Conversely, voluntary labour turnover facilitates creation of an internal labour market by creating an opportunity for skills development and career advancement among the existing employees. This is particularly beneficial if employees leaving the organization were high-ranking employees that did not only benefit from high remuneration packages but from also enjoyed holding prestigious positions. This eventually becomes an important tool for motivation for subordinate employees, which eventually translates into improved productivity among employees that remain in the organization.

How to improve retention in the workplace

            Employee retention has become a top most priority in organizations pursuing to succeed in the modern economy. This is especially because maintaining high quality talents is a key catalyst towards obtaining a competitive edge in the current market economy. Sufficient scholarly evidence indicates that organizations should not wait until workers call for their final exit interviews as this would mean that the organization has not only lost a productive member of its team but it also misses an opportunity to indentify obstacles that might eventually hurt its productivity. Employers should thus device strategic ways through which retention in the workplace can be improved to safeguard an organization’s performance and ultimate level of productivity. A study conducted by Faucher-King (2010) showed that retention in the workplace begins from recruitment, as this is the stage where employers get an opportunity to screen job applicants and decide who they would ultimately engage in interviews. He noted that the recruitment process gives employers an opportunity to identify employees that would be compatible with organizational culture and strategy. This in return determines how productive an employee will be as he serves the organization in the end. Employers should thus consider the potential employee productivity before hiring them to ensure that they do the right thing to completely integrate them in the process intended to perpetuate overall organizational success.

Analyzing job applicants’ work histories before hiring them can help to reduce potential labour turnover. This is because employers would be able to identify job-hoppers and avoid hiring them from the word go. An applicant that may have previously had ten jobs in twelve years may be hard to retain in any company as he/she could as well be looking for a comfortable place to land. On this note, employers should opt for job candidates that exhibit longevity in their previous places of employment as this might work in favor of the organization by significantly reducing probability for labour turnover. Faucher-King further noted that finding out the key issue that concerns the potential employees before hiring them could also help to improve retention in the workplace. Understanding applicants’ issue of concern can particularly help to understand one’s character, which would in return help employers to predict how well they can be committed to potential organizational success. Targeting to hire an employee that has a passion for team sports or volunteer work can for example help to determine if they have a character that is likely to motivate them to pursue something that they can value. Such individuals are likely to commit their efforts to pursue certain organizational objectives as long as they care about the overall organizational success.

According to Eseme (2008) organizations, intending to improve retention within the workplace should create opportunities for employee advancement. This can be achieved through hiring employees from the internal labour market as well as promote subordinate employees whenever possible. This does not only create a clear path for employees seeking for opportunities for higher compensation benefits and responsibilities but it help employees to feel appreciated as important assets that can contribute to organizational success.

As argued by Eric (2009), employers intending to improve retention in the workplace should equip employees with ongoing education. This promotes employees’ development and growth, which in return enhances potential career advancement. Employers should thus provide training opportunities to help equip employees with new skills as well as offer reimbursement to help fund their education outside the organization. Eric, C. (2009) noted that furthering employees’ education is a crucial investment that can significantly contribute to organizational success in the end. Employees’ education should thus not be perceived as an afterthought but should be integrated throughout a worker’s employment term particularly through skills, leadership and professional development trainings. This in return improves retention by making employees feel that the worth investment is a powerful incentive that motivates them to stay in the company.

An inquiry by Erling (2013) showed that giving employees the right benefits could help to improve retention in the workplace. While benefits are important in keeping employees motivated and actively engaged in organizational production process, they should go beyond medical coverage and salaried leave. Employers can for example consider offering stocks or other forms of financial reward for workers that exceed expected level of performance as well as those that remain in the organization for a particularly period of time. Employers can also consider giving employees flexible working schedules as well as work in remote environments to allow them work promptly and plan their work well. Generously salaried leaves can also help to improve retention in the workplace, as this would make employees to feel appreciated beyond what they contribute in the organization. Erling (2013) notes that employees that are denied leaves or are coerced to report to work because they are not eligible for paid leave may become devastated and resentful. This devastation and resentment can pile up and eventually push an otherwise productive employee to consider terminating his/her contract.

 2.3 Theoretical perspective

            While empirical evidence has shown that poor retention in the workplace can adversely affect overall performance of an organization, certain theories can be employed to help support this evidence. The resource-based perspective of strategic HRM and the rational ideas linked to HRM are important theories that can help to understand the negative effects that poor labor retention can perpetuate (Peter, 2013). According to these theoretical perspectives, motivated employees can commit themselves to organizational goals and make significance difference in the market. This can be achieved through showing commitment to organizational goals as well as being conversant with organizational processes and customer relations. High employee turnover however contradicts an organization’s capacity to achieve quality performance because it indicates that one of the core requirements for quality performance is not met. According to this theory, poor labor retention contributes to poor organizational performance by interfering with employees’ contribution to organizations and ability to comply with internal processes and maintain customer relations (Erling, 2013).

Summary and conclusion

            Scholarly evidence has shown that labour turnover is a serious issue that can impact organizational performance if appropriate measures are not employed to control it. Various factors that include poor remuneration packages, job dissatisfaction, job characteristics, lack of quality tools and facilities, poor performance appraisal and lack of individual growth opportunities contribute to significant decline in an organization’s ability to retain employees in the workplace. This perpetuates negative effects that include reduced productivity, profitability and revenues, poor employee productivity, reduced product quality, poor customer retention and increased replacement cost. Certain strategic approaches can be employed to help improve retention. Such strategies include offering important benefits, creating opportunities for continuous learning, positive employee appraisal and provision of employees’ advancement opportunities.

3.0 Methodology

            Poor labor retention has proven to be an important issue that can affect overall organizational success if not significantly improved. Organizational managers should thus device ways to improve labor retention to ensure that an organization is able to succeed in a highly competitive market. This study will establish the various ways through which labor retention in the workplace can be improved.

3.1 Research design

To achieve this objective, a descriptive cross-sectional methodology will be employed to allow for the collection of sufficient data that can satisfactorily respond to the study questions.

3.2 Sample population and procedure

The sample population for this study will include employees serving in eight departments in Riordan Plastic Manufacturing Company. Departmental managers together with subordinate employees will also be included in this study as their virtue positions can allow them to provide important information related to organizational policies while the subordinates give information relating to why labor turnover is rampant.

While scholars do not concur on the accurate proportion of a population that should be included in a study, Eric (2009) agrees that ten percent of an accessible population is sufficient to constitute to a reliable population sample. This study will thus include ten percent of departmental managers and the subordinates working in the eight departments. The sample population will be selected through purposive as well as stratified random method of sampling. Purposive sampling will be employed to choose respondents with desired attributes while stratified sampling will be used to categorize respondents in strata with similar attributes. Stratified sample will constitute to the major category of respondents. Purposive sampling will allow for the selection of key informants that can give crucial information they can access by virtue of their title.

3.3 Study limitation

The study will be limited to testing the measurable factors that contribute to poor retention in the workplace, the measurable implications associated to this deficiency and measurable interventions that can help to improve the situation. The study will however not be able to test the psychological causes of labor turnover or psychological effects that this problem can cause.

3.4 Data collection

The process of inquiry will include gathering secondary data, which defines documented data that can be gathered from the firm’s reports, newsletters and journals. Primary data will also be gathered using structured questionnaires as well as interviews. The questionnaires will be issued to the main respondents through delivering them by hand in their respective work locations during official working hours. Interviews will also be conducted and interview schedules used to gather important information from the key informants. Interviews will particularly be important in the study as they will allow for in-depth provision of data by the respondents while on the other hand enabling the researcher to seek clarification from the respondents.

3.5 Data analysis

In analyzing collected data, information from the questionnaires will be reviewed, revised, coded and analyzed. Revision will be intended to improve quality of gathered information for easy coding. The process will include reading through the questionnaires to see whether there are spaces that may have been left blank. Descriptive method will be used to analyze the data using the SPPS computer package.

4. 0 Results

4. 1 Forms of labour turnover

Riordan manufacturing company has been experiencing significant labor turnover in the recent. 98% of the study respondents noted that resignation is the most common type of turnover while the remaining 2% indentified involuntary retirement. See the figure below

Figure 4.1 forms of labour turnover

4. 2 Prevalence in labour turnover

From the findings of the study, 98% of the respondents noted that the highest degree of labor turnover is prevalent among the subordinate staff while 2% noted that the highest labor turnover is prevalent among the senior managers. See the figure below

Figure 4.2 Prevalence in labour turnover

4.3 Factors contributing to poor labour retention

In terms of factors contributing to poor labour retention, respondents indentified remuneration packages, lack of training opportunities, poor working environments and poor employer-employee relationships as the leading factors that contribute to poor labour retention. 38% indentified remuneration packages as the leading factor contributing to poor labor retention, 16% indentified poor working environment, 29% indentified poor employer-employee relationships and 17% indentified lack of training opportunities. See the figure below

Figure 4.3 Factors contributing to poor labour retention

4.4 Effects of poor retention in the workplace

In terms of effects of poor retention in the workplace, respondents indentified low productivity, increased turnover costs, poor employee performance, lack of customer satisfaction and low profitability. 34% indentified low productivity as the leading effect of poor retention in the workplace, 14% indentified increased turnover cost, 22% indentified poor employee performance, 11% indentified lack of customer satisfaction and 19% indentified low profitability. See the table below

Table 4.4 Effects of poor retention in the workplace

Effects of poor retention Percentage
low productivity 34%
increased turnover cost 14%
poor employee performance 22%
lack of customer satisfaction 11%
low profitability 19%


4.5 How to improve retention in the workplace

Respondents suggested different ways through which retention in the workplace can be improved. 33% of study respondents stated that competitive remunerations could help to improve retention in the workplace, 21% indentified creation of training opportunities, 27% identified training organizational managers to help improve manager-employee relationship and 19% indentified frequent positive appraisals. See the table below

Table 4.5 How to improve retention in the workplace

How to improve retention in the workplace Percentage
Competitive remuneration 33%
Creation of training opportunities 21%
Training organizational managers 27%
Frequent positive appraisal 19%


5.0 Discussion

            Scholarly evidence has confirmed that labor retention is an important concept that every organizational leader should be interested in as uncontrolled turnover can violate an organization’s stability within the contemporary market. Evidence from the research has shown that various factors contribute to poor labor retention. From the findings of results of the study, remuneration packages, poor working environment, lack of training opportunities, and poor employer-employee relationships are the main factors that contribute to poor labor retention. Poor remuneration packages are the leading cause of poor retention in the workplace while poor working environment is the least factor contributing to the problem at hand. Finding of this inquiry have further indicated that low productivity, increased turnover costs, poor employee performance, lack of customer satisfaction and low profitability are the main effects of poor retention in the workplace. The findings have indicated that low productivity is the severest effect of poor retention in the workplace while lack of customer satisfaction is the least severe effect of poor labor retention. Evidence from the study findings have shown that creating training opportunities, offering competitive remunerations, training managers to improve manager-employee relationships and frequent positive appraisals can help to improve retention in the workplace.


            Evidence from the study findings have confirmed that poor labor retention can perpetuate adverse implications that can in return affect overall organizational wellbeing if necessary steps are not taken to improve it. From the study findings, the major factors that lead to poor labor retention include lack of learning opportunities, noncompetitive remuneration packages, poor working conditions and poor employer-employee relationships. This confirms the first hypothesis stating that there is a direct relationship between learning opportunities, remuneration packages, working conditions, employer-employee relationships and labour turnover. The various implications that can result from poor labour retention include low productivity and profitability, high turnover costs, reduced customer service and poor employee performance. This confirms the second study hypothesis stating that there is a direct correlation between learning opportunities, remuneration packages, working conditions, employer-employee relationships and retention in the workplace. Organizational managers should thus employ appropriate measures to ensure that labour turnover is controlled significantly, which would in return improve retention in the workplace.


Erling, H. (2013). Turnover and Retention in a Tight Labour Market: Reflecting on New Zealand Research, New Zealand Journal of Employment Relations, 32(1):123-231.

Eric, C. (2009). Wage Dispersion and Wage Dynamics Within and Across Firms, Federal Reserve Bank of Atlanta, Working Paper Series, 2009(22):978-1022.

Eseme, G. (2008). Employee Retention Strategies and Organizational Performance, Ife Psychologia, 16(2):88-211.

Faucher-King, F. (2010). The New Labour Experiment: Change and Reform under Blair and Brown, London: Stanford University Press.

Peter, P. (2013). The Influence of Organizational Culture and Job Satisfaction on Intensions to Leave: The Case of Clay Brick Manufacturing Company in Lesotho, Eastern Africa Social Sciences Research Review, 29(1):31-91.