Question

Employee Engagement is key performance indictor for HR leadership. Identify two issues for an organization with high turnover / low retention rates

Answer 1

The major issues faced by an organisation with high turnover/ low retention are -

1. COST - When an employee leaves a company , it's cost a lot to the company. The cost settlement of employee's benefits and cost litigations affect a lot to company's profit.

2. LOSS OF EXPERIENCED STAFF - Loss of experienced and trained employeethat know the policies and goals of the organisation and their individual roles in achieving these goals eventually lead to lower employee productivity because high turnover means having inexperienced employee.