Topic Five, Part 6 - Labour Turnover Flashcards
What do managers need to know about the workforce?
- Their motivation, productivity
- Do policies meet business goals
How is performance measured?
Analyse a series of indicators to judge effectiveness of HR planning
What are the 4 key performance indicators?
- Labour productivity
- Absenteeism
- Lateness
- Labour turnover
What is the formula for labour productivity?
Output per period of time (day,week,month) / Average number of employees
What is long term absence?
when an employee is off for a lengthy period usually down to illness
What is short term absence?
An employee is absent for a few days or less because of a minor issue.
How can businesses handle policies?
Clear and consistent absence policy on allowable absence to treat everyone the same.
What is the formula for absenteeism rate?
Absence / number of staff x total number of possible working days x 100
What are the herzberg motivators?
Employee motivations e.g. achievement, advancement, recognition
What costs from absenteeism?
- Lost production
- Extra overtime
- Increased levels of absenteeism
How can businesses reduce absenteeism?
- Job enrichment
- Improve working conditions
- Improved human relations
What is the formula for lateness?
Total number of lates/ total number of schedules arrivals x 100
What is the formula for wastage rates?
Items scrapped / items produced x 100
What is labour turnover?
The percentage of staff leaving a business within a time period.
What is the formula for labour turnover?
No of staff leaving / Number of staff employed x 100
What are the causes of bad labour turnover?
- Ineffective leadership
- Low wages
What are the advantages to the business of high labour turnover?
- Employ better workers
- New workers bring new perspective
What are the disadvantages to the business of high labour turnover?
- Cost of recruiting replacements
- Productivity loss while new recruits adapt
What can be done with all this data?
Compare with competitors, targets or previous data
What are the limitations of using quantitative data?
The numbers dont detail the reason for them
