Young workers finding the world is their oyster
By Ben Schneiders | smh.com.au | 29 March
Employees are switching jobs more often as they take advantage of a buoyant market.
Inadequate pay or frustration with a lack of promotion opportunities were the main reasons given for the high level of turnover, along with poor relationships with managers and lack of work-life balance.
Overall, average staff turnover was 18.5per cent in the previous 12 months, a survey of more than 1000 human resources professionals and executives by the Australian Human Resources Institute found.
Annual staff turnover is typically between 11per cent and 13per cent.
The retention rates varied from industry to industry, with staff leaving jobs in retail at the greatest rate. The education sector recorded one of the lowest levels of turnover.
For Adora Goh, 19, a university student, finding a job has not been a problem. Since the start of last year she has changed jobs three times, including working in a sandwich bar and a shoe shop.
A friendly place to work was important for her, but pay was the big issue. "When you change jobs you are looking for a better working environment, better pay," she said.
Ms Goh said once she had gained experience in a type of job, whether it was retail or hospitality, the opportunities had come.
She leaned towards part-time work in retail because the pay tended to be better.
The acting chief executive of the Australian Chamber of Commerce and Industry, Peter Anderson, said staff turnover rose in the past decade because of lower unemployment and a more skilled workforce that had greater options.
"There's been an increase in what we call labour mobility since the mid-1990s, but it's particularly evident when the labour market gets tight and there are some skills shortages. We have a growing economy, but we don't have workforce participation increasing at the same rate."
The institute report found 64 per cent of those surveyed thought staff retention was a problem in their business.
One respondent to the survey said: "We need to provide a culture where people are proud to be associated with the company and enjoy coming to work."
Another said "loyalty programs and recognition of work performance will help".
The institute's national president, Peter Wilson, said the cost to business of losing too many staff was high. But the situation has given employees opportunities to demand greater flexibility and pay from their bosses.
Mr Anderson said younger employees were more willing to consider career changes or even leave jobs to go on overseas holidays. Increasingly, businesses had to do things such as negotiating unpaid leave so staff could travel, he said. The smarter employers would have a range of strategies to keep staff, including providing interesting work and good wages and conditions.
First published by Smh.com.au on March 29 2008
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