Why employees leave an organisation

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Sharing with an interesting blog posted on TalentEquity.in/blog

Every organization normally faces one common problem of high employee turnout ratio? An employee may leave an organization for a variety of reasons. Office politics, stress, salary, employee and / or manager conflicts, or the pursuit of better job opportunities can encourage an employee to quit the organization. Following are some of the reasons:

- The most common reason for any employee to leave the organization is salary or compensation. Most of the employees who have been in the same organization for a while expect to be compensated well for their experience, hard work & loyalty. If they feel they are not being rewarded properly or even considered for an increase, they often look to move somewhere where they can receive better compensation.

- An employer should always keep this in mind that beyond a point, an employee’s primary need has less to do with money, and more to do with how he is treated and how he feels when he enters into his office for work on a daily basis. HR experts say that of all the abuses, employees find humiliation the most intolerable. The first time when he is being insulted, he may not leave but a thought has been planted. The second time, the thought gets strengthened. On the third time, he starts looking seriously for some other job. When the employee cannot retort openly in anger, they do so by passive aggression by slowing down, by doing only what they are told to do and nothing else.

- Another factor which might prompt an employee to leave the organization may be the inter-personal relationships. Much of this depends directly on the immediate manager to whom he reports. Different managers create problems for employees in different ways being too authoritative, too selfish, too critical, but they forget that employees are not fixed assets, they are free agents. When this goes for too long, an employee will quit. Unfortunately, the CEO is busy travelling the world, signing new deals / contracts and developing a vision for the Company, has little idea of what may be going on at home.

- Dissatisfaction in the work environment is a common reason for employees leaving an organization. Often going above and beyond what the job demands is not acknowledged and meeting goals is not rewarded. Employees who perceive themselves as being treated unfairly will automatically try to look for other jobs.

Consider for a moment the cost of losing a talented employee who has been with you for sometime. There is the cost of finding a replacement, training the replacement, the cost of not having someone to do the job in the meantime, the loss of clients and contacts the person had, the loss of morale in co-workers, the loss of trade secrets, along with the loss of the company’s reputation. Every person who leaves an organization becomes its ambassador, for better or for worse. Keeping a good employee definitely is more cost effective and productive than recruiting new ones.

To prevent these frequent occurrences, the organization should understand the needs of the employees. The need of the employees has to be addressed immediately failing which the frustration, agony & dissatisfaction experienced by him percolates deep within himself which eventually lead to resentment, group formation, and work place politics.

Therefore, it is necessary to follow the Principle of Equity like work, like pay in a company’s pay structure and work allocation.

The above write up has been written by Subramanian Iyer attached to Bombay Chamber of Commerce. The writer can be reached at iyerpdkgnm@yahoo.com

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Regards,
Sanjay