Examining the Role of Management in Turnover

Abstract

The literature suggests an inverted U-shaped relationship between employee turnover and organizational performance, and that management should attempt to find and maintain a turnover-retention equilibrium in order to increase organizational performance. Despite the observations supporting this argument, there has been little effort to investigate management practices that control turnover in various situations. This study examines how innovative management in Texas school districts affects teacher turnover, using data from the state's 2006-2007 Superintendent Management Survey and Academic Excellence Indicator System. The study tests the innovation-turnover relationship contingent on organizational performance. The results suggest that innovative management increases turnover in low-performing organizations, but decreases turnover (increases retention) in high-performing organizations.