Employee Retention and Separation

Employee retention and separation
 Intro to Retention
 How to retain good employees
Overview  What is employee Separation

 How to fire the unwanted staff
 Sources of job dissatisfaction
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Retention
• Employee retention is the act of keeping employees and

retaining good workers.
• The expense of replacing workers requires most organizations to
focus effort on employee retention, a set of actions designed to
keep good employees once they have been hired.
• Whereas retaining good employees is beneficial, organizations
lose money when they retain poor employees
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 Flexibility in the job
 Treat employees as partners
 Motivate them
How to retain good employees  Compensation and benefits
 Rewards
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Flexibility in the job
• To retain your employees for a long-term you must provide them a friendly and
suitable atmosphere.
• Allow employees the chance to catch their breath from one assignment to the
next with the help of team-building activities or mini break periods over the
course of the day.
• Be generous with time off. Provide sufficient time for sick days, family
vacations, new babies, etc.
Treat employees as partners
• Treat your employees as your partners or give them a

partnership in the company. It will make them feel
their ownership in the company and they would feel
praised.
• Give them a say in some decisions(decision making
power). It will also increase their interest in the
company's production and output.
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Motivate the employees
• Keep motivating your employees and show them that

how much they are important to the company. Ask
employees if they have any problem and try to solve
it in a best possible manner.
• Show them the opportunity to grow with-in the
organization.
• Do the counseling regularly. Ask the employees to
believe in their selves.
Compensation and benefits
• Adding variable pay in some tasks also helps in

retaining good employees. Increase in their basic
pays after some time.
• Giving them benefits other than pay also helps
retaining them. For example medical facilities,
housing etc.
• Pay them extra for overtime.
• Promotion after some time
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Rewards
• Giving employees at the spot incentives increase

their interest in the work, productivity and help
managers to retain them for a long period of time.
• If some employee has achieved a specified goal,
reward him at the spot.
• Giving title as a reward also increase the interest and
competition among employees and employees feel
satisfy by it. i.e. employee of the month etc.
Separation
• Employee separation is the process of efficiently and terminating workers.

• Changes in economic conditions and product demand sometimes force
organizations to reduce the size of their workforce.
Types of separation
Voluntary Involuntary
 Voluntary separation, which normally  Involuntary separation is caused by the

begins after a request is placed in this factors which remain beyond the purview
regard by the employee that can be of the employees.
happen due to two reasons.
1. Health problems (a disease that makes
1. Professional reason (when they decide the employee unfit for the job)
to seek better positions, responsibilities 2. Behavioral problems
and status outside the present
organization) 3. Organizational problems
2. Personal reasons ( a family wedding or
health crisis etc)
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Reasons of employee separation
• Most of employees follows the Maslow`s hierarchy

of needs as long as these need didn't fulfill, he will
never feel the satisfaction and do not intend to leave
the organization.
• Supervisors and co-worker's attitude.
• The job or workplace wan not as expected.
• The mismatch between job and person.
• Too little coaching and feedback.
• Too few growth and advancement opportunities.
• Feeling devalued and un-recognized.
• Stress from overwork and work-life imbalance.
• Loss of trust and confidence in senior leaders.
• Leaving for something better.
How to fire the unwanted staff
Retirement Dismissal Layoff Retrenchment Rightsizing
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• Retirement:
If a person reaches his age limit (compulsory retirement), found guilty in the court of law (forced retirement), or
disabled due to some disease or accident (premature retirement) or you can say golden shakehand.
• Dismissal:
Dismissal is where the employer chooses to require the employee to leave, generally for a reason which is the fault of
the employee.
• Layoff:
Is the temporary suspension or permanent termination of employment of an employee or (more commonly) a group
of employees for business reasons, such as when certain positions are no longer necessary or when a business
slowdown occurs.
• Retrenchment:
“Discharge of surplus labor or staff” by the employer on account of long period of layoff, or rationalization or
improved machinery or automation of machines. An involuntary separation due to the replacement of labor by
machines or the close of the department.
• Rightsizing:
Rightsizing is the process of a corporation reorganizing or restructuring their business by cost-cutting, reduction of
workforce, or reorganizing upper-level management. The main goal is to get the company moulded properly to
achieve the maximum profit. 14
Sources of job dissatisfaction
Each employee has a right to work
in safe working conditions under
the Occupational Safety
For example employee working in
? a specific area may have some type
of harmful radiations e.g. X-ray
room
Or late working hours etc
Unsafe working conditions
So the organization must take

precautionary measure to
ensure the safety of his
employees to overcome
dissatisfaction.
Firms that emphasize safety
send workers a clear signal
that they care about them.
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Individual dispositions refers to a
tendency why people act in a
? specific way. It explains individual
behavior as a result of internal
characteristics or personalities that
reside within the individual.
Personal dispositions
Firms that emphasize on
motivational activities send
workers a clear signal that
they care about them.
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The nature of the task itself is the
key predictor of job dissatisfaction.
For example, the employee is
given an extra task or role and he is
not getting paid for it.
? Or some task beyond the capability
of the employee.
Or doing the same kind of work
may leads to boredom.
Tasks and roles

To overcome this thing an
organization must perform
two things.
Job rotation
Prosocial motivation
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A person may be dissatisfied with
his or her supervisor and
?coworkers due to:
Supervisors and co-workers

• Weak social support
• No shared values,
• Attitudes towards
subordinates etc.
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For many people, pay reflects self
worth, so pay satisfaction takes on
?critical significance when it comes
to retention
Pay and benefits

To keep employees satisfy and
to retain them for a long
period of time managers must
define a good pay structure
and should give the necessary
benefits to them.
20
Thank You
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Employee retention and separation

Overview  What is employee Separation

• Employee retention is the act of keeping employees and

• Treat your employees as your partners or give them a

• Keep motivating your employees and show them that

• Adding variable pay in some tasks also helps in

• Giving employees at the spot incentives increase

• Employee separation is the process of efficiently and terminating workers.

 Voluntary separation, which normally  Involuntary separation is caused by the

• Most of employees follows the Maslow`s hierarchy

Retirement Dismissal Layoff Retrenchment Rightsizing

So the organization must take

Tasks and roles

Supervisors and co-workers

Pay and benefits

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