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How to vanish every chance of a high Turnover Rate

by Gavriella Avramidou, Talent Acquisition Manager | Workathlon

What is the employee turnover rate?

The term “employee turnover rate” refers to voluntary resignations, dismissals, end of contracts and retirements in our turnover calculations. We normally don’t include internal transfers like promotions.

The Bureau of Labor Statistics estimates a striking annualized global employee turnover rate of 73.8% in the hotel industry, while a healthy rate should actually be somewhere between 10-15%. Try to collect data from different levels, departments, and periods of time. What employees are leaving you, when and why.

RELATED ARTICLE Why & When should I change Employers? HERE

What does a high employee turnover rate actually mean?

High turnover in a specific department could indicate an issue with the leadership. Employees can become disengaged when they don’t see opportunities for professional development or when they are not managed effectively. High turnover among new employees could also signal a problem with the selection, onboarding, and training processes.

Researches show that for non-management hotel employees, the turnover rate is about 50% and for management staff, the turnover is around 25%. Additionally, an entry-level hotel employee is expected to leave his or her job within one month. Service and kitchen employees’ workplace disengagement may happen faster in hospitality than in other industries, given the fact they work at a really fast pace. Finally, one of the most laborious roles is that of the housekeepers, so needless to say they are within the top ten of most likely early departures.

Why do employees leave a hotel?

We would say that the 6 most basic reasons an employee may leave your hotel are:

  1. They don’t like their supervisor

  2. The job is not a good fit.

  3. They are not happy with their new accommodation.

  4. They can earn more money elsewhere.

  5. They don’t get along with their colleagues.

  6. They don’t feel appreciated.

How can I reduce my employee turnover rate?

Yet there is a solution! Some of the steps you can take to reduce your employee turnover rate are:

• Improve your career site. Give information in advance, share your culture, and the reasons why you are an employer of choice.

• Review your job descriptions so your new hires know what to expect.

• Invest more time to develop your onboarding and training. This will create healthy inter-departmental communication, which will help with skill development.

• Improve your accommodation areas.

• Make time to show your employees some appreciation whenever possible.

• Work on performance reviews together with your line managers and consider changing your appraisal processes.

Finally, do not forget to be sociable, support the development of your employees, and use technology to attract, recruit and retain your employees. Workathlon will be your supporter to that!

Stay tuned for the complete guide on how to reduce your hotel’s turnover rate by the HR expert!


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