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Effects Of Labour Turnover On Organizational Performance
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CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND TO THE STUDY
Labour
turnover can be defined as the flow of manpower into and out of an
organization. In this definition, one could deduce the flow of manpower
to mean (replacement and new hire) while outflow to mean (separation,
lay off, discharge, quits, retirement, leave, absence or death etc.).
This inflow and outflow will continue to attract the attention of human
resource practitioners on finding the cause: and possible solution for
an organization. Since personnel/human resource managers are the
custodians of the entire workforce in any organization. The role they
perform determine to a great extent the inflow and outflow of workers in
an organization.
According to Tadeyi (1999), labour turnover occurs
when an employee: leaves the service of an organization. Therefore, the
resultant effect of the movement of workers/labour from one place to
another in search of comfort is tagged "labour turnover". Thus, the fund
of human resource management is one of the most dynamic and challenging
areas for managers across the globe in the turbulent business climate,
caused by increased global price competitiveness, changing technologic,
changing employment legislation, and changing workforce composition is
challenging managers to utilize their employees more effective to gain
competitive; advantage. In recent years there has been significant
practical development with increasing numbers of private and public
sector organizations adopting Human Resource management in order to
retain the best hands in their organization, thus reducing labour
turnover. Therefore, there is a need for a study of this nature.
1.2 STATEMENT OF PROBLEM
The
management of human resource is crucial to the survival, growth and
development of any organization, particularly, in the contemporary
period of 21st, century where there is unhealthy rivalry in the global
market, and competitiveness. The reasons for this are many, but the most
important ones are that:
v Organizations are practically run by men.
v
Human resource is the most difficult resource to manage, in the sense
that they have facilities of reasoning and the ability to respond or
resist to stimuli, and
v Human beings are dynamic, complex and unpredictable.
With
the foregoing, effective managers of human resource; is fundamental to
the survival of any organization. Therefore, it. is very important for
any organization that desires to survive, to put in place, policies,
programmes, and practices that can ensure optimal acquisition,
utilization and reduction of labour turnover in business enterprises.
Labour
turnover today in the manufacturing sector in Nigeria has led to a
greater extent brain drain and this has lead to many economic crisis in
which the nation find her self. Therefore, a high rate of labour
turnover is costly, not only in terms of recruitment, advertising,
selection, training of new employees, waste, reduced production and loss
of sales, but frequently has serious effects on general efficiency and
staff morale and on the organization image at large.
With the
aforementioned, labour are very important in the manufacturing sector in
order to identify reasons for incencant change of jobs by personnel.
'thus, there is a need for a study of this nature.
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ABSRACT - [ Total Page(s): 1 ]The study has delved comprehensively on the effect of labour turn over on employees' productivity in the manufacturing industry with UNILEVER and PZ Nigeria Plc as a case studies. The objective of this study is to examine whether better working condition has effect on labour turnover reduction in the manufacturing sector. The study follows some logical step to generalize the findings of the study. The survey research design was employed in this study and the questionnaire was the major research ... Continue reading---
