Employee Compensation and Turnover Essay -- Human Resources Management

Employee Compensation and Turnover Often, an also high overthrow rate compared to the industry standard is a mark of problems within the organization (Gomez-Mejia, Balkin & Cardy 1998). Managers must realize that high staff derangement dirty dog prove costly, particularly to small businesses (Oliver 1998). Strategies have to be crafted that provide minimize turnover and the cost associated with it. Although strategies used to retain employees can be expensive, turnover is a cyclical problem that usually becomes more expensive in the long run (Brannick 1998). Costs that organizations face when employees depart entangle recruitment costs associated with finding replacements, selection costs associated with interviewing, relocating and screening, training costs and separation costs such as severance pay (Gomez-Mejia, Balkin, & Cardy 1998). Managers can reward employees with tangible or intangible requital (Brannick 1998). Tangible remuneration includes salary increases, benef its, bonuses, potential for advancement and stock options (Brannick 1998). The good news for managers is that thither are also inexpensive strategies that can be implemented to sire and keep employees happy with their jobs. Intangible compensation includes respect, feedback, recognition, the opportunity to be perceive and encouragement (Armentrout 1998). All of these means of compensation can be rough-and-ready if managers take the time to get to know their employees and what makes them happy. The human resource function, compensation management is at the center of all of these issues. THE EFFECTS OF TURNOVEREmployee turnover rate is defined as the measure of the rate at which employees expire a firm (Gomez-Mejia, Luis, Balkin & Cardy 1998). Turnover has b... ... (1998). Controlling employee turnover 5 paragraphs. Online. uncommitted entanglementhttp//www.auxillium.com/staffing.htm Brannick, Joan (1998). Decreasing the staggering costs of turnover in your organization 14 para graphs. Online. Available WWWhttp//www.florida-speakers.com/turnover-costs.htm Condodina, Jen, Ermel, Lauren (1997). Compensating packages changing shape. HRFocus, p.S-1. Davis, Barbara (1997). Strategies for managing retention. HRFocus, p.S-3. Gomez-Mejia, Luis, Balkin, David, Cardy, Robert (1998). Managing Human Resources, New Jersey Prentice Hall. Oliver, Judith (1998). broad(prenominal) staff turnover- find out why your staff are leaving. care Today, p.84. Shaw, Jason, Delery, John, Jenkins, Douglas, Gupta, Nina (1998). An organization-level analysis of voluntary and involuntary turnover. Academy of Management Journal, 41, p.511.