Attrition and Its Effects

5320 Words22 Pages
Table of Contents What is attrition? 3 What are signs of attrition? 3 Calculation of Attrition Rates 3 Attrition rates in India 4 The highlights of the study in question are as follows:- 4 Costs of Attrition 7 Causes of Attrition 9 Survey details and insights 11 What can organizations do to retain employees 16 Short-term Actions 16 Long-term Actions 17 Retaining the “Game Changers” 18 References 20 ATTRITION – CAUSE AND EFFECT What is attrition? Attrition is the reduction in workforce by means of resignations, retirements and death. It is also known as total turnover or wastage rate. Turnover is defined as a change in the workforce due to accessions, quits, discharges, and layoffs. The difference between the two is that…show more content…
* Expansion in the retail sector has led to creation of jobs which has raised attrition levels to up to 50 %. As a means of retaining employees and cutting down the costs incurred due to attrition, companies have resorted to signing bonds as they are imparting them the necessary training and specialized knowledge of retail functions. * Growth in construction activities in the economy has led to a surge in demand for engineers, resulting in an increase in their movement across companies at the rate of 25 %. The engineering companies are starting to pay hikes and growth assurance, to curtail attrition levels. * The manufacturing sector remains most consistent among all sectors with a consistent attrition rate of 20% across the years. * Loss of intellectual property is one of the most challenging problems faced by the companies as an upshot of attrition. Hospitality, IT, hospitals, engineering sectors are the worst affected sectors in terms of intellectual property loss especially in the absence of any laws to protect the interest of an organization. * The study has found that the most attrition is taking place among the employees who are in the age group of 26 to 30 years and experience level of 2 to 4 years while the most stable chunk of employees are those in the age group of 39 to 45 years. * Women employees are less prone to frequent job changes than their male counterparts. For every 10 male employees quitting their jobs, there were only 2
Open Document