Employee Turnover: Causes, Importance and Retention Strategies

Abstract

This research aims to understand the causes of employee turnover and retention strategies in an organization. Key research findings indicate that employees have several reasons to leave their workplaces, such as job stress, job satisfaction, job security, work environment, motivation, wages, and rewards. Furthermore, employee turnover has a huge impact on an organization due to the costs associated with employee turnover and can negatively impact the productivity, sustainability, competitiveness, and profitability of an organization. However, the organization must understand the needs of its employees, which will help organizations, adopt certain strategies to improve employee performance and reduce turnover. Thus, implementing strategies will increase job satisfaction, motivation and the productivity of individuals and organizations, which can reduce employment problems, absenteeism, and employee turnover.

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DOI: http://dx.doi.org/10.24018/ejbmr.2021.6.3.893
Vol 6 | Issue 3 | June 2021
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Employee Turnover: Causes, Importance and
Retention Strategies
Walid Abdullah Al-Suraihi, Siti Aida Samikon, Al-Hussain Abdullah Al-Suraihi, and Ishaq Ibrahim
ABSTRACT
This research aims to understand the causes of employee turnover and
retention strategies in an organization. Key research findings indicate that
employees have several reasons to leave their workplaces, such as job stress,
job satisfaction, job security, work environment, motivation, wages, and
rewards. Furthermore, employee turnover has a huge impact on an
organization due to the costs associated with employee turnover and can
negatively impact the productivity, sustainability, competitiveness, and
profitability of an organization. However, the organization must understand
the needs of its employees, which will help organizations, adopt certain
strategies to improve employee performance and reduce turnover. Thus,
implementing strategies will increase job satisfaction, motivation and the
productivity of individuals and organizations, which can reduce employment
problems, absenteeism, and employee turnover.
Keywords: Turnover Intention, Job Stress, Job Satisfaction, Work Environment,
Retention Strategies.
Submitted : May 19, 2021
Published : June 09, 2021
ISSN: 2507-1076
DOI: 10.24018/ejbmr.2021.6.3.893
Walid Abdullah Al-Suraihi*
Post Graduate Centre, Limkokwing
University of Creative Technology,
Cyberjaya, Malaysia.
(e-mail: walid.alsuraihi gmail.com)
Siti Aida Samikon
Post Graduate Centre, Limkokwing
University of Creative Technology,
Cyberjaya, Malaysia.
Al-Hussain Abdullah Al-Suraihi
Faculty of Economics and Muamalat,
USIM, Malaysia.
Ishaq Ibrahim
Faculty of Leadership and Management,
USIM, Malaysia.
*Corresponding Author
I. INTRODUCTION
Employee turnover is a serious problem for many
organizations around the world. Indeed, the study of
employee turnover intentions has long been a major concern
in an organization's management [1]. Turnover is a huge
problem for organizations in today's intense global
competition [2]. Recently, found that the phenomenon of
turnover is a permanent problem for organizations [3]. That
would negatively affect the performance and profitability of
the organization. On the other hand, employee turnover
increases the chances of losing good employees [4].
Therefore, retaining valuable skilled employees is very
important to employers, as they are considered essential to the
performance and success of an organization [5]. Besides,
employee turnover has always been an important issue for
managing an organization.
There are consequence costs associated with a turnover
that would direct recruitment costs endured while looking for
a replacement, lost labour between the time the individual
quits and a replacement, lost productivity while departing
employee and reduced productivity of the new hire while
learning the job [6]. However, high levels of unemployment
make it difficult for people to find suitable work, which
reduces productivity and innovation for both the individual
and the organization, and this would have a negative impact
on the economic development of the country [7]. Thus,
employee turnover is a major concern for governments and
organizations .
Moreover, the turnover rate survey shows that in Malaysia
nearly half of 49% of organizations recorded employee
turnover in 2015. The figure below shows the employee
turnover rate in Malaysia in 2015. For example, 7% of
organizations have an employee turnover rate of less than
10%, while 11% of organizations were affected by employee
turnover of more than 50% [8]. Additionally, in Southeast
Asia, Malaysia was ranked second highest voluntary turnover
rate of 6.0% and third-highest voluntary turnover rate of 9.5%
[9].
Fig. 1. Malaysian employee turnover rate in 2015.
High turnover rates indicate that worker retention is not a
simple task. However, what are the reasons for employee
turnover? Is it the fault of a company’s management or the
@

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perspective of the employees?
II. WHAT MAKES EMPLOYEE TURNOVER?
Previous researchers focused on what causes the
employees to leave an organization and how they left [10],
[11]. According to [12] there are several reasons why
employees leave work or the organization and these are;
employees feel that their work or workplace is not what they
expected, also there is a discrepancy between the job and the
person. Moreover, there is very little training and feedback,
there are very few opportunities for growth and progress.
Furthermore, employees feel devalued and unrecognized,
employees feel stressed due to overwork and have an
imbalance between work and life, and the last reason is a loss
of trust in leaders. Moreover, trust is important to the
performance and well-being of employees in an organization.
Thus, lack of trust is an important reason for employees not
to share their knowledge and experience with other members
of the organization, which can significantly affect the
effectiveness of the organization [13]. Besides, other factors
have been identified as career improvement and
development, high wage potential, interpersonal conflicts
with colleagues, bad human resource policies and personal
reasons causing the intention to change [5]. Further, [14]
stated that employee turnover is a major concern to
companies due to the cost that results from employee turnover
and can negatively affect the organization's performance.
Additionally, job-related factors are one of the causes of
employee turnover that to some extents are under the direct
control of the employer. To illustrate, job-related factors are
dissatisfaction with working conditions, supervision disputes,
scheduling conflicts or wage inequality, and employers can
understand the causes of turnover. The management would be
able to identify and solve problems within the organization
[10]. Besides, many variables influence the decisions of
employees to quit work and can be divided into internal and
external variables. Internal variables include issues such as
perceived organizational support, pay satisfaction,
administrative support, and organizational attractiveness;
while external variables include the balance between family
work, the labour market and macroeconomic factors [15],
[16]. Additionally, satisfaction with the current job,
availability of jobs, job switching intention and alignment
with their bosses or supervisors are the common reasons for
employees to leave an organization [17]. Further, it has been
suggested by [18] that a negative evaluation of current
employment would lead to dissatisfaction with work,
thoughts on resignation, and evaluation of the benefit of job
search and the cost of employment.
Moreover, as proposed by [19] based on [20] four factors
could be the cause of employee retention or turnover which
are, career opportunities available at the organization,
mentoring programs for employees, organizational
communication policy, and salary and other benefits.
Moreover, [21] reported job stress, challenging work and job
satisfaction, were affecting employee turnover and absence.
Likewise, [22] found that challenging work influences an
employee's intention to stay or leave an organization. Further,
[23] studied the factors that drive employees to leave work in
different sectors. The results suggest that nine factors lead
employees to quit or stay in the organization. These include
poor working environment, unhelpful colleagues,
mismanagement, excessive workload, family pressure, low
salary and inappropriate performance appraisal, job security,
and rough and tough behaviour of supervisors and bosses.
According to [24] many factors affect employees intention
to leave their jobs in palm oil plantations in Malaysia. The
results revealed seven factors leading to employee turnover
intention, namely salary and well-being, working
environment, insecurity, poor organizational support, strict
rules and regulations and lack of individual motivation.
Moreover, [9] studied the factors that contribute to the
turnover of construction industry employees in Malaysia. The
work environment, salary, rewards, work and organizational
commitment and the leader are important causes for
employees leaving their jobs.
Other authors such as [25] specified reasons for employee
turnover could be categorised into three groups, first is work-
related factors (e.g., job satisfaction, wage, performance,
organizational commitment) second is individual factors
(e.g., age, education, gender, tenure) and last is external
factors (e.g., unemployment rate, perceptions of employment,
presence of trade union). In contrast, there are other causes of
employee turnover in non-job-related cases that are usually
beyond the control of the employer. These are in the
employee's private life that affects their performance at the
workplace. Examples of these are relocation and family
problems. As stated by [19] the highest number of employees
turnover due to job-related reasons is 37.4% and 29.4% for
non-job-related reasons.
Job satisfaction is an employee's feelings about their job.
Job dissatisfaction influences the employees to leave the
organization. Further, job dissatisfaction can cause
employees to seek other alternatives [26]. If employees are
dissatisfied with their job, they may have the intention of
leaving the organization, leading them to find employment
with other organizations [27]. Furthermore, staff turnover has
been studied from different angles. One theory shows that two
factors influence a workers decision to resign, the perception
of ease of movement, which refers to the assessment of
proposed alternatives or opportunities, and the desired to
move, which is affected by job satisfaction [28], [29]. Job
satisfaction has a negative impact on the turnover intention
concerning the nature of the job, supervision and salary [30].
Moreover, job dissatisfaction at the workplace impairs the
work capacity of employees, reduces organizational
commitment and increases employee intention to leave [31].
Besides, [23] found that job satisfaction has a direct and
negative relationship with the employee's intention to leave
the job which in turn positively correlates with the actual
employee turnover.
Differently, some researchers have found that large groups
not only lead to inefficiencies such as loss of motivation, also
reduced social interaction and engagement among group
members, lower levels of satisfaction and commitment, and
lower collective tendency within a workgroup [32]–[35].
Likewise, [36] stated that large groups are unable to cope with
the competing pressures of socialization and customer
service, which can result in employee turnover among those
groups. Furthermore, [27] examined the impact of group
cohesiveness on employees' intentions to leave their jobs.

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They found that group cohesion had a negative relationship
with employee turnover intention and a positive relationship
with job satisfaction. However, [37] investigated the effects
of both group cohesion and group size on turnover. Turnover
increases in groups with low cohesion .Larger groups had less
social interaction and participation among their members, and
higher turnover rates.
Work stress is the tension that affects a person's emotions,
thoughts, and physical condition [11]. Therefore, employee
turnover can be a consequence of burnout due to stress-
causing long working hours [38]. Employees who work long
hours usually choose to quit their jobs [39]. A study
accomplished by [11] revealed that work stress has a positive
and significant impact on turnover intention, which could be
due to the lack of job satisfaction, including the satisfaction
of the salary given by the company. Moreover, [40] indicated
that work stress has a significant positive impact on employee
turnover intention. Employees who are highly stressed at
work are more likely to leave the organization. In this regard,
employees who are stressed at work are less satisfied with
their jobs and are more likely to consider leaving their jobs
[41], [42]. On the other hand, stress is not only a consequence
of the workplace but stress can be caused by a work-life
imbalance or a conflict between work and family [43], [44].
Work-life balance is a way of reconciling work and private
life [44] [45]. Thus, employees can leave the organization
because of the extreme stress caused by overworked and the
limited personal time they can spend outside work [46]–[48].
Additionally, job burnout is chronic stress to which an
employee may be exposed in the workplace. The dimensions
of burnout are emotional exhaustion, cynicism, and efficacy
among the employees. Burnout is associated with work-
related outcomes such as employee turnover. Thus, burnout
predicts the intention of employees to leave their jobs [46],
[49]–[51]. Moreover, job burnout has significant
consequences for employees, including insomnia, low life
satisfaction, and other physical and mental problems [52].
There is some evidence that leaders and managers may
affect employee turnover or retention [53], [54]. Furthermore,
several factors cause employee turnovers, such as changes in
management style, tension with other employees, and distrust
[44], [55], [56]. Besides, a lack of leadership management
strength leads to employee turnover [57]. The employee
decisions to leave influenced by leader behaviours, while
inadequate leadership can reduce employee enthusiasm and
dissatisfaction [54], [58]. Managers’ behaviours and actions,
and dissatisfaction could affect intentions to quit and are
reciprocated by employee development perceptions [53]. A
reason new employees leave the organization is that managers
do not allow employees to participate in challenging tasks
[59]. Organizational managers positively influence the
organizational commitment, work environment, workload
were critical to an employee's intent to turnover [60]. In
conclusion, the causes of employee turnover are summarized
as shown in Table I.
TABLE I: CAUSES OF EMPLOYEE TURNOVER
No
Causes
Source
1
Training and Feedback
[12]
2
Job-Related Factors
[25], [51]
3
Trust
[55], [56]
4
Job Stress
[11], [21]
5
Challenging Work
[22], [59]
6
Job Satisfaction
[25], [30]
7
Working Environment
[9], [23]
8
Family Pressure
[16], [43]
9
Salary
[5], [24]
10
Group Size
[32], [37]
11
Leaders and Managers
[54], [55]
III. THE IMPORTANCE OF EMPLOYEE TURNOVER
Employee behaviour, principles and beliefs affect not only
productivity, but also the overall efficiency and effectiveness,
and the nature of tasks and collaboration is of paramount
importance to employees [61]. Besides, employee turnover
has a huge impact on the organization. For example, the
organization needs to hire and train new employees, as well
as the time the new employee needs to be produced
effectively. Besides, employee turnover is expensive from the
view of the organization due to the replacement costs for the
new employees [62]–[65]. If an employee leaves the
company due to a turnover, the assurance of good employee
quality is at risk and significant amounts are spent on the
selection and training of new employees, which ultimately
leads to the loss of the company [66]. Moreover, if employees
continue to leave companies, companies should spend time
and money hiring and retraining new employees, which
negatively affects companies in the long run [67]. High
turnover reduces the number of entry-level employees,
forcing the use of temporary workers, negatively impacts
productivity and competitiveness and hinders skills
development [28]. Furthermore, employee turnover can have
a negative impact on operating costs and maintain the skills
that are necessary to maintain business operations and
competitive advantage [63]. Lack of talented and skilled
employees can lead to a management problem that affects the
productivity, profitability, and quality of products and
services. From the workers' point of view, high attrition rates
can affect work relationships, morale, and work safety [68].
Organizations have paid much attention to employee
turnover because it has huge impacts on organizations [69]–
[73]. Many researchers have found that a high employee
turnover rate can negatively impact an organization's
profitability if not properly managed [74]–[76]. High
employee turnover can have a severe impact on the business,
both financially and emotionally [54], [77]. Furthermore,
employee turnover is associated with high costs, both on an
individual and organizational level. On an individual level, it
does not matter whether someone leaves voluntarily for
another job or whether he leaves involuntarily and is
influenced personally. As for the level of the organisation, the
problem arises when employees leave to take their valuable
knowledge and experience gained from working with them
[78], [79]. Besides, employee turnover is related to the cost in
the organization, such as the financial costs associated with
employee turnover, recruitment costs and training costs. The
cost of replacing an employee, including separation,

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replacement and training costs, is estimated to be between
1.5-2.5 times the employee’s annual salary [80]–[82].
Likewise, hiring and training replacement employees can cost
companies around 50% to 60% of an employee's annual
salary, and costs do not stop there [83], [84]. Moreover, high
staff turnover will result in financial losses for the
organization. Talent replacement can cost up to 25% of the
company's total annual expenses as compensation to the
company [85]. Additionally, employee turnover will cost
organizations a lot, including money, time, lost productivity,
and other resources [49], [75]. Employee turnover has
negative consequences in terms of selection and recruitment
costs, training and development costs, operational disruption
and demoralization of the members in an organization [54],
[86], [87]. Every time an employee leaves the company,
productivity is reduced due to the learning curve involved in
working and understanding the organization, which impacts
the organization's profitability [76], [88]. Likewise, the
ability of other employees to perform their duties can be
affected when an employee leaves an organization [32].
Therefore, the employee turnover caused by miss
management would affect the organization negatively in
terms of personnel costs and the long run it would affect its
liquidity position [89]. However, the turnover intention has a
significant effect on organizations through direct costs
(replacement, recruitment and selection, temporary staff,
management time) and indirect costs (morale, pressure on
remaining staff, costs of learning, product/service quality,
organizational memory) and last for the loss of social capital
[14], [17], [90].
On the other hand, many studies show the impact of
employee turnover on customer service and satisfaction [32],
[91], [92]. Dealing with customer satisfaction is one of the
company's performance measures [93], [94]. Moreover, [95]
added that customer satisfaction is become important due to
the highly competitive environment in the field of retail,
satisfaction is a critical factor in organizations' success, as
well as the incentive to purchase or use the service, and is
essential to achieve a competitive advantage. Further, [69]
found that the employee has a direct impact on the customer,
and the relation of employee and customer is an important
consideration for a company’s success. Many researchers
have found that customer satisfaction is related to employee
satisfaction, and when employees are satisfied with their job,
it leads to better customer service [96], [97]. Besides, another
study accomplished by [98] indicated that there is a
significant negative relationship between employee and
customer satisfaction. As employee turnover increases,
customer satisfaction declines. When the employees satisfied
would be equal to customers’ satisfaction. Likewise, the
employees dissatisfied definitely would lead to customers’
dissatisfaction. Therefore, Employees are part of the driver
behind customer satisfaction. Retail is one of those places
where employees interact directly with customers, and which
is most important to any business. Employee turnover in an
organization can affect customer service due to a negative
impact on efficiency, resulting in a loss of human capital and
a reduction in the service level of the organization's customers
[32], [37]. According to [91] on average employee turnover
in a major retail chain is associated with decreased
performance, as measured by profit margin and customer
service. Additionally, employee turnover can have negative
effects on the remaining, as they need to split time between
training new employees and performing regular tasks, which
in turn leads to decreased efficiency and productivity among
the employees in the organization [99], [100]. Hence, while
the organization recruit a new employee that has proficiency
in their new job, the customer service would suffer as the
customers receive service from those new employees who
have less experienced and less knowledgeable than former
employees, and therefore less aware of the organization's and
customers' goals [32].
There is a study done by [101] found that employee
turnover negatively affects sales and profits and that this
relationship is mediated by specific efficiency as customer
waiting time in the fast-food industry etc. The turnover rate
also led to increased food waste produced in restaurants. [91]
established that the employee turnover has a negative effect
on both measures of store performance means the impact of
turnover on performance is negative at low-turnover stores
for both customer service and profit margin, while these
turnover rates included those employees who perform daily
operational activities as well as managers and assistant
managers. [102] found that turnover rates in the bank sector
negatively correlated with customer satisfaction. As stated by
[103] retailer customers could be exceeding their
expectations when the employees are empowered with
knowledge and have access to customers’ information. When
the employee has great knowledge and training, they will
ensure customers stay longer and loyal towards them.
Employee and top management support considered as
internal factors towards customer satisfaction and retention
[94].
Workplace condition is defined as an environment in
which employees are prepared to perform their daily work
and activities and adapt to the physical and non-physical
engagement [104]. The work environment is one of the
factors that can influence an employee's decision to stay in a
good environment or leave in a bad environment [41]. A high
turnover rate could cause low employee morale due to
overworked employees who have had increased workloads
and responsibilities due to a lack of active or skilled
employees; another problem is new employees could suffer
from low morale as they struggle to learn new job duties and
procedures. Therefore, it becomes difficult for a company to
attract and retain world-class talent [105]. The consequences
of employee turnover are low morale and decreased
motivation that affects the productivity of employees in the
organization [106].
Therefore, management should pay special attention to
avoid employee turnover which has control, as a strategy to
improve employee retention. To reduce employee turnover
and retain talent, organizations must focus on adopting
different healthy workplace methods; this includes engaging
employees in the decision-making process, providing
adequate opportunities for growth and development, ensuring
a balance between work and personal life, adequate wages,
also introducing various health and safety programs as well
as other benefits [107].

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IV. RETENTION STRATEGIES
The impact of turnover has received considerable attention
from senior management, human resources professionals and
industrial psychologists [108]. According to Human capital
theory, Becker [109] proposes to invest in human capital is
the key to increase employee profits and productivity, also the
employee well-being, because that will lead to high
performance in the organization. As a result, it can benefit
both employees and organizations. Besides, the high cost of
employee turnover, the organizations convinced that efforts
should be made to retain, develop, and promote the
employees. Hence, it becomes more and more important that
employees learn to understand each other and work together
effectively and harmoniously [40], [110], [111]. Therefore,
[112] argues that increased employee involvement can
increase satisfaction in an organization's processes and
decisions. The author also noted that employee engagement
and belongingness lead to greater employee motivation and
at the same time strengthen the organization. Moreover,
employee participation in problem-solving and decision
making can lead to increased productivity, improved
attitudes, and decreased absenteeism and employee turnover.
Furthermore, changes in management systems and behaviour
of senior managers and changes in organizational variables,
such as the scale of benefits, employee participation, a work
environment which may pose the value for the employee, and
can reduce employee turnover [42], [113]. The organizations
usually develop the skills of the employees and they often
leave before making full use of their talents and their
contributions to the organization, they exiting their
organizations without a sufficient return on large investments
that were made on them. Organizations need to bring the
interest of their employees to make huge progress in their
experience, which would enhance and increase creativity and
increased profits [110], [114], [115].
The organization might improve the effectiveness of their
employees in several ways. Could be through training
programs, constant motivation in the workplace, employee
empowerment, promotion and bonus programs [110]. The
organizations had become more interested in avoiding
employee turnover, and that could be through job training
which would increase the performance and retaining
employees also, coaching an intense task for a manager. Over
time it could increase an employee’s strengths, reduce
weaknesses, and help the employee to realize his or her full
potential, so that will be benefiting the employee, the
manager, and the organization as a whole [30], [116], [117].
The managers could promote the identification of a
company's goals and principles for employees through
training programs to reduce employee turnover [118].
Employee dissatisfaction, absenteeism and turnover can be
greatly reduced if employees are so well trained that they can
feel instant satisfaction with a sense of accomplishment and
knowledge that develops their capabilities [119]. According
to [120] it is difficult to find and hire good, talented and
valuable employees. Thus, employers are interested in
retaining their current employees. Organizations generally try
to find ways to create and expand job embeddedness which
would increase retention rates and reduce costs related to
recruitment, training, and employee turnover [121].
Moreover, the employees are highly critical for the
organization's success, therefore; reducing turnover is a
challenge to keep organizational costs under control [118],
[122]. Organizations can reduce the costs of recruiting and
training new employees through the retention of the existing
employees in organizations [123]. Moreover, [124] have
demonstrated the organization's specific benefits from
employee training and development, including increased
productivity, lower employee turnover, and greater
efficiency, leading to financial benefits and less need for
supervision.
Quality of Work Environment (QWE) is an environmental
condition, but also how the physical working conditions
contribute to a sense of efficiency, satisfaction, and
productivity at work [125]. The origins of the QWE concept
can be traced back to Scandinavia, where the "working
environment" since the 1970s has largely replaced the
narrower concept of "occupational health and safety", which
was mainly associated with physical hazards and risks at
work [41]. The work environment is a factor that influences
an employee's decision to remain with the organization.
Employees will remain in the organization even if they enjoy
the work environment. Therefore, organizations must create
a supportive work environment to retain skilled employees
within the organization for the long term [126]. A good
workplace is a place where employees and managers work
together to continually improve and promote well-being that
will general appreciation along in the organization [41].
Likewise, strong social relations in the work environment will
increase employees' job satisfaction and productivity [127],
[128]. To illustrate, social relationships create a sense of
belonging and reduce the stress which induces employees to
stay in the organization [129]. Further, greater job satisfaction
can reduce employee turnover intention in the organization
[30], [40]. Moreover, A positive work environment includes
employee training and family-friendly policies [130]. Family-
friendly policies include flexibility in the workplace, such as
when, where, and how an employee works, and this positively
affects employees' decisions to stay [131]. Contrastively,
negative environmental factors do not promote or train
employees, which negatively affects the employees, and this
would enhance their decision to leave the organization [130].
Organizations should avoid a negative working environment
for employee job satisfaction. Thus, organizations need to
maintain a suitable working environment to increase
employee job satisfaction, which can lead to increased
productivity that benefits both employees and the business
[132]. Moreover, a good quality work environment is
indicated by lower stress levels, a sense of gratitude from the
leadership and the absence of threats [2], [133]. Besides, [41]
has confirmed that the employees are likely to want to leave
if they are not pertinent, believe that they do not receive
enough important information promptly, stress and low job
satisfaction. Therefore, the manager needs to focus on the
work environment to allow the employee to work conducive,
thus helping to unleash their capabilities. Failure to comply at
any level can lead to low motivation and insufficient staff,
resulting in poor performance and possibly affecting
employee turnover in the organization [134], [135].
Another significant aspect, compatibility between
individuals and their work environment increases the
likelihood of job engagement [49]. Job engagement has been

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described by [136] as high energy, strong participation, and
effectiveness. The organization's success depends on
employee engagement. Employees have been shown to
impact the organization in terms of productivity, level of
motivation, profitability, and sustainability [137]. Employees
show high energy by persevering under difficult
circumstances and put all their efforts into their work. Strong
participation is a feeling of inspiration, significance,
enthusiasm, and effectiveness is the belief that employees can
control their work. Employees feel more committed when
they felt empowerment and support from the organization
that would develop a more complete understanding of their
organization [138]. Besides, the extent to which employees
feel that their organization appreciates their contribution and
cares about well-being can efficiently reduce their intention
to quit [139]–[141]. Further, research has shown that
engagement includes a sense of belonging and
accomplishment, as well as employee satisfaction and
efficiency [115], [142]. Thus, employees with high levels of
engagement are less likely to leave their jobs [143]. Similarly,
organizations that effectively implement an employee
engagement approach can have significant competitive
advantages [144], [145]. For example, these organizations
may have a high level of employee retention and productivity
[114], [146]. Besides, organizations seek to better understand
their employees and how they think act and interact within
organizations [110]. Moreover, organizations need to
understand the process employees go through when they
decide to leave in order to reduce the number of cases
turnover [147]. However, it is believed that job involvement,
job satisfaction, organizational attractiveness, organizational
support, as well as many other variables, have a significant
impact on the extent to which organizations can retain their
talented employees [148]. Additionally, job involvement has
recently been highlighted as an important element in the
development of loyalty and attachment, which results in a
decrease in the rate of turnover intentions. likewise, [149]
indicated that job involvement is effective attitudes that affect
employees’ decisions, productivity and work-related
decisions, which can affect the effectiveness of the
organization. Job involvement depends on the work
environment, such as organizational support, organizational
attractiveness and pays satisfaction, which may decrease
work tension and increase job satisfaction and minimize the
turnover intention [15], [121]. Furthermore, Job involvement
refers to the psychological connection of the employee with
his job, such as interest and participation towards jobs.
Besides, people who demonstrate active involvement in the
work also consider their work an important part of their
identity [150], [151]. Employee turnover is affected by job
involvement. Higher job involvement reduces employee
turnover [147].
In many previous studies, job satisfaction has been a
predictor of many variables, including customer satisfaction,
loyalty, performance, and commitment. In support, [152]
points out, job satisfaction is an important part of an
organization's behaviour and environment, while increasing
the organization's overall productivity. Job satisfaction and
pay satisfaction are among the motivational factors that
influence employee satisfaction [15], [153], [154]. However,
job satisfaction has a direct impact on the productivity and
performance of organizations, as well as on employees’
intention to remain in their organization [155]. Further, [156]
to ensure success, the organization must focus on the needs
of employees and implements employee retention strategies.
In addition, implementing strategies would increase job
satisfaction and that can diminish employment problems.
On the other hand, most scholars and professionals believe
that external and internal rewards and benefits can increase
organizational commitment and reduce employee turnover
[122], [157]. For instance, the internal benefits such as
increased sales, improved product quality, motivated
employees, while the external benefits such as increased
market share and improved image and reputation [158].
Moreover, [159] mentioned that both external and internal
factors of employee retention were identified, which
contributes to the accumulation of knowledge regarding
employee retention. The authors note that monetary and non-
monetary rewards were used in motivation. Furthermore,
[160] emphasized that human resource managers must be
aware of what employees value to reduce their intention to
leave and increase their retention. Therefore, Table II
summarizes employee retention strategies.
TABLE II: EMPLOYEE RETENTION STRATEGIES
No
Strategy
Source
1
Management
[42], [113]
2
Training
[118], [124]
3
Job Involvement
[15], [149]
4
Job Satisfaction
[153], [155]
5
Rewards and Benefits
[122], [159]
6
Job Engagement
[3], [96]
7
Work Environment
[2], [132]
8
Employee Participation
[113], [136]
V. CONCLUSION
The purpose of the research was to understand the causes
of employee turnover and retention strategies for employees
in the organization. Obviously, there are many reasons why
an employee leaves their job, and some of these reasons are
insufficient training or lack of feedback, work-related factors,
lack of trust, high work stress, less challenging work, low job
satisfaction, poor working environment, family pressure, low
wages, a large work group, and poor leaders and managers.
Consequently, the organization must understand the needs
of its employees, which will help organizations, adopt certain
strategies to improve employee performance and reduce
turnover. Therefore, there are several employee retention
strategies, such as good management systems, provision of
training, job involvement, job satisfaction, provision of
rewards and benefits, high job engagement, good
management systems and high employee participation.
Wherefore, that would ensure improved performance of
individual employees and organizations. It is more effective
for the human resource system to promote competence,
motivation, and opportunities among the employees to create
sustainable employee performance.

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DOI: http://dx.doi.org/10.24018/ejbmr.2021.6.3.893
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