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The Labour Turnover Challenge

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The labour turnover challenge

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You up for it punk?

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Take the following industries and identify which have the 2 highest rates of turnover.  Which have the 2 lowest rates of turnover?

  1.  Agriculture
  2. Construction
  3. Education
  4. Fire and police
  5. IT Industry
  6. Health services
  7. Hotels and restaurants
  8. Manufacturing
  9. Mining and extraction
  10. Retail
  11. Utilities

Why did you makes these guesses?

labour turnover

Labour turnover is a major issue for most employers - it imposes costs of them that they are keen to avoid. The 1999 Institute of Personnel and Development Labour Turnover Survey offers useful insights into the strength of the labour market and the sectors where a rapid turnover of workers creates inevitable problems. It covers 706 organisations with a combined workforce of 1.2 million employees.

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The annual rate of turnover for the whole economy has remained fairly stable at around 20%. But beneath this figure there are large variations in turnover rates across occupations and industries.

Key points from the survey

Turnover is highest among workers in the wholesale and retail trades, hotels, restaurants and leisure sectors. This is hardly surprising given the low average wage rate on offer to employees in these jobs.

Over one third of craft and skilled manual workers changed their jobs last year - the turnover rate for this group of workers has more than doubled in the last two years. The loss of jobs in manufacturing industry over this period has forced many of these workers out of their current jobs. Many have joined the ranks of the structurally unemployed.



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