You have been hired as the new Chief Human Resource Officer (CHRO) at an S&P 500 company. As the CHRO, one of your primary roles is to be the workforce strategist. There has been a high voluntary turnover rate at this company and the CEO has directed you to develop a retention plan to resolve the high voluntary turnover rate. Outline a retention plan.
The student compared and contrasted between voluntary turnover rate and involuntary turnover rate.
Voluntary turnover is the scenario in which the employee initiates the termination of employment. For example, the employee submits a two week notice to an employer for a determined reason such as another job opportunity or moving out of state.
Involuntary turnover is the scenario in which the employer initiates the termination of employment or the employee is somehow forced to terminate the employment. For example, firing or laying off an employee is an example of involuntary turnover as is the death or serious illness of an employee.
Moreover, the student researched the financial impact that voluntary turnover rate has upon the organization.
"Dealing with voluntary talent turnover decreases profitability and becomes a roadblock for achieving strategic goals" (Martinez, 2012, para 1). The investment of each employee that an employer makes is a significant cost to their bottom line every year. Those employees, who do not retain, often do not remain with the organization long enough for the company to recover the initial investments made in terms of trainings, benefits, covering for mistakes and other such investments. "The goal of a business should be to find a balance where employee values are met and human capital levers are strategically ...
A discussion regarding the role of a Chief Human Resource Officer and correcting a high turnover issue within an S&P 500 company. 659 words, 2 references.