CAUSES OF EMPLOYEE TURNOVER꞉ THE CASE OF GLOBAL INSURANCE COMPANY

Abstract

The purpose of the study was to assess the causes of employee turnover at Global insurance company. Questionnaire and interview were used for data collection. Data were collected from two different groups’ current and former employees. Data were collected from 85 current Professional employees using census sampling technique and 16 ex-employees of GIC were selected using convenient sampling technique. Descriptive statistics were employed for data analysis. Data collected through questionnaire were analyzed using SPSS version 20. Data collected through interview were described verbally. The findings of the study revealed that overall employees of GIC perceived that employee turnover in GIC was high due to low salary, poor working environment and poor performance of management bodies. Furthermore, equipped with qualified employees were the main strength of the organization; whereas, low effort to retain employees and nepotism was the main weakness of GIC. Pay, benefit and work environment were also the anticipated factors of employee turnover generally. The analysis further revealed that payment, benefit, and promotion were the first ranked reasons of turnover, secondly employee turnover were aggravated due to lack of job satisfaction, job scope, quality of supervision and working environments; due to those reasons the majority of the employees intended to leave the organization within a short period of time. The findings of the study further revealed that employee turnover had a significant association with payment, benefit, promotion, job satisfaction, and working environment. From the findings of the study the researcher concluded that pay, benefit, promotion, working environment and job satisfaction are the main causes of turnover in GIC. The researcher recommended that in order to address the problem of turnover and retain employees the organization shall revise its pay and benefit procedure, employees should be given equal opportunities for promotion. Furthermore the management of GIC shall work a lot in creating conducive working environment.