Effect of Labour Turnover on Organizational Performance in a Competitive Environment

This research work lay emphasis on the Effect of Labour Turnover on Organizational Performance in a competitive environment. Labour turnover is one of the challenges facing most organizations, which the management must not overlook because of its negative impact on organizational performance. This study therefore examined among other things, causes, effects of labour turnover on organization performance in a competitive environment and the antidote for this menace. In this study, data were collected through structured questionnaires with the aid of personal interviews. Research questions and hypotheses were formulated and tested with chi-square analysis. The study revealed that when employees are not well motivated, and working conditions not adequate, there is tendency for increase in labour turnover; also business would be able to survive in a dynamic environment if the employees are treated well as part of the system.

In conclusion, the objective of keeping the rate of labour turnover at the barest minimum is achieved when an organization does the right thing, that is getting good people, knowing how to keep them and getting them pay right. It is strongly recommended that management must put in place and maintain policies which provide good working condition, conducive working environment and good pay to motivate the workers and to reduce high incidence of labour turnover.