Turnover Drivers and Retention Factors Affecting Hourly Workers: What is Important?

Abstract

People are changing jobs in record numbers, resulting in the highest turnover rate in twenty years (Dobbs, 2001). Therefore, many companies are trying to determine how to retain their employees, including baby boomers with their institutional knowledge and Generation X and Y employees with their technological expertise. Previous research has identified organizational culture, supervision, compensation, and work environment coupled with pay and benefits as being related to employee turnover. An employee survey and interviews conducted at a large international wholesale bakery indicated health benefits, base pay, and life/work balance were most important to hourly workers. Suggestions on a retention strategy addressing employee’s needs are given.