Myths about Retention

Chapter 3 of the text has a section on Myths about Retention in the workplace.  I thought this was a good topic to discuss because people tend to have the wrong idea about what makes a good employee stay with a company.

The text lists 5 main myths that are commonly found:

1. Money is the main reason people leave- Although it's true that money is a powerful tool to recruit employees, if they feel they are being paid at a competitive level, they'll usually stay.

2.  Hiring has nothing to do with retention- According to the text, "This is not true.  Recruiting and selecting the people who fit the jobs and who are less likely to leave in the first place, and then orientating them to the company, can greatly increase retention."

3.  If you train people, you are only training them for another employer-  Although some people do this, it's not always true.  "The developing skills in employment may indeed make them more marketable, but it also tends to improve retention.  When an employer provides employees with training and development assistance, job satisfaction may increase and employers are more likely to stay."

4. Do not be concerned about retention during a merger- "That is exactly the time to worry about retention.  Although some people's jobs may have to be cut after a merger, the employees the company would like to keep may have the most opportunity to leave voluntarily.  During a merger, all the employees are concerned about job security, and if they do not feel a part of the new organization early on, many will leave."

5.  If solid performers want to leave, the company cannot hold them-  "Employees are best viewed as free agents.  They can indeed leave when they want.  The key to keeping solidly performing employees is to create an environment in which they want to stay and grow."

These are just some of the common myths about retention in the workplace.  There are several more that go without being noticed each day.

Workforce Retention (Cause and Effect)

A study was performed in Australia, to determine the factors that influence the length of practice.  The study wanted to find out which factors are most significant in a general practitioner’s decision to stay.  A national questionnaire was performed in 2001 in the rural, remote, and metropolitan areas.  They used a sample of 1400 rural practitioners obtained from the Health Insurance Commission. (Humphreys, Jones, 2002)

The study found that the top three reasons why GP’s would quit were:

1. On-call arrangement (Social factors relating to personal characteristics of the family)
2. Professional Support (Professional Issues)
3. Variety of Rural Practice (External factors relating to the community and its geographical location)

It seems as though the major issues that most people would assume a reason for a GP to quit, were correct.  This same type of study can be applied to other fields of study.  You can take another survey and distribute it to employees in the technology industry to find out the main reasons that people will quit.   For example, another study was conducted for nursing retention.  A big part of the reason for the shortage of nurses is due to recruitment issues, but also retention is a problem.  One of the main problems that were found in the nursing workforce was intimidation.  This came as a surprise to me because I never would have guessed that bullying occurred in the medical field.  Although, it was sort of naive of me to think that bullying isn’t possible in any type of job.  That being said, a study performed in the United Kingdom found that roughly 38% of nurses had reported being bullied in the previous year, as well as 42% reported witnessing the bullying of nurses by other staff members. (Stevens, 2002)

Staying at a job you hate

It's pretty obvious that most people are not satisfied with their work environment, but it sometimes isn’t enough for someone to quit.  Forbes gives several reasons why most people stay at a job they hate.

The three main reasons that people stay at a job are as follows:

1. You’ve been conditioned to stay- this is commonly found in corporations.  Psychologist B.F. Skinner proved that being rewarded at random intervals (as opposed to a fixed schedule) is a highly effective way to reinforce behavior.  I have seen it myself at jobs I have worked.  Just when you’re ready to quit, you’ll get praise from your boss or put onto a new exciting project.  I feel as though companies sometimes know when you’re ready to quit, especially if you’re planning to move to a new company in the same industry.  For example, if you work for an automotive supplier and want to move to a different one, people might know you’re planning to make the move before you even announce it. I think this is because of the amount of networking that goes on in the industry.  This isn’t exclusive to the automotive industry either.  Telecommunications, technology, and other industries are all involved in high amounts of networking throughout the companies.
2. You’re risk averse, now more than ever- Most humans are risk averse, and a lot of us are scared of change.  However, with the growing use of social media in the workforce (online networking and digital technology) we have a much broader spectrum to move around.  Everyone is afraid of moving to a new company and hating the new company even more than the first.  So we stay put where we are.  Sometimes you need to take that risk and see what else is out there.  Otherwise you’ll be stuck in a job you hate, forever. 
3. You don’t reach for the highest peak because you’re focused on scaling smaller ones- majority of professionals are focused on winning the prize in front of them (achieving a promotion/raise).  That being said, they shoot for the smaller peaks, instead of choosing a different environment all together. (Forbes, 2012)

It’s obvious that our behavior inhibits movement and growth, and defines who we are.  At the same time, these are all just excuses to not quit a job.  The main reason for staying at a job we hate, is fear.  The fear of the unknown can be paralyzing.  We constantly argue about what might be worse, the knowing or the unknowing. 

Takeaways from this subject

What is the main point of learning about retention?  We need to know the reasons people quit and what makes us stay.  A lot of new graduates will venture off into the job force and feel that they are the only ones who are worried about losing their job.  They might also give excuses for why they shouldn’t quit a job they hate.  They need to know that the resources are out there to find new work. (Forbes, 2012)

How can students of ORG331 apply this information today?

Students can use this information by doing their research.  They need to know the pros and cons of a company before investing into it.  They also need to go into a company with the right mindset.  They shouldn’t have a negative view towards the company, but they need to know that there are always other options if it doesn’t work out. (Forbes, 2012)

References

(2012). Why you will quit your job this year. [ONLINE] Available at: http://www.forbes.com/sites/kathycaprino/2012/02/11/why-you-will-quit-your-job-this-year/.

Humphreys, J. S., Jones, M. P., Jones, J. A., & Mara, P. R. (2002). Workforce retention in rural and remote Australia: determining the factors that influence length of practice. Medical Journal of Australia, 176(10), 472-476.

Stevens, S. (2002). Nursing workforce retention: Challenging a bullying culture.Health Affairs, 21(5), 189-193.