Economic Themes (2010) 48 (1) 10, 131-144
Biljana Bogićević Milikić
Abstract: Companies continually monitor and control employee turnover rate in order to predict and control the replacement costs of employees leaving organization. Employee turnover rate higher than the average rate in industry sector in which organization dominantly operates presents a serious warning. A high employee turnover rate shows that there are some problems within organizations, which require to be solved. Therefore it is necessary for companies to continuously and systematically manage employee turnover. The goal is to decrease dysfunctional turnover rather than to decrease the employee turnover at any cost.
Keywords: employee turnover; voluntary turnover; employee turnover costs; optimal employee turnover rate; strategic management of employee turnover
EMPLOYEE TURNOVER: CAUSES, CONSEQUENCES, AND MANAGEMENT
Biljana Bogićević Milikić
Abstract: Companies continually monitor and control employee turnover rate in order to predict and control the replacement costs of employees leaving organization. Employee turnover rate higher than the average rate in industry sector in which organization dominantly operates presents a serious warning. A high employee turnover rate shows that there are some problems within organizations, which require to be solved. Therefore it is necessary for companies to continuously and systematically manage employee turnover. The goal is to decrease dysfunctional turnover rather than to decrease the employee turnover at any cost.
Keywords: employee turnover; voluntary turnover; employee turnover costs; optimal employee turnover rate; strategic management of employee turnover
