Welcome Guest | Register FREE | Wednesday, 23/05/2012
Home Resources
Back
Attrition is a major concern faced by all companies, big or small. Attrition refers to a reduction in the employee strength due to resignation or retirement of employees.
There are various reasons why employees leave their current jobs. Some of the prominent reasons could be
The average attrition level in the BPO sector is somewhere between 35% - 45%. Although the figure is less than the average rate of attrition in US (i.e., around 70%), the challenge remains keeping in mind the recent growth of the BPO Sector in India as against the sector being almost 30 years old in the States.
Many individuals, mostly fresh graduates join this industry as a time killer. But, once they step into the industry, they find the long hours of work and the job monotony highly strenuous. This has turned out to be one of the major reasons for the high level of attrition.
There is also a high level of women employees in this sector. They tend to quit their job either due to marriage or sometimes, the social stigma attached to the sector because of the unusual working hours. This results in a major loss to the companies who invest a lot in order to get the individuals trained.
If an individual quits the job immediately after training, then it can result in a cost of up to US $ 1500 to the company. According to many experts, these types of challenges prove to be a major hurdle in the growth path for the industry.
Today, HR managers are concentrating extensively to develop the employees, how to retain and motivate them by offering them monetary incentives and schemes. They are also conducting various seminars and campus recruitments to create awareness.
It is quite evident that major costs are involved due to attrition. Although some of them are not as prominent during the process of preparing the management reports or the budgeting, they still continue to be costs which are absolutely necessary.
Back
Todays Big Challenge !!
Attrition is a major concern faced by all companies, big or small. Attrition refers to a reduction in the employee strength due to resignation or retirement of employees.
There are various reasons why employees leave their current jobs. Some of the prominent reasons could be
- A better hike in the salary
- Better work environment
- Non co-operative colleagues
- A better job profile, or
- Marriage (as in the case of women employees)
The average attrition level in the BPO sector is somewhere between 35% - 45%. Although the figure is less than the average rate of attrition in US (i.e., around 70%), the challenge remains keeping in mind the recent growth of the BPO Sector in India as against the sector being almost 30 years old in the States.
Many individuals, mostly fresh graduates join this industry as a time killer. But, once they step into the industry, they find the long hours of work and the job monotony highly strenuous. This has turned out to be one of the major reasons for the high level of attrition.
There is also a high level of women employees in this sector. They tend to quit their job either due to marriage or sometimes, the social stigma attached to the sector because of the unusual working hours. This results in a major loss to the companies who invest a lot in order to get the individuals trained.
If an individual quits the job immediately after training, then it can result in a cost of up to US $ 1500 to the company. According to many experts, these types of challenges prove to be a major hurdle in the growth path for the industry.
Today, HR managers are concentrating extensively to develop the employees, how to retain and motivate them by offering them monetary incentives and schemes. They are also conducting various seminars and campus recruitments to create awareness.
It is quite evident that major costs are involved due to attrition. Although some of them are not as prominent during the process of preparing the management reports or the budgeting, they still continue to be costs which are absolutely necessary.
Back