Turnover • Involuntary turnover – Employees asked to leave organization for cause or due to circumstances that cause reduction-in-force • Voluntary turnover – Employees who leave organi
Trang 1EMPLOYEE SEPARATION AND RETENTION MANAGEMENT
Trang 2Employee Separation
Employee Separation
• Reasons for employee separations
– Pressures on firms to remain competitive & efficient – Decline in employee commitment to employers
• Importance of managing separations
– Transitions of employees out of firm go smoothly – Continuing operations of firm not disrupted
– Important professional relationships not damaged
• Types of separations
– Reductions-in-force, turnover, & retirements
• Reasons for employee separations
– Pressures on firms to remain competitive & efficient – Decline in employee commitment to employers
• Importance of managing separations
– Transitions of employees out of firm go smoothly – Continuing operations of firm not disrupted
– Important professional relationships not damaged
• Types of separations
– Reductions-in-force, turnover, & retirements
Trang 3Reductions-in-Force (RIFs)
Reductions-in-Force (RIFs)
• Causes of reductions
– Restructuring as a result of mergers & acquisitions
– Attempts to make organization more cost competitive
– Adjustments to declining business environment conditions
• Reasons for reductions
– Inefficiency in operations
– Lack of adaptability in marketplace
– Weakened competitive position in industry
• Methods for dealing with reductions
– Continuance pay & outplacement programs
• Causes of reductions
– Restructuring as a result of mergers & acquisitions
– Attempts to make organization more cost competitive
– Adjustments to declining business environment conditions
• Reasons for reductions
– Inefficiency in operations
– Lack of adaptability in marketplace
– Weakened competitive position in industry
• Methods for dealing with reductions
– Continuance pay & outplacement programs
Trang 4Reductions-in-Force (RIFs)
Reductions-in-Force (RIFs)
Worker Adjustment Retraining & Notification Act (WARN) of 1989
– Requires employers with more than 100 employees to provide sixty days written notice of any facility closings or large-scale layoffs of 50 or more employees
– WARN does no apply to governmental agencies
– Exceptions to WARN
• “Faltering company”
• “Unforeseeable circumstance”
• Natural disaster
• “Temporary facility”
Worker Adjustment Retraining & Notification Act (WARN) of 1989
– Requires employers with more than 100 employees to
provide sixty days written notice of any facility closings or large-scale layoffs of 50 or more employees
– WARN does no apply to governmental agencies
– Exceptions to WARN
• “Faltering company”
• “Unforeseeable circumstance”
• Natural disaster
• “Temporary facility”
Trang 7Turnover
• Involuntary turnover
– Employees asked to leave organization for cause or
due to circumstances that cause reduction-in-force
• Voluntary turnover
– Employees who leave organization on own initiative
• “Beneficial” turnover
– Low performing employees depart &/or new higher
performing employees promoted or hired as
replacements
• Involuntary turnover
– Employees asked to leave organization for cause or
due to circumstances that cause reduction-in-force
• Voluntary turnover
– Employees who leave organization on own initiative
• “Beneficial” turnover
– Low performing employees depart &/or new higher
performing employees promoted or hired as
replacements
Trang 10Retention of High Performers
Retention of High Performers
• Critical HR issue
– Development of policies & programs to retain
high performers &/or those difficult to replace
• Employers face competition from
– Other organizations
– From employees they are attempting to retain
(to start-ups)
• Critical HR issue
– Development of policies & programs to retain
high performers &/or those difficult to replace
• Employers face competition from
– Other organizations
– From employees they are attempting to retain
(to start-ups)
Trang 11Retirement
• Age Discrimination Act of 1967
– Prohibits employer from setting mandatory retirement age except in certain occupations (e.g pilots)
• Retirement
– Creates advancement opportunities for younger employees
& reduces payroll costs
– Can cause loss of vital historical knowledge of organization, industry & marketplace
– Part-time & consulting work can ease transition of older
workers into retirement
• Age Discrimination Act of 1967
– Prohibits employer from setting mandatory retirement age
except in certain occupations (e.g pilots)
• Retirement
– Creates advancement opportunities for younger employees
& reduces payroll costs
– Can cause loss of vital historical knowledge of organization,
industry & marketplace
– Part-time & consulting work can ease transition of older
workers into retirement
Trang 12Alumni Relations
Alumni Relations
• Increasing numbers of employers are maintaining good relationships
and communicating with former employees
• Such alumni are potential customers and referral sources for both new
business and new employees
• The proliferation of online professional alumni networks has aided
this process
• Increasing numbers of employers are maintaining good relationships
and communicating with former employees
• Such alumni are potential customers and referral sources for both new
business and new employees
• The proliferation of online professional alumni networks has aided
this process
Trang 13Reading 13.1 – Retaining Talent: Replacing Misconceptions with Evidence-Based Strategies
Reading 13.1 – Retaining Talent: Replacing Misconceptions with Evidence-Based Strategies
Trang 14Reading 13.1 – Retaining Talent: Replacing Misconceptions with Evidence-Based Strategies
Reading 13.1 – Retaining Talent: Replacing Misconceptions with Evidence-Based Strategies
Trang 15Reading 13.1 – Retaining Talent: Replacing
Misconceptions with Evidence-Based
Strategies
Reading 13.1 – Retaining Talent: Replacing
Misconceptions with Evidence-Based
Strategies
HR strategies that can used to better management turnover
Recruitment
• Providing a realistic job preview (RJP) during recruitment improves retention.
• Employees hired through employee referrals tend to have better retention than those hired through
other recruitment sources.
Selection
• Biodata (biographical data) and weighted application blanks (WAB) can be used during the selection process to predict who is most likely to quit.
• Assessing fit with the organization and job during selection improves subsequent retention.
Socialization
• Involve experienced organization insiders as role models, mentors, or trainers.
• Provide new hires with positive feedback as they adapt.
• Structure orientation activities so that groups of new hires experience them together.
• Provide clear information about the stages of the socialization process.
HR strategies that can used to better management turnover
Recruitment
• Providing a realistic job preview (RJP) during recruitment improves retention.
• Employees hired through employee referrals tend to have better retention than those hired through
other recruitment sources.
Selection
• Biodata (biographical data) and weighted application blanks (WAB) can be used during the selection process to predict who is most likely to quit.
• Assessing fit with the organization and job during selection improves subsequent retention.
Socialization
• Involve experienced organization insiders as role models, mentors, or trainers.
• Provide new hires with positive feedback as they adapt.
• Structure orientation activities so that groups of new hires experience them together.
• Provide clear information about the stages of the socialization process.
Trang 16Reading 13.1 – Retaining Talent: Replacing
Misconceptions with Evidence-Based
Strategies
Reading 13.1 – Retaining Talent: Replacing
Misconceptions with Evidence-Based
Strategies
Training and Development
• Offering training and development opportunities generally decreases the desire
to leave; this may be particularly critical in certain jobs that require constant
skills updating.
• Organizations concerned about losing employees by making them more
marketable should consider job-specific training and linking developmental
opportunities to tenure.
Compensations and Rewards
• Lead the market for some types of rewards and some positions in ways that fit with business and HR strategy.
• Tailor rewards to individual needs and preferences.
• Promote justice and fairness in pay and reward decisions.
• Explicitly link rewards to retention.
Training and Development
• Offering training and development opportunities generally decreases the desire
to leave; this may be particularly critical in certain jobs that require constant
skills updating.
• Organizations concerned about losing employees by making them more
marketable should consider job-specific training and linking developmental
opportunities to tenure.
Compensations and Rewards
• Lead the market for some types of rewards and some positions in ways that fit with business and HR strategy.
• Tailor rewards to individual needs and preferences.
• Promote justice and fairness in pay and reward decisions.
• Explicitly link rewards to retention.
Trang 17Reading 13.1 – Retaining Talent: Replacing
Misconceptions with Evidence-Based
Strategies
Reading 13.1 – Retaining Talent: Replacing
Misconceptions with Evidence-Based
Strategies
Supervision
• Train supervisors and managers how to lead, how to develop effective relationships with subordinates, and other retention management skills.
• Evaluate supervisors and managers on retention.
• Identify and remove abusive supervisors.
Engagement
• Design jobs to increase meaningfulness, autonomy, variety, and coworker support.
• Hire internally where strategically and practically feasible.
• Provide orientation that communicates how jobs contribute to the organizational mission and helps new hires establish relationships.
• Offer ongoing skills development.
• Consider competency-based and pay-for-performance systems.
• Provide challenging goals.
• Provide positive feedback and recognition of all types of contributions.
Supervision
• Train supervisors and managers how to lead, how to develop effective relationships with subordinates, and other retention management skills.
• Evaluate supervisors and managers on retention.
• Identify and remove abusive supervisors.
Engagement
• Design jobs to increase meaningfulness, autonomy, variety, and coworker support.
• Hire internally where strategically and practically feasible.
• Provide orientation that communicates how jobs contribute to the organizational mission and helps new hires establish relationships.
• Offer ongoing skills development.
• Consider competency-based and pay-for-performance systems.
• Provide challenging goals.
• Provide positive feedback and recognition of all types of contributions.
Trang 18Reading 13.2 Knowledge Management Among the Older
Workforce
Reading 13.2 Knowledge Management Among the Older
Workforce
Organizations need to have a well-planned strategic means of
transferring knowledge from retiring baby boomers to members of younger generations
Assumptions that senior workers were problematic for organizations are not valid, as research shows that senior workers
• have low turnover rates
• are flexible and open to change
• possess up-to-date skills
• are interested in learning new tasks
• have low absentee rates
• have few on-the-job accidents
Organizations need to have a well-planned strategic means of
transferring knowledge from retiring baby boomers to members of younger generations
Assumptions that senior workers were problematic for organizations are not valid, as research shows that senior workers
• have low turnover rates
• are flexible and open to change
• possess up-to-date skills
• are interested in learning new tasks
• have low absentee rates
• have few on-the-job accidents
Trang 19Reading 13.2 Knowledge Management Among the Older
Workforce
Reading 13.2 Knowledge Management Among the Older
Workforce
Senior workers also contribute responsibility and maturity, commitment
to their work, experience and loyalty
Senior workers should 1) be encouraged to remain in the workforce as their positive contributions continue and 2) work more closely with younger workers to facilitate knowledge transfer
Senior workers also contribute responsibility and maturity, commitment
to their work, experience and loyalty
Senior workers should 1) be encouraged to remain in the workforce as their positive contributions continue and 2) work more closely with younger workers to facilitate knowledge transfer
Trang 20Reading 13.2 Knowledge Management Among the Older
Workforce
Reading 13.2 Knowledge Management Among the Older
Workforce
Five critical success factors relate to knowledge transfer
1 Coaching leadership style
2 Structure, roles, and responsibilities
3 Emphasis on learning and education
4 Attention to motivation, trust, reward and recognition
5 Establishing the right culture
Five critical success factors relate to knowledge transfer
1 Coaching leadership style
2 Structure, roles, and responsibilities
3 Emphasis on learning and education
4 Attention to motivation, trust, reward and recognition
5 Establishing the right culture