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The Determinant Factors for Employees to Leave (A Case Study in a Paint Chain Retailer)

Authors: Margaret Churchill; Henndy Ginting; Agung Wicaksono;

The Determinant Factors for Employees to Leave (A Case Study in a Paint Chain Retailer)

Abstract

High turnover is one of the problems faced by companies, especially small and medium enterprises. PT Fakta Asia Jaya, or Fakta Retail or Fakta Group, is one of the oldest semi-modern paint chain retailers and experiences a high turnover rate, more than the average industry. The company services depended on employee knowledge and support. The higher turnover rate becomes the real problem with the cost of hiring, training, sales, and services, which might affect profitability in the long run. Many factors, such as age (generational differences), gender, length of work, marital status, job satisfaction, compensation satisfaction, and organizational culture, influence employees’ decision to leave the company. This research uses qualitative methodology through an in-depth interview approach with questions about job satisfaction, compensation satisfaction, and organizational culture conducts information collected. This approach was chosen to understand whether those factors significantly influence their decision. This study proposes a recommendation for the business situation and to retain the current employee, especially the millennial generation. Based on the result of the study, it was suggested that the factors related to the employee leaving are mainly personal reasons and related to job satisfaction and compensation benefit. The other aspect emphasized by millennials is looking for career advancement and work-life balance between the family. Also, it is found that the higher risk of the job tends to look at a higher salary or to be financially incentivized; the importance of being valued and communicating in every variable makes all generations feel satisfied and fulfilled.

Related Organizations
Keywords

Award recognition, Compensation Benefits, Career Development, Job Rotation Team Building.

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citations
The total number of citations received by all articles of the researcher of interest.
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
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