CHAPTER – I

INTRODUCTION

Employee Retention refers to the techniques employed by the management to help

the employees stay with the organization for a longer period of time. Employee retention
strategies go a long way in motivating the employees so that they stick to the
organization for the maximum time and contribute effectively. Sincere efforts must be
taken to ensure growth and learning for the employees in their current assignments and
for them to enjoy their work.

Employee retention has become a major concern for corporates in the current
scenario. Individuals once being trained have a tendency to move to other organizations
for better prospects. Lucrative salary, comfortable timings, better ambience, growth
prospects are some of the factors which prompt an employee to look for a change.
Whenever a talented employee expresses his willingness to move on, it is the
responsibility of the management and the human resource team to intervene immediately
and find out the exact reasons leading to the decision.

Employee retention refers to the ability of an organization to retain its employees.

Employee retention can be represented by a simple statistic (for example, a retention rate
of 80% usually indicates that an organization kept 80% of its employees in a given
period). However, many consider employee retention as relating to the efforts by which
employers attempt to retain employees in their workforce. In this sense, retention
becomes the strategies rather than the outcome.

A distinction should be drawn between low-performing employees and top

performers, and efforts to retain employees should be targeted at valuable, contributing
employees. Employee turnover is a symptom of deeper issues that have not been
resolved, which may include low employee morale, absence of a clear career path, lack of
recognition, poor employee-manager relationships or many other issues. A lack of
satisfaction and commitment to the organization can also cause an employee to withdraw

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and begin looking for other opportunities. Pay does not always play as large a role in
inducing turnover as is typically believed.[1]In a business setting, the goal of employers is
usually to decrease employee turnover, thereby decreasing training costs, recruitment
costs and loss of talent and organisational knowledge. By implementing lessons learned
from key organizational behavior concepts, employers can improve retention rates and
decrease the associated costs of high turnover. However, this isn't always the case.
Employers can seek "positive turnover" whereby they aim to maintain only those
employees whom they consider to be high performers.

The first step is to understand why employees leave. The second is to implement
employee retention strategies to get them to stay.

NEED AND IMPORTANCE OF EMPLOYEE RETENTION

Let us understand why retaining a valuable employee is essential for an

organization.

 Hiring is not an easy process:

The HR Professional shortlists few individuals from a large pool of talent,

conducts preliminary interviews and eventually forwards it to the respective line
managers who further grill them to judge whether they are fit for the organization or
not. Recruiting the right candidate is a time consuming process.

 An organization invests time and money in grooming an individual and make

him readyto work and understand the corporate culture:

A new joiner is completely raw and the management really has to work hard to
train him for his overall development. It is a complete wastage of time and money
when an individual leaves an organization all of a sudden. The HR has to start the
recruitment process all over again for the same vacancy; a mere duplication of work.

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 Finding a right employee for an organization is a tedious job and all efforts simply go
waste when the employee leaves.

 When an individual resigns from his present organization, it is more likely that
he wouldjoin the competitors:

In such cases, employees tend to take all the strategies, policies from the current
organization to the new one. Individuals take all the important data, information and

statistics to their new organization and in some cases even leak the secrets of the
previous organization. To avoid such cases, it is essential that the new joinee is made
to sign a document which stops him from passing on any information even if he
leaves the organization. Strict policy should be made which prevents the employees to
join the competitors. This is an effective way to retain the employees.

 The employees working for a longer period of time are more familiar with the
company’s policies, guidelines and thus they adjust better:

They perform better than individuals who change jobs frequently. Employees
who spend a considerable time in an organization know the organization in and out
and thus are in a position to contribute effectively.

 Every individual needs time to adjust with others:

One needs time to know his team members well, be friendly with them and
eventually trust them. Organizations are always benefited when the employees are
compatible with each other and discuss things among themselves to come out with
something beneficial for all. When a new individual replaces an existing employee,
adjustment problems crop up. Individuals find it really difficult to establish a comfort
level with the other person. After striking a rapport with an existing employee, it is a
challenge for the employees to adjust with someone new and most importantly trust

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 him. It is a human tendency to compare a new joinee with the previous employees and
always find faults in him.

 It has been observed that individuals sticking to an organization for a longer

span are more loyal towards the management and the organization:

They enjoy all kinds of benefits from the organization and as a result are more
attached to it. They hardly badmouth their organization and always think in favour of
the management. For them the organization comes first and all other things later.

 It is essential for the organization to retain the valuable employees showing

potential:

Every organization needs hardworking and talented employees who can really
come out with something creative and different. No organization can survive if all the
top performers quit. It is essential for the organization to retain those employees who
really work hard and are indispensable for the system.

The management must understand the difference between a valuable employee and an
employee who doesn’t contribute much to the organization. Sincere efforts must be made
to encourage the employees so that they stay happy in the current organization and do not
look for a change.

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FIVE MAIN REASONS WHY EMPLOYEES LEAVE

1. "It doesn't feel good around here." This can include any number of issues to do with
the corporate culture and the physical working environment.
2. "They wouldn't miss me if I were gone." Many people don't feel personally valued.
When people don't feel engaged or appreciated, all the money in the world can't hold
them.
3. "I don't get the support I need to get my job done." People want to do a good job;
they want to excel. At the same time, most feel as though their boss won't let them do
a good job. When frustrations exceed the employee's threshold, they leave.
4. Lack of opportunity for advancement. Advancement doesn't necessarily mean
promotion. More often, it means personal and professional growth. People want to be
Personal growth constitutes a very strong driver in today's workforce, particularly
with the younger generation. People coming out of college often identify training as
the primary criterion for choosing their first company. Companies that gutted their
training departments have a lot of catching up to do in order to attract good people.
5. Inadequate employee compensation. People want fair compensation, but – contrary
to most managers' beliefs – money rarely comes first when deciding whether to stay
or go. A certain percentage of people will always chase more income, but the majority
of.
Many executives still cling to the outdated notion that people "go for the gold", that
salary dictates all their employment decisions. But for the most part, people want
opportunities to grow and learn, to advance in their careers and to work on
challenging and interesting projects. They want to be recognised and appreciated for
their efforts. They want to feel a part of something that adds value to their
community.

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 HUMAN RESOURCE RETENTION PLAN

1. Job security for all the employees.

2. Pay benefits on par with those in rival concerns.
3. Promotion opportunities.
4. Facilities for training
5. Conducive working conditions.
6. Encouraging working participation in management decisions.
7. Challenging work.
8. Motivation of employees.
9. Encouraging workers to form a union.
10. Facilities for counseling.

EMPLOYEE RETENTION TECHNIQUES

Below are common employee retention tips that can make the difference between an
employee staying in your employ or going to another company:

 Make salary adjustments

 Change their leave allowance
 Pay for the employee's training and studies
 Increase communication to show appreciation and give feedback, giving employee
recognition
 Include employees in decision making
 Outline parameters of the job, clear job description and letting employees know
what is expected of them
 Give credit where credit is due, make sure that employees receive credit for what
they do and that the credit does not go to someone else

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  Provide compensation for going above and beyond the call of duty
 Implement measures to ensure and encourage a balance between work and home
life

These are just a few examples of employee retention tips. There are many creative,
unusual ways of showing appreciation and providing perks to retain staff.

FIVE STRATEGIES FOR EMPLOYEE RETENTION

1. Working environment

The primary employee retention strategies have to do with creating and maintaining a
workplace that attracts, retains and nourishes good people. This covers a host of issues,
ranging from developing a corporate mission, culture and value system to insisting on a
safe working environment and creating clear, logical and consistent operating policies
and procedures.

Environmental employee retention strategies address three fundamental aspects of the

workplace: the ethics and values foundation upon which the organisation rests; the
policies that interpret those values and translate them into day-to-day actions, and the
physical environment in which people work. The overall goal is to make your company a
place where people want to come to work.

A sampling of environmental employee retention strategies includes the following:

 Clarify your mission.

 Create a values statement.
 Communicate positive feelings.
 Stay focused on the customer.
 Be fair and honest.
 Cultivate a feeling of family.

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  Promote integrity.
 Do not tolerate sub-par performance.
 Insist on workplace safety.
 Reduce the number of meetings.
 Make work fun.

These employee retention strategies all relate in one way or another to corporate culture.
However, one environmental issue tends to stand out above the rest.

Take the pulse of your people on a regular basis. From time to time, bring in an outside
third party to get a more objective view of how your people really feel. Find out if
they really know the vision, mission and values. At the same time, give employees plenty
of information about how the company is performing and where it is going. When people
buy into your clearly stated corporate values and have the information they need to get
the job done, they tend to stick around.

2. Employee relationship strategies

Employee relationship strategies have to do with how you treat your people and how they
treat each other. Developing effective employee relationship strategies begins with three
basic steps:

 Give your managers and supervisors plenty of relationship training. Recognise that
(in all but the smallest companies) people work for their supervisor, not you.
Their pay cheque may say "XYZ company", but their primary work relationship
is with their supervisor. If your supervisors have the knowledge, training and
sensitivity to work effectively with people on an individual level, you'll probably
get the bonding you need to retain employees.
 Ask employees why they work for you. When you do, two things happen. One,
employees reinforce to themselves why they work for you. Two, you gain a
better understanding of what attracts people to your company. You can then use
8
 that information to recruit new employees, saying: "Here's why people work for
us. If you value these things, perhaps you ought to work for us, too."
 Once you have the information about why people work for you, ask: "What can
we do to make things even better around here?" Do it in a positive way so that it
doesn't become a gripe session, then listen closely to what your employees say.
Out of these conversations will come many good ideas, not only for improving
conditions for your employees but for all facets of your business.

Some top employee relationship strategies:

 Use behavioural style assessment tools, such as Myers-Briggs or DISC, to help

people better understand themselves and each other and communicate more
effectively.
 Help employees to set life goals and get focused on where they want to go. Then
help them to see how their goals match up with company goals and that they can
achieve their goals by staying with the company. If people believe they can
achieve their goals and objectives by working in your organisation, they will
think twice before going somewhere else to work.
 Whenever possible, get the family involved:

o Write a letter of commendation and send a copy to the family.

o Write a letter to the family thanking them for supporting your employee.
o Have an open house. Invite the families for a tour to see what the
spouse/parent does.
o Hold social activities such as family picnics, holiday parties, special events.
o Celebrate birthdays.
o Take people out to dinner to celebrate an achievement.
o Hold public celebrations when the company hits major milestones.

Other employee relationship strategies that impact employee retention:

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  Build mentoring relationships with people to increase their emotional ties to the
organisation.
 Be firm and fair. Avoid second-guessing employees.
 Celebrate longevity.
 Encourage humour in the workplace.
 Focus on building individual self-esteem.
 Stick up for your people.
 Give recognition strategically and deliberately.

Ultimately, employee relationship strategies help to build a sense of family. In families,

people have conflict and disagreements but they learn how to work them out. They stick
together through good times and bad and support each other's growth. Families have an
"all for one and one for all" mentality. It's a lot harder to leave a family than to leave
somewhere where you just go to work.

3. Employee support strategies

Employee support strategies involve giving people the tools and equipment to get the job
done. When people feel they have what they need to perform, job satisfaction increases
dramatically. All employee support strategies stem from three basic principles:

 People want to excel.

 People need adequate resources to get the job done.
 People need moral and mental support from you and your managers.

Employee support strategies start with your and your managers' attitudes. Do you see
employees merely as cogs in a wheel, or as valuable resources that make the company
go? Do you expect high performance or mediocrity from them? Believing that people
want to excel (they do!) rather than perform at minimum levels will lead you to treat
them in a much more positive manner.

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Information is another key area in employee support strategies. The more information
you give people about what they are doing, what the company is about and why you do
things the way you do, the more valuable it becomes. Help people to understand all the
nuances of their jobs. Why is what they do important to the company? What are the
expectations of the customer?

Let people know what is going on. Give them sales figures and some of the financials.
You don't have to disclose salaries and other sensitive information, but let them see
performance measurements, particularly as they affect their jobs.

Other employee support strategies include:

 Give people productive work to do.

 Provide challenges.
 Remove obstacles and barriers to getting the job done.
 Adjust jobs to fit strengths, abilities and talents.
 Keep the promises you make.
 Establish effective communication systems.
 Clearly define job responsibilities and accountabilities.
 Encourage people to take initiative.
 Encourage, recognize and reward creativity and innovation.
 Avoid micro-management.
 Reduce reporting requirements.
 When possible, offer job flexibility.

4. Employee growth strategies

Employee growth strategies deal with personal and professional growth. Good employees
want to develop new knowledge and skills in order to improve their value in the
marketplace and enhance their own self-esteem.

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However, don't just "throw" education and training at your people in a random fashion.
Instead, organise and structure your training so that it makes sense for the company and
the individuals who work for you.

Take time to explore your employees' different needs and the best way to meet those
needs. There are many ways to help your people with personal growth that not only make
a difference in their lives, but bond them more closely to the organisation.

Training and education can include:

 in-house curriculum for skills training and development

 outside seminars and workshops
 paying for college and continuing education
 CD/DVD, podcast and online learning
 cross-training
 having employees present workshops in their areas of expertise
 bringing in outside experts to educate employees about subjects that affect their
personal lives.

The last bullet point above offers a real opportunity for employers to differentiate
themselves and have a big impact on employee retention. For example, most people own
a car. Yet, how many really know how to buy car insurance? Set up a brown-bag lunch
that teaches people the ins and outs of car insurance and how to get the best buy.

5. Employee compensation strategies

Effective employee compensation strategies stem from one fundamental principle:

money alone will not retain most employees. In the old days, companies essentially paid
people for their time. Today, more and more companies pay for performance – in every
position, not just sales. To retain employees, your compensation plan needs to
incorporate this trend.

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Pay-for-performance plans come in a variety of shapes and sizes, but they all involve two
basic activities: defining the job and checking performance against expectations.

When people exceed expectations, give them a bonus. It helps to lay the plan out ahead of
time so that employees understand your expectations and know what they have to do to
get the bonus. But make sure you base it on predefined profit goals, so that you don't pay
out if the company doesn't make money.

If you're not offering some type of incentive or pay-for-performance plan, you're putting
your company at a terrible disadvantage.

Smart employers use a variety of hard (monetary) and soft (non-monetary) employee
compensation strategies to make it difficult for other companies to steal their people
away. These include:

 Discuss total employee compensation (salary, benefits, bonuses, training, etc.).

 Design reward systems to stimulate employee involvement.
 Use flexible employee benefits to respond to a changing workforce.
 Offer stock options.
 Offer time off, sabbaticals and other forms of non-financial employee
compensation.
 Provide childcare and/or eldercare.
 Provide employee assistance programmes.
 Arrange for discounts on purchases.
 Arrange for professional services.
 Fund fitness club memberships.

Keep in mind that employee compensation constitutes only one piece of the puzzle. If all
the other pieces – the environmental, relationship, support and growth strategies – don't
fit together into one interlocking whole, you won't be able to pay people enough to work
for you.
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In today's market, employees have control. They say: "You're lucky to have me working
for you." If you don't believe that and treat them accordingly, they will quickly find
another employer who will. That's why you need to have all five of these employee
retention strategies in place.

The content of this article is intended to provide a general guide to the subject matter.
Specialist advice should be sought about your specific circumstances.

When you offer these kinds of learning opportunities, it sets you apart from other
employers and shows that you truly care about your employees. It's one thing to provide
training that helps them to do a better job because your company benefits from it. It's
another thing altogether to offer education on how employees can improve their lives.
They don't expect that. It shows that you care about them as people, not just as workers
who can make money for you.

Other recommended employee support strategies include:

 Establish a learning culture.

 Create individual learning plans.
 Encourage people to join professional and trade associations.
 Invest in career planning.
 Operate a corporate mentoring programme.
 Provide incentives for learning.
 Take advantage of internet learning.

IMPORTANCE OF EMPLOYEE RETENTION

The process of employee retention will benefit an organization in the following

ways:  The cost of turnover: The cost of employee turnover adds hundreds of thousands
of money to a company’s expenses. While it is difficult to fully calculate the cost of
turnover (including hiring costs, training costs and productivity loss), industry experts

14
often quote 25% of the average employee salary as a conservative estimate.  Loss of
company’s knowledge: When an employee leaves, he takes with him valuable knowledge
about the company, customers, current projects and past history (sometimes to
competitors). Often much time and money has been spent on the employee in expectation
of future return. When the employee leaves, the investment is not realized.  Interruption
of customer service: Customers and clients do business with a company in part because
of the people. Relationships are developed that encourage continued sponsorship of the
business. When an employee leaves, the relationships that employee built for the
company are served, which could lead to potential customer loss.  Turnover leads to
more turnovers: When an employee terminates, the effect is felt throughout the
organization. The unspoken negativity often intensifies for the remaining staff. 
Goodwill of the company: The goodwill of a company is maintained when the attrition
rates are low. Higher retention rates motivate potential employees to join the
organization.  Regaining efficiency: If an employee resigns, the good amount of time is
lost in hiring a new employee and then training an employee and this goes to the loss of
the company directly which many a times goes unnoticed. And even after this companies
cannot assure us of the same efficiency from the new employee.

15
 CHAPTER - II

REVIEW OF LITERATURE

In the chapter, the previous studies for employee’s retentions are presented to
bathe frame work to understand and systematically analyze factors affect employee
intentions . retention defined as “an obligation to continue to do business or exchange
with particular company on an going basis.

Abegglen (1958) found during the study of Japanese workers that employment
features like lifetime employment and seniority system, job security lead to high
commitment, job satisfaction as well as retention of employees in an organization
.Researchers such as Ashford et al., (1989) ; Davy et al., (1991) conducted studies on job
security and job satisfaction and found that that job dissatisfaction is the outcome of
insecurity among employees. Rosenblatt and Ruvio, (1996) conducted a research on the
job insecurity and found that job performance and organizational commitment are
negatively correlated with job insecurity.
Davidow and Uttlal,(1989) employee retention also attain benefit such as
customer satisfaction, better service, lower cost, lower sensitivity, positive word-of-
mouth, higher market share, higher productivity and higher efficiency.

Fitzenz(1990) the many situations in our contemporary life while many

employees are no longer having the sense of organization loyalty once they leaved.
Increasing numbers of organization mergers and acquisitions have left employee feeling
displeased from the companies that they work and haunted by concerns of overall job
security. This is true because of the great expenses associated with hiring and retraining
new employees. The adage, good help is hard to find, isbevin true these days than ever
before because the job market is becoming increasingly tight.

Eisenberger and associates (1990) suggested that employee’s perception

regarding an organization is strongly influenced by their relationship with the supervisor.
McNeese-Smith (1995) mentioned in his study on Leadership behavior of hospital

16
directors found that there is significantly positive relation between productivity, work
satisfaction and organizational commitment of staff. Brunetto and Farr-Wharton (2002)
were of the view that supervision of the immediate manager increases the level of job
satisfaction in the public sector employees. Chung-Hsiung Fang, Sue-Ting Chang, Guan-
Li Chen (2009) has found that leadership style can affect organizational commitment and
work satisfaction positively and work satisfaction can affect organizational commitment
and work performance positively.
Fitz-enz (1990), recognized that only one factor is not responsible in management
of employee’s retention, but there are several factors that influence employee’s retention
which need to manage congruently i.e. Impulse Buying & Demographic Characteristics
Abasyn Journal of Social Sciences. Vol.4 No.2 Muhammad Irshad&FahadAfridi 311
compensation & rewards, job security, training & developments, supervisor support
culture, work environment and organization justice etc.
Anderson and Sullivan (1993) believe that, there is a straight line linking
employee satisfaction. Thus, high satisfaction has been associated to retention of both
customer and employees. The literature of employee retention clearly explain satisfied of
employee who are happy with their jobs are more devotion to doing a good job and
vigorous to improve their organizational customer satisfaction.

Potter-brotman (1994) in his research explained how service could affect retention and
may result in improving the value teaching employees to be service providers, with the
capability to enhancing interaction with customers rather than endanger them. In the
same research, the authors recommended that firms should focus on hearing customers
unique voices as result to find out what kind of service they consider to be extraordinary.

Heskett (1994) suggested that, in some cases, service suppliers may be unable to
retain even those employees who are satisfied. Thus, satisfaction itself may not be
sufficient enough to ensure long term workers commitment to an organization. Instead , it
may be essential to look beyond satisfaction to other variables that strengthen retention
such as conviction and trust.

17
 Levine (1995) many companies are working to provide information hat employees
want and need in better way of communication , through the most credible sources (e.g.,
CEO and top management strategic) on a timely and consistent basis in summary, the
literature defines retention as continuing relation between customers and their
organization.

Desai and Mahajan (1998) in examine the concepts of acquiring customers from
a rational and affective provides us with different approaches of how cognition and
affects are implemented to increase retention. The authors recommended that in order to
retain employees, companies must continually develop their products and services so as
to meet the evolving needs of customers.

Maertz& Campion (1998) Long-term health and success of any organization

depends upon the retention of key employees. To a great extent customer satisfaction,
organizational performance in terms of increased sales, satisfied colleagues and reporting
staff, effective succession planning etc., is dependent upon the ability to retain the best
employees in any organization. Encouraging employees to remain in the organization for
a long period of time can be termed as employee retention. It is a process in which the
employees are encouraged to remain with the organization for the maximum period of
time or until the completion of the project.
According to Osteraker (1999), the employee’s satisfaction and retention is
considered the cornerstone for success of organization. Previous study divided it into
social, mental or physical dimension. The grouping is based on social contacts at work,
characteristics of the work task or the physical and material circumstances associated
with work. The retention factors of the mental dimension are work characteristics,
employees retaining by flexible tasks where they can use their knowledge and see the
results of their efforts. The social dimension refers to the contact employees with each
other, both internal and external. The physical dimension consists of working conditions
and pay. In order to retain employees, the organization need to gain information about the
dynamics that characterized the motivation to work.

18
 A Study on Attrition rate as it relates to Employee Loyalty and Retention,
Executive leadership by Rivera R., Paso E.,(1999). The purpose of this research was to
discover why personnel leave a career or organization early, which departments are so
impacted and how executive leaders influenced employee loyalty and retention. Many
departments did not see attrition as a problem. Others admitted to having to deal with the
negative effects of early career departures of employees. The cost of replacing these was
revealed as high. The experience base was established as having paramount importance.
The research revealed that internal communication was not as effective.
Accordingly, (Stein, 2000; Beck, 2001; Clarke, 2001; Parker and Wright,
2001).organization utilizes extensive range of human resource management factors that
influence employee’s commitment and retention. The aim of this study is also to find out
the factors which influence employees’ retention, for this purpose these factors are
categorized into organizational factor i.e. supervisor support, organizational justice,
organization image and work environment and Human resource factors i.e. employee
value match, training & development, remuneration & reward, job security and
employees promotion aspect.
Zineldin (2000) a more detailed and recent definition for the concept of retention
is “customer liking, identification, commitment, trust, readiness to recommend, and
repurchase intention, with the first four being emotional-cognitive retention constructs
and the last two being behavioral intentions”

Eskildesen and Hammer (2000) literature of employees retaining again show

that attracting existed employees costs less than acquiring new talents as organisations
know their employees and what they want, and the initial cost of attracting the new
employees has already been expended

Messmer (2000) found that one of the important factors in employee retention is
investment on employee training and career development. Organization always invests in
the form of training and development on those workers from whom they expect to return
and give output on its investment. Tomlinson (2002) forwarded the view that

19
organizations can keep the leading edge in this competitive world by having their
employees well trained in the latest technologies. Garg&Rastogi (2006), explained that in
today’s competitive environment feedback is very essential for organizations from
employees and the more knowledge the employee learn, the more he or she will perform
and meet the global challenges of the market place. Handy (2008) has mentioned that
proper innovation, and assimilation of new knowledge is essential for survival in any
work environment. Thus knowledge is the most expensive asset of any firm.

Denton (2000) employees who are satisfied have higher intentions of persisting
with their organization, which result decrease the turnover rate .fishbein and ajzen’s
(1975) attest the theory of reasoned as the heart retention of both the employee and the
customer links between satisfaction and behavior.

According to Miller, Erickson &Yust (2001) employees get benefited by work

environment that provide sesen of belonging. Wells &Thelen (2002) have stated in their
study that organizations which have generous human resource policies, have a very good
chance to satisfy and retain employees by providing them an appropriate level of privacy
and sound control on work environment which enhances the motivation levels to commit
with the organization for the long term. Ramlall (2003) stressed the need for recognizing
the individual needs of an employee in an organization as it will encourage commitment
and provide a suitable work environment.

Stauss et al., (2001) studies have indicate that retention driven by several key
factors, which ought to be managed congruently :organization culture, strategy, pay and
benefits philosophy, and career development system.

Johns et al (2001) studies indicated that effective communications improve

employee identification with their agency and build openness and culture. Increasingly,
organisations provide information on value, mission, strategies, competitive performance,
and may that affect employees enthuse.

20
 a number of positive benefits, such as increased business productivity and reduced
costs, improved employee flexibility and work life balance, and increased workforce
participation Work-life balance is increasingly important for engagement and affects
retention. Hyman et al., (2003) in their empirical research in the UK found that
interventions of work demands into personal life (e.g. working during the week-end)
resulted into heightened stress and emotional exhaustion among the employees. In a
study conducted by the Australian Telework Advisory Committee (2006) it was found
that 70% of businesses that incorporated telework options reported.
A Study on Strategies for Improving Employee Retention by Cordery J.(2006)
has arisen as a consequence of growing concern within the meat processing industry
regarding employee retention and turnover. This report stated that the increasing
difficulties in retaining skilled, effective workers amounted to a looming crisis within the
industry, and called for the development of effective workforce retention strategies within
the industry.
According to Shoaib M., Noor A., Tirmizi S.R, Bashir S., (2009) A Study on
Determinants of Employee Retention in telecom sector of Pakistan telecom sector of
Pakistan by Shoaib M., Noor A., Tirmizi S.R, Bashir S.,with 130 responses from 150
respondents regarding the impact of career development opportunities, supervision
support, working environment, rewards and work life policies on employee retention. The
study reveals the positive relationship of career development opportunities, supervision
support, working environment, rewards and work life policies with employee retention.

21
 CHAPTER – III

RESEARCH METHODOLOGY

This chapter deals with the methodology adopted for the study by the researcher. It
included title of the study, aims and objectives, the research design, universe and
sampling techniques, tools of data collection, pilot study, and pre-test, analysis of the data
and chapterizations.

TITLE OF THE STUDY

“A study on employees retention in Atlas export enterprises at karur district”

AIM OF THE STUDY

To study about the employees retention of the organization for employees in Atlas
export enterprises at karur.

OBJECTIVES OF THE STUDY

 To study about the socio-demographic details of the respondents.

 To study about the attitude of the employee about the industry.
 To study about the working conditions about the industry.
 To study about the welfare measures about the industry.
 To study about the wage and salary administration about the industry.
 To suggest suitable measures to improve the retention level of the employees.

HYPOTHESIS

 There is a significant association between age and attitude of the respondents

towards job.
 There is a significant difference between qualification and service conditions
of the respondents.
 There is a significant relationship between experience and housing facilities of
the respondents
22
  . There is significant difference between income of the respondents and their
overall employee retention
 . There is significant difference between marital status of the respondents and
their overall employee retention
 . There is significant difference between educational qualification of the
respondents and their overall employee retention
 . There is significant difference between income of the respondents and their
overall employee retention
 . There is significant difference between types of family of the respondents and
their overall employee retention

AREA OF THE STUDY

The researcher conducted the study with the employees and also from the
employees placed at “Atlas export enterprises” at karur district.

RESEARCH DESIGN

The researcher used descriptive research design for the study. The main aim for
having used this design was to analyze the problem preciously as well as to increase the
knowledge of the researcher about the magnitude of the problem, hence descriptive
design was adopted for the present study.

UNIVERSE

The universe of the study constitutes 400 employees in Atlas export enterprises” karur.

SAMPLING

50 of the respondents were selected from the universe by using convenient

sampling for the study.

23
PILOT STUDY

In order to know the suitability of conducting the particular study, the researcher
visited “Atlas export enterprises” at karur. The researcher seek permission from the HR
manager to undergo the study and discussed with the employees to conducting the
particular study in the organization.

PRE-TEST

To verify the suitabilityof the available questionnaire pre-test was conducted with
6 samples. After conducting pre-test the questionnaire was reframed, the pre-test
respondent were include for the main study.

ANALYSIS OF DATA

The researcher collected the data were coded and entered into a master sheet,
which makes the tabulation easy. It is used for analyzing and interpretation of the data.
The help of computer by using the statistical.

TOOLS OF DATA COLLECTION

The researcher prepared self prepared questionnaire consists of various

dimensions of personal data, designation, sex, work experience etc. The scale consists of
questions with both open and closed ended questions

CONCEPTUAL DEFINITION

It is the ability of an organisation to retain its best employees and hence maintain a
lower turnover. An organisation is able to achieve this by adopting various employee
retention programs.An employee retention program involves steps starting from
identifying the major contributors in the organisation, and designing schemes to involve
them with the organisation to ensure that they do not leave.

24
OPERATIONAL DEFINITION

Employee retention refers to the various policies and practices which let the
employees stick to an organization for a longer period of time. Every organization invests
time and money to groom a new joinee, make him a corporate ready material and bring
him at par with the existing employees. The organization is completely at loss when the
employees leave their job once they are fully trained. Employee retention takes into
account the various measures taken so that an individual stays in an organization for the
maximum period of time.

LIMITATION OF THE STUDY

Collected data base on Africa college students in thiruchirappalli the scope of study had
to be of necessity limited in term of simple size and geographical area covered due to
constraints of time and resource.

PROBLEMS ENCOUNTERED BY THE RESEARCHER

 The industry gave very short time for data collection

 The researcher found difficult to cover large area
 The respondents were very busy in their work, hence the researcher was not able
to collect the data on time

25
CHAPTERIZATION

Chapter-I

It deal with the introduction of employee retention with specified definition, various
concept and terminologies.

Chapter-II

It contains review of related literature along with the detailed history and function
of the industry under study.

Chapter-III

It comprises of methods and methodology namely research methodology,

formulation of research problem, tile of the study, significance of the study, research
design, hypothesis, data collection, universe of the study, sampling technique, tools of the
collection statistical methods of analysis, difficulties encountered and limitation of the
study.

Chapter-IV

It consist of data analysis followed by interpretation along with the statistical test of
hypothesis.

Chapter-V

It reveals presence of findings, suggestion and conclusions followed by appendix

which includes questionnaire bibliography respectively.

26
 CHAPTER – IV

DATA ANALYSIS & INTERPRETATION

In this chapter the research has given the focus to simple table, “T” test table, one
way table, correlation test table and chi-square test table. The interpretation and the
testing of hypothesis are done table wise. The researcher has used SPSS package for the
analysis and interpretation

TABLE-1
Distribution Of The Respondents Based On Their Age

S.NO AGE NUMBER OF RESPONDENTS PERCENTAGE

1 20-30 10 20%

2 30-40 40 80%

TOTAL 50 100%

From the above table least percentage (20%) of the respondents were belongs to
(20-30) age group. Majority (80%) of the respondents were belongs to (30-40) age group.

27
 FIGURE-1

Bar diagram shows age of respondent

80%

20%

Age 20 to 30 Age 30 to 40

28
 TABLE-2
Distribution Of The Respondents Based On Their Category

S.NO CATEGORY NUMBER OF RESPONDENTS PERCENTAGE

1 EXECUTIVE 36 72%

2 STAFF 14 28%

TOTAL 50 100%

From the above table majority (72%) of the respondents were belongs to
executive. Least percentage (8%) of the respondents were belongs to staff.

29
 FIGURE-2
Stacked cylinder diagram shows categories of respondent

80%

70%

60%

50%

40%

30%

20%

10%

0%
Executive staff

30
 TABLE-3
Distribution Of The Respondents Based On Their Sex

NUMBER OF
S.NO SEX PERCENTAGE
RESPONDENTS

1 MALE 50 100%

2 FEMALE - -

TOTAL 50 100%

From the above table 100% of the respondents were belongs to male

31
 FIGURE-3
Pie diagram shows gender of the respondent

Male Female

100% 0%

32
 TABLE-4
Distribution Of The Respondents Based On Their Marital status

MARITAL NUMBER OF
S.NO PERCENTAGE
STATUS RESPONDENTS

1 MARRIED 16 32%

2 UNMARRIED 34 68%

TOTAL 50 100%

From the above table less than half percentage (32%) of the respondents were
belongs to married. More than half (68%) of the respondents were belongs to unmarried.

33
 FIGURE-4
Stacked cone diagram shows marital status of the respondent

68%

70%

60%

50% 32%
40%

30%

20%

10%

0%
Married Unmarried

34
 TABLE-5
Distribution Of The Respondents Based On Their Qualification

NUMBER OF
S.NO QUALIFICATION PERCENTAGE
RESPONDENTS

1 ITI 14 28%

2 GRADUATION 27 54%

POST
3 9 18%
GRADUATION

TOTAL 50 100%

From the above table least percentage (28%) of the respondents were belongs to ITI.
More than half (54%) of the respondents were belongs to Graduation. Least percentage
(18%) of the respondents were belongs to Post Graduation.

35
 FIGURE-5
Pie-in-3d Diagram Shows Qualification Of Respondent
ITI Gratuation Post Gratuation

18% 28%

54%

36
 TABLE-6
Distribution Of The Respondents Based On Their Experience

NUMBER OF
S.NO EXPERIENCE PERCENTAGE
RESPONDENTS

BELOW 10
1 22 44%
YEARS

2 5-10 YEARS 28 56%

TOTAL 50 100%

From the above table less than half (44%) of the respondents were belongs to
below 10 years. More than half (56%) of the respondents were belongs to 5-10 years.

37
 FIGURE-6
Pie in 3D diagram shows experience of respondent

Below 10 years
5 to 10 years
44%
56%

38
 TABLE-7
Distribution of the respondents according to their perception towards
Various dimensions of Employee’s Retention
S. No. Dimensions of Employees’ No. of Percenta
Retention Respondents ge
(n = 50) (100%)
1. Attitude Towards Job

Low 29 58.0
High 21 42.0
2. Attitude Towards Company

Low 31 62.0
High 19 38.0
3. Service Conditions

Low 26 52.0
High 24 48.0
4. Working Conditions

Low 32 64.0
High 18 36.0
5. Welfare Measures

Low 23 46.0
High 27 54.0
6. Wage and Salary Administration

Low
28 56.0
High 22 44.0
7. Trade Union

Low 26 52.0
High 24 48.0
8. Workers Participation

Low 31 62.0
High 19 38.0
9. Overall level of Employees’
Retention
Low 27 54.0
High 23 46.0

39
 TABLE-8
‘Z’ Test between the category of the respondents and perception towards
various dimensions of employees’ retention
S. No Category Sample size Statistical Inference
(n=50) X S.D.

1. Attitude Towards Job

Executive 46 12.1957 2.51767
Staff Z = 2.011
4 13.5000 1.73205 P<0.05
Significant
2. Attitude Towards Company
Executive 46 15.5435 4.05357
Staff Z = 0.753
4 14.0000 0.81650 P>0.05
Not Significant
3. Service Conditions
Executive 46 13.3478 3.57906
Staff Z = 0.325
4 12.7500 2.75379 P>0.05
Not Significant
4. Working Conditions
Executive 46 10.3261 3.04086
Staff Z =0.371
4 9.7500 1.70783 P>0.05
Not Significant
5. Welfare Measures
Executive 46 29.5000 6.69909
Staff Z = 1.959
4 33.5000 5.25991 P<0.05
Significant
6. Wage and Salary
Administration
Executive 46 7.6304 2.95416 Z = 1.975
Staff P<0.05
4 10.5000 2.64575 Significant
7. Trade Union
Executive 46 7.9783 2.58620
Staff Z = 0.742
4 7.0000 1.41421 P>0.05
Not Significant
8. Workers Participation
Executive 46 11.1522 3.55257
Staff Z = 1.958
4 9.2500 .95743 P<0.05
Significant
9. Overall level of Employees’
Retention
Executive 46 107.67 210.8612
Z = 2.239
Staff P<0.05
4 110.25 133.0100
Significant

40
1. From the above table there is a significant difference between category of the
respondents with regard to their attitude towards job hence research hypothesis
accepted.
2. From the above table there is a significant difference between category of the
respondents with regard to their welfare measures hence research hypothesis
accepted.
3. From the above table there is a significant difference between category of the
respondents with regard to their wage and Salary Administration hence research
hypothesis accepted.
4. There is a significant difference between category of the respondents with regard
to their workers participation hence research hypothesis accepted.
5. There is a significant difference between category of the respondents with regard
to their overall level of Employee retention hence research hypothesis accepted.

41
 TABLE-9
‘Z’ Test between the marital status of the respondents and perception
towards various dimensions of employees’ retention
S. No Marital Status Sample size Statistical Inference
(n=50) X S.D.

1. Attitude Towards Job

Married 17 12.0588 2.92555
Unmarried Z = 0.490
33 12.4242 2.25042 P>0.05
Not Significant
2. Attitude Towards Company
Married 17 16.1176 4.98601
Unmarried Z = 0.903
33 15.0606 3.25902 P>0.05
Not Significant
3. Service Conditions
Married 17 13.1765 3.97233
Unmarried Z = 0.177
33 13.3636 3.29600 P>0.05
Not Significant
4. Working Conditions
Married 17 10.0588 2.30409
Unmarried Z =0.377
33 10.3939 3.25902 P>0.05
Not Significant
5. Welfare Measures
Married 17 29.5294 8.09412
Unmarried Z = 0.220
33 29.9697 5.89218 P>0.05
Not Significant
6. Wage and Salary
Administration
Married 17 7.0000 2.20794 Z = 1.467
Unmarried P>0.05
33 8.3030 3.29284 Not Significant
7. Trade Union
Married 17 7.4706 1.97223
Unmarried Z = 0.864
33 8.1212 2.75860 P>0.05
Not Significant
8. Workers Participation
Married 17 11.0000 3.33542
Unmarried Z = 0.958
33 11.0000 3.56195 P>0.05
Not Significant
9. Overall level of Employees’
Retention
Married 17 106.41 25.61508
Unmarried Z = 0.361
33 108.64 17.68618 P>0.05
Not Significant

42
INFERENCE
The above table indicates that there is no significant difference between marital
status of the respondents and their overall employee retention. Hence, the calculated
value greater than table value.
RESEARCH HYPOTHESIS
There is no significant different between marital status of the respondents and their
overall employee retention.
NULL HYPOTHESIS
There is no significant difference between marital status of the respondents and
their overall employee retention
STATISTICAL TEST
Student “t” test was used the above hypothesis
FINDING
The above table there is no significant different difference between marital status
of the respondents and overall employee retention. Hence, the calculated value greater
than table value. So the research hypothesis rejected and the null hypothesis accepted

43
 TABLE-10
Association between the category of the respondents and perception towards
various dimensions of Employees’ Retention
S. No Category Overall level of Statistical
Employees’ Retention Inference
Low High
1. Attitude Towards Job n: 29 n: 21 X2 = 1.944
Executive 28 18 df = 1
Staff P>0.05
1 3
Not Significant
2. Attitude Towards Company n: 31 n: 19 X2 = 2.665
Executive 27 18 df = 1
Staff P>0.05
4 1
Not Significant
3. Service Conditions n: 26 n: 24 X2 = 0.004
Executive 24 22 df = 1
Staff P>0.05
2 2
Not Significant
4. Working Conditions n: 32 n: 18 X2 = 0.228
Executive 29 17 df = 1
Staff P>0.05
3 1
Not Significant
5. Welfare Measures n: 23 n: 27 X2 = 0.772
Executive 22 24 df = 1
Staff P>0.05
1 3
Not Significant
6. Wage and Salary n: 28 n: 22 X2 = 5.534
Administration df = 1
Executive 26 18 P<0.05
Staff 2 4 Significant
7. Trade Union n: 26 n: 24 X2 = 0.007
Executive 24 22 df = 1
Staff P>0.05
2 2 Not Significant
8. Workers Participation n: 31 n: 19 X2 = 2.665
Executive 27 18 df = 1
Staff P>0.05
4 1 Not Significant
9. Overall level of Employees’ n: 27 n: 23 X2 = 0.028
Retention df = 1
Executive 25 21 P>0.05
Staff 2 2 Not Significant

44
 From the above table there is significant association between category of the
respondents regard to their wage and salary administration hence research hypothesis
accepted.

45
 TABLE-11
Association between the Age of the respondents and perception towards
various dimensions of Employee’s Retention

S. No Age Overall level of Statistical

Employees’ Retention Inference
Low High
1. Attitude Towards Job n: 29 n: 21 X2 = 5.466
20-30 years 3 8 df = 1
30-40 years P<0.05
26 13
Significant
2. Attitude Towards Company n: 31 n: 19 X2 = 0.016
20-30 years 7 4 df = 1
30-40 years P>0.05
24 15
Not Significant
3. Service Conditions n: 26 n: 24 X2 = 10.403
20-30 years 1 10 df = 1
30-40 years P<0.01
25 14
Significant
4. Working Conditions n: 32 n: 18 X2 = 0.547
20-30 years 6 5 df = 1
30-40 years P>0.05
26 13
Not Significant
5. Welfare Measures n: 23 n: 27 X2 = 4.393
20-30 years 2 9 df = 1
30-40 years P<0.05
21 18
Significant
6. Wage and Salary n: 28 n: 22 X2 = 0.012
Administration df = 1
20-30 years 6 5 P>0.05
Not Significant
30-40 years 22 17
7. Trade Union n: 26 n: 24 X2 = 4.455
20-30 years 3 8 df = 1
30-40 years P<0.05
23 16 Significant
8. Workers Participation n: 31 n: 19 X2 = 0.016
20-30 years 7 4 df = 1
30-40 years P>0.05
24 15 Not Significant
9. Overall level of Employees’ n: 27 n: 23 X2 = 0.002
Retention df = 1
20-30 years 6 5 P>0.05
30-40 years 21 18 Not Significant

46
1. From the above table there is significant association between Age of the
respondents regard to their attitude towards Job hence research hypothesis
accepted.
2. There is a significant association between age of the respondents regard to their
service conditions hence research hypothesis accepted.
3. There is a significant association between age of the respondents regard to their
welfare measures hence research hypothesis accepted.
4. There is a significant association between age of the respondents regard to their
trade union hence research hypothesis accepted

47
 TABLE-12
Association between the Marital Status of the respondents and perception
towards various dimensions of Employees’ Retention

S. No Marital Status Overall level of Statistical

Employees’ Retention Inference
Low High
1. Attitude Towards Job n: 29 n: 21 X2 = 0.007
Married 10 7 df = 1
Unmarried P>0.05
19 14
Not Significant
2. Attitude Towards Company n: 31 n: 19 X2 = 0.897
Married 9 8 df = 1
Unmarried P>0.05
22 11
Not Significant
3. Service Conditions n: 26 n: 24 X2 = 0.009
Married 9 8 df = 1
Unmarried P>0.05
17 16
Not Significant
4. Working Conditions n: 32 n: 18 X2 = 0.300
Married 10 7 df = 1
Unmarried P>0.05
22 11
Not Significant
5. Welfare Measures n: 23 n: 27 X2 = 0.500
Married 9 8 df = 1
Unmarried P>0.05
14 19
Not Significant
6. Wage and Salary n: 28 n: 22 X2 = 0.792
Administration df = 1
Married 11 6 P>0.05
Unmarried 17 16 Not Significant
7. Trade Union n: 26 n: 24 X2 = 0.480
Married 10 7 df = 1
Unmarried P>0.05
16 17 Not Significant
8. Workers Participation n: 31 n: 19 X2 = 0.897
Married 9 8 df = 1
Unmarried P>0.05
22 11 Not Significant
9. Overall level of Employees’ n: 27 n: 23 X2 = 0.241
Retention df = 1
Married 10 7 P>0.05
Unmarried 17 16 Not Significant

48
 TABLE-13
Association between the Marital Status of the respondents and perception
towards various dimensions of Employees’ Retention
S. No Marital Status Overall level of Statistical Inference
Employees’ Retention
Low High
1. Attitude Towards Job n: 29 n: 21 X2 = 7.063
ITI 6 5 df = 2
Graduation P<0.05
22 10
Significant
Post graduation 1 6
Attitude Towards Company n: 31 n: 19 X2 = 1.629
ITI 8 3 df = 2
Graduation P>0.05
20 12
Not Significant
Post graduation 3 4
3. Service Conditions n: 26 n: 24 X2 = 1.800
ITI 6 5 df = 2
Graduation P>0.05
18 14
Not Significant
Post graduation 2 5
4. Working Conditions n: 32 n: 18 X2 = 2.646
ITI 6 5 df = 2
Graduation P>0.05
23 9
Not Significant
Post graduation 3 4
5. Welfare Measures n: 23 n: 27 X2 =5.490
ITI 5 6 df = 2
Graduation P<0.05
17 15
Significant
Post graduation 1 6
6. Wage and Salary Administration n: 28 n: 22
ITI 4 7 X2 = 5.970
Graduation df = 2
22 10 P<0.05
Significant
Post graduation 2 5
7. Trade Union n: 26 n: 24 X2 = 1.800
ITI 6 5 df = 2
Graduation P>0.05
18 14
Not Significant
Post graduation 2 5
8. Workers Participation n: 31 n: 19 X2 = 5.036
ITI 8 3 df = 2
Graduation P<0.05
21 11 Significant
Post graduation 2 5
9. Overall level of Employees’ Retention n: 27 n: 23 X2 = 8.625
ITI 4 7 df = 2
P<0.05
Graduation 22 10
Significant
Post graduation 1 6

49
1. From the above table there is a significant association between marital status of the
respondents with regard to their attitude towards job hence research hypothesis
accepted.
2. There is a significant association between marital status of the respondents with
regard to their welfare measures hence research hypothesis accepted.
3. There is a significant association between marital status of the respondents with
regard to their wage and salary administration hence research hypothesis accepted.
4. There is a significant association between marital status of the respondents with
regard to their workers participation hence research hypothesis accepted.

50
 TABLE-14
Association between the Working Experience of the respondents and
perception towards various dimensions of Employees’ Retention
S. No Working Experience Overall level of Employees’ Retention Statistical Inference
Low High
1. Attitude Towards Job n: 29 n: 21 X2 = 6.559
Below 5 years 8 13 df = 2
5-10 years P<0.05
15 7
Significant
10-15 years 6 1
2. Attitude Towards Company n: 31 n: 19 X2 = 1.960
Below 5 years 12 9 df = 2
5-10 years P>0.05
13 9
Not Significant
10-15 years 6 1
3. Service Conditions n: 26 n: 24 X2 = 5.184
Below 5 years 7 14 df = 2
5-10 years P<0.05
14 8
Significant
10-15 years
5 2
4. Working Conditions n: 32 n: 18 X2 = 2.830
Below 5 years 11 10 df = 2
5-10 years P>0.05
15 7
Not Significant
10-15 years 6 1
5. Welfare Measures n: 23 n: 27 X2 =7.268
Below 5 years 5 16 df = 2
5-10 years P<0.05
14 8 Significant
10-15 years 4 3
6. Wage and Salary Administration n: 28 n: 22
X2 = 11.418
Below 5 years 6 15 df = 2
5-10 years P<0.01
16 6
Significant
10-15 years 6 1
7. Trade Union n: 26 n: 24 X2 = 1.819
Below 5 years 9 12 df = 2
5-10 years P>0.05
12 10 Not Significant
10-15 years
5 2
8. Workers Participation n: 31 n: 19 X2 = 5.637
Below 5 years 12 9 df = 2
5-10 years P>0.05
15 7 Not Significant
10-15 years 4 3
9. Overall level of Employees’ Retention n: 27 n: 23 X2 = 8.900
df = 2
Below 5 years 9 12
P<0.05
5-10 years 14 8 Significant
10-15 years 4 3

51
1. From the above table there is a significant association between working
experience of the respondents with regard to their attitude towards job hence
research hypothesis accepted.
2. There is a significant association between working experience of the respondents
with regard to their service conditions hence research hypothesis accepted.
3. There is a significant association between working experience of the respondents
with regard to their welfare measures hence research hypothesis accepted.
4. There is a significant association between working experience of the respondents
with regard to their welfare measures hence research hypothesis accepted.
5. There is a significant association between working experience of the respondents
with regard to their overall level of employees retention hence research hypothesis
accepted.

52
 TABLE-15
One way Analysis of Variance among Educational qualification of the
respondents and perception towards various dimensions of Employees’
Retention
S. No Source Df SS MS X Statistical
Inference
1 Attitude Towards
G1=12.0909
Job F=3.392
Between Groups 2 27.765 13.883 G2=11.9688 P<0.05
Within Groups 47 272.735 5.803 G3=14.1429 Significant

2 Attitude Towards
G1=14.8182
Company F=1.451
Between Groups 2 43.615 21.808 G2=15.1250 P>0.05
Within Groups 47 706.565 15.033 G3=17.7143 Not
Significant
3 Service Conditions G1=13.8182
Between Groups 2 24.560 12.280 G2=12.8125 F=1.002
Within Groups 47 575.940 12.254 G3=14.7143 P>0.05
Not
Significant
4 Working Conditions G1=12.1818
Between Groups 2 67.711 33.856 G2=9.4375 F=4.440
Within Groups 47 358.369 7.625 G3=11.1429 P<0.05
Significant
5 Welfare Measures G1=29.9091
Between Groups 2 161.395 80.698 G2=28.8438 F=1.896
Within Groups 47 1999.985 42.553 G3=34.1429 P>0.05
Not
Significant
6 Wage and Salary
G1=8.3636
Administration F= 4.627
Between Groups 2 73.042 36.521 G2=7.0938 P<0.05
Within Groups 47 370.978 7.893 G3=10.5714 Significant

7 Trade Union G1=8.0909

Between Groups 2 0.662 0.331 G2=7.8750 F=0.050
Within Groups 47 309.838 6.592 G3=7.7143 P>0.05
Not
Significant
8 Workers
G1=10.7273
Participation F=4.219
Between Groups 2 88.890 44.445 G2=10.3750 P<0.05
Within Groups 47 495.110 10.534 G3=14.2857 Significant

53
 9 Overall level of
Employees’ G1=1100.0 F= 3.359
Retention P<0.05
Between Groups 2 2571.597 1285.798 G2=1035.3 Significant
Within Groups 47 17991.683 382.802 G3=1244.3

G1=ITI G2=Graduation G3= Post Graduation

1. From the above table there is a significant difference between educational
qualification of the respondents with regard to their Attitude towards job hence
research hypothesis accepted.
2. There is a significant difference between education qualification of the
respondents with regard to their attitude towards company hence research
hypothesis accepted.
3. There is a significant difference between educational qualification of the
respondents with regard to their service conditions hence research hypothesis
accepted.
4. There is a significant difference between educational qualification of the
respondents with regard to their working conditions hence research hypothesis
accepted.
5. There is a significant difference between educational qualification of the
respondents with regard to their welfare measures hence research hypothesis
accepted.
6. There is a significant difference between educational qualification of the
respondents with regard to their wage and salary administration hence research
hypothesis accepted.
7. There is a significant difference between educational qualification of the
respondents with regard to their workers participation hence research hypothesis
accepted.
8. There is a significant difference between educational qualification of the
respondents with regard to their workers participation hence research hypothesis
accepted.

54
9. There is a significant difference between education qualification of the
respondents with regard to their overall level of employees’ retention hence
research hypothesis accepted

55
 TABLE-16
One way Analysis of Variance among working experience of the
respondents and perception towards various dimensions of Employees’
Retention
S. No Source Df SS MS X Statistical
Inference
1 Attitude Towards
G1=13.3333
Job F=4.415
Between Groups 2 47.528 23.764 G2=11.8636 P<0.05
Within Groups 47 252.972 5.382 G3=10.5714 Significant

2 Attitude Towards
G1=16.1429
Company F=1.581
Between Groups 2 47.297 23.648 G2=15.4545 P>0.05
Within Groups 47 702.883 14.955 G3=13.1429 Not
Significant
3 Service Conditions G1=14.2857
Between Groups 2 38.351 19.175 G2=12.7727 F=1.603
Within Groups 47 562.149 11.961 G3=12.0000 P>0.05
Not
Significant
4 Working Conditions G1=11.4286
Between Groups 2 49.619 24.809 G2=9.5909 F=3.097
Within Groups 47 376.461 8.010 G3=9.0000 P<0.05
Significant
5 Welfare Measures G1=32.8571
Between Groups 2 334.062 167.031 G2=27.5909 F=4.296
Within Groups 47 1827.318 38.879 G3=27.7143 P<0.05
Significant
6 Wage and Salary
G1=9.3333
Administration F= 5.150
Between Groups 2 79.821 39.910 G2=6.9091 P<0.01
Within Groups 47 364.199 7.749 G3=6.4286 Significant

7 Trade Union G1=8.0476

Between Groups 2 6.593 3.297 G=8.0455 F=0.510
Within Groups 47 303.907 6.466 G3=7.0000 P>0.05
Not
Significant
8 Workers
G1=11.6667
Participation F=0.771
Between Groups 2 18.561 9.280 G2=10.6818 P>0.05
Within Groups 47 565.439 12.031 G3=10.0000 Not
Significant

56
 9 Overall level of
Employees’ G1=117.10 F= 4.555
Retention P<0.05
Between Groups 2 3338.795 1669.398 G2=102.91 Significant
Within Groups 47 17224.485 366.478 G3=95.8571

G1=ITI G2=Graduation G3= Post Graduation

1. From the above table there is a significant difference between working experience
of the respondents with regard to their attitude towards job hence research
hypothesis accepted.
2. There is a significant difference between working experience of the respondents
with regard to their attitude towards company hence research hypothesis accepted.
3. There is a significant difference between working experience of the respondents
with regard to their service conditions hence research hypothesis accepted.
4. There is a significant difference between working experience of the respondents
with regard to their working conditions hence research hypothesis accepted.
5. There is a significant difference between working experience of the respondents
with regard to their welfare measures hence research hypothesis accepted.
6. There is a significant difference between working experience of the respondents
with regard to their wage and salary administration hence research hypothesis
accepted.
7. There is a significant difference between working experience of the respondents
with regard to their trade union hence research hypothesis accepted.
8. There is a significant difference between working experience of the respondents
with regard to their workers participation hence research hypothesis accepted.
9. There is a significant difference between working experience of the respondents
with regard to their overall level of employees’ retention hence research
hypothesis accepted.

57
 TABLE-17
INTERCORRELATION MATRIX
Attitu Attitu Service Worki Welfa Wage and Trad Worke Overall
de de Condit ng re Salary e rs level of
Towa Towa ions Condit Meas Administ Unio Partici Emplo
rds rds ions ures ration n pation yees’
Job Comp Retenti
any on
Attitude
Towards 1
Job
Attitude
Towards .646** 1
Company
Service
Condition .470** .458** 1
s
Working
Condition .273 .451** .476** 1
s
Welfare
.474** .604** .569** .465** 1
Measures
Wage and
Salary
.337* .260 .258 .234 .630** 1
Administ
ration
Trade
.146 .446** .210 .386** .454** .367** 1
Union
Workers
Participat .296* .476** .209 .259 .507** .540** .420** 1
ion
Overall
level of
Employee .635** .781** .667** .621** .895** .655** .589** .664** 1
s’
Retention

**. Correlation is significant at the 0.01 level (2-tailed).

*. Correlation is significant at the 0.05 level (2-tailed).

58
 CHAPTER-V

FINDINGS

FINDINGS BASE ON PERSONAL DATA

 80% of the respondents were belongs to the age group of (30-40).

 72% of the respondents were belongs to executive category.
 100% of the respondents were belongs to male.
 68% of the respondents were belongs to unmarried.
 54% of the respondents were Studied up to Graduation.
 56% of the respondents were 5-10 years of their experience.
 62% of the respondents were highly satisfied of their working nature.
 58% of the respondents were satisfied with their job.
 58% of the respondents were High level of job satisfaction.
 42% of the respondents were satisfied personal policies and procedures in force.
 38% of the respondents were highly satisfied with their Relationship among the
co-workers.
 48% of the respondents were satisfied with counseling, given by their industry.

FINDINGS BASED ON RESEARCH HYPOTHESIS

 The table no - 8 reveals that there is no significant difference between (“z” test)
categories of the respondents and their overall employee retention.
 The table no - 9 reveals that there is no significant difference between (“z” test)
marital status of the respondents and their overall employee retention.
 The table no – 10 reveals that there is no significant association between
categories of the respondents and their overall employee retention.
 The table no – 11 reveals that there is no significant association between age of the
respondents and their overall employee retention.
 The table no – 12 reveals that there is no significant association between marital
status of the respondents and their overall employee retention

59
 The table no – 13 reveals that there is significant association between marital
status of the respondents and their overall employee retention
 The table no – 14 reveals that there is significant association between working
experience of the respondents and their overall employee retention
 The table no – 15 reveals that there is significant one way analysis of variance
among education qualification of the respondents and their overall employee
retention
 The table no – 16 reveals that there is significant one way analysis of variance
among education qualification of the respondents and their overall employee
retention

60
 SUGGESTIONS

1. To give the appropriate wages and salary for retain to the employees for longer period.

2. The trade union is strong and truthful of the organization the employees cannot quit
their job because the trade union will fulfill their needs.

3. The industry should follow the government norms of PF, ESI, and BONUS
procedures.

4. To provide the welfare facilities properly to the employee then the turnover can be
reduced in the organization.

5. The industry should also provide educational and housing facilities for their family
members.

6. The management and employees should have cordial relationship with each other.

7. Industry should provide leave given by the government norms.

8. Counseling must be done in every organization to retain their job.

9. The industry should provide good working atmosphere to the employees.

10. The industry should conduct training and development programme for the employees
at the frequent intervals.

11. To elevate their stressful environment the industry should conduct the recreational
programme.

12. The industry must motivate employees by the way of incentives.

13. To give the award and reward for their good works.

61
 CONCLUSION

From the above review it can be concluded that employee retention is a very
important for the organization. It helps the organization in reducing the cost of turnover,
loss of company knowledge, interruption of work, regaining the efficiency and increase
the productivity of the organization. The important reason for leaving the organization by
the employees is money and their working environment. It means the employees are not
satisfied with their salary and other monetary benefits which provide by the organization
to them. It is very important for organization to make an effective compensation policy
which is able to satisfy the employees. By using different human resource practices like
performance appraisal, training and development programme, feedback and assigning
competitive work the condition of employee retention has been increased.

62
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65
 A STUDY ON THE EMPLOYEES RETENTION IN ATLAS
EXPORT ENTERPRISES AT KARUR DISTRICT.

Socio – Demographic Dimension:

1. Name :
2. Category : (a) Executive (b) staff (c) workmen
3.Age : (a) 20-30 (b) 30-40 (c) 40-50 (d) Above 50
4. Sex : (a) Male (b) Female
5.Marrital status : (a) Married (b) Unmarried
6. Qualification : (a) ITI (b) Graduation (c) Post Graduation (d) others
7. Experience : (a) Below10years (b) 5-10years (c) 10-15years
(d) Above 15years

66
 I. Attitude Towards Job:
HS - Highly Satisfied
S - Satisfied
N - Neutral
D - Dissatisfied
HD - Highly Dissatisfied

8. Nature of Work :
a) Highly Satisfied b) Satisfied c)Neutral d) Dissatisfied e) Highly Dissatisfied
9. Job Security:
a) Highly Satisfied b) Satisfied c)Neutral d) Dissatisfied e) Highly Dissatisfied
10. Job Status:
a) Highly Satisfied b) Satisfied c)Neutral d) Dissatisfied e) Highly Dissatisfied
11. Equipment Provided by the organisation:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
12.Working Place of the organisation:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
13. Other Facilities of the work in your organisation:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
14. Appreciation for good work:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

I. Attitude Towards Company:

15. Your Feeling as an employee of TI:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

16. Personnel Policies and Procedures in force:

a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

67
17. Counselling made available:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
18. Superior’s Guidance:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

19. Relations with Superiors:

a) Highly Satisfied b) Satisfiedc) Neutral d) Dissatisfied e) Highly Dissatisfied
20. Relations with Co-workers:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
21. Relation with Sub-ordinates:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
22. Autonomy in execution of the work:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

II. Service Conditions:

23. Recruitment policy in force:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
24. Made of Selection:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
25. Training Programmes:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
26. Promotional policy in practice:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
27. Transfer policy in practice:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
28. Leave rules:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

68
29. Grievance redress procedure in the organisation:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
III. Working Conditions:
30. Hours of Work:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
31. Rest Intervals:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
32. Lighting and Ventilation facilities:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
33. Safety arrangement made by the organisation:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
34. Work place atmosphere:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

IV. Welfare measures:

35. Safety measures taken by the management:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
36. First aid facilities:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
37. Medical facilities:
a) Highly Satisfied b) Satisfied c)Neutral d) Dissatisfied e) Highly Dissatisfied
38. Housing facilities:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

39. Employee Benefit Scheme (EBS):

a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
40. Provident Fund Scheme:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

69
41. Insurance Scheme:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
42. Gratuity system in practice:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
43. Children Education allowances:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
44. Recreation facilities:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
45. Uniforms Supplied by the organisation:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
46. Washing allowances:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
47. Maintenance of rest rooms:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
48. Maintenance of Toilet and urinal:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
49. Leave Travel Concession (LTC):
a) Highly Satisfied b) Satisfied c)Neutral d) Dissatisfied e) Highly Dissatisfied

V. Wage & Salary Administration:

50. Scale of pay, allowances:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
51. Amount of annual payment of Bonus given by the management:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

52. Pay revision period:

a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

70
53. Awards for additional qualifications:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

VI. Trade Union:

54. Functionary of Trade union:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
55. Trusting leaders in your trade union:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
56. Policies &Programmes of your Trade union:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
57. Achievements of your Trade union:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

VII. Worker’s Participation in management:

58. Safety Committee:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
59. Canteen Committee:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
60. School Committee:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
61. Provident fund committee:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied
62. Employee Benefit Scheme Committee:
a) Highly Satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

71