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Retention

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A high employee turnover rate, the rate at which employees leave a business, can affect the bottom line of businesses of all sizes. However, the negative effect on small businesses can be particularly harsh due to limited resources and the investment in employees. Because employees who are satisfied with their jobs generally don't give them up, high turnover is usually indicative of a problem.

That's not to say that every employee who leaves your company is unsatisfied — after all, some will retire, leave town, quit because of family circumstances, desire to change professions, or even start a business of their own. But if you have a lot of turnover and you're losing good employees, you may want to give some thought to the possibility that the cause of high employee turnover in your business is a morale problem.
Causes of High Turnover

The causes of turnover are related to the same factors that contribute to absenteeism — if workers are not interested in their jobs, they will either stay away or leave.

But being unhappy in a job is not the only reason why people leave one employer for another. If the skills that they possess are in demand, they may be lured away by higher pay, better benefits, or better job growth potential. While you can't control what's happening with other companies, how much they pay, or which benefits they offer, you can take steps to improve morale at your business and make those employees who are with you happy and productive. That's why it's important to know and recognize the difference between employees who leave because they are unhappy and those who leave for other reasons.

The following are some of the more common reasons for high turnover in businesses:

A bad match between the employee's skills and the job. Employees who are placed in jobs that are too difficult for them or whose skills are underutilized may become

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