Category Archives: Furloughs/Layoffs/Turnover

Private Equity, Layoffs, and Job Polarization

Source: Martin Olsson, Joacim Tåg, Journal of Labor Economics, Ahead of Print, March 29, 2017
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From the abstract:
Private equity firms are often criticized for laying off workers, but the evidence on who loses their jobs and why is scarce. This paper argues that explanations for job polarization also explain layoffs after private equity buyouts. Buyouts reduce agency problems, which triggers automation and offshoring. Using rich employer-employee data, we show that buyouts generally do not affect unemployment incidence. However, unemployment incidence doubles for workers in less productive firms who perform routine or offshorable job tasks. Job polarization is also much more marked among workers affected by buyouts than for the economy at large.

Can a Flexibility/Support Initiative Reduce Turnover Intentions and Exits? Results from the Work, Family, and Health Network

Source: Phyllis Moen, Erin L. Kelly, Shi-Rong Lee, J. Michael Oakes, Wen Fan, Jeremy Bray, David Almeida, Leslie Hammer, David Hurtado, Orfeu Buxton, Social Problems, Advance Access, First published online: 29 December 2016
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From the abstract:
We draw on panel data from a randomized field experiment to assess the effects of a flexibility/supervisor support initiative called STAR on turnover intentions and voluntary turnover among professional technical workers in a large firm. An unanticipated exogenous shock—the announcement of an impending merger—occurred in the middle of data collection. Both organizational changes reflect an emerging employment contract characterized by increasing employee temporal flexibility even as employers wield greater flexibility in reorganizing their workforces. We theorized STAR would reduce turnover intentions and actual turnover by making it more attractive to stay with the current employer. We found being in a STAR team (versus a usual practice team) lowered turnover intentions 12 months later and reduced the risk of voluntary turnover over almost three years. We also examined potential mechanisms accounting for the effects of these two organizational changes; STAR effects on reducing turnover intentions are partially mediated by reducing work-to-family conflict, family-to-work conflict, burnout, psychological distress, perceived stress, and increasing job satisfaction. The effect of learning about the merger on increasing turnover intentions is fully mediated by increased job insecurity. STAR also moderates the negative effects of learning about the merger on turnover intentions for different subgroups. Findings provide insights into the effectiveness of an organizational intervention, the dynamics of organizations, and how competing logics of two organizational changes affect employees’ labor market expectations and behavior.

Pension Structure and Employee Turnover: Evidence from a Large Public Pension System

Source: Dan Goldhaber, Cyrus Grout, Kristian L. Holden, ILR Review, Online First, Published online before print November 4, 2016
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From the abstract:
Public pension systems in many U.S. states face large funding shortfalls, and policymakers have considered moving toward defined contribution (DC) pension structures in the interest of reducing the likelihood of future shortfalls. Concerns exist, however, that such changes might increase levels of employee turnover. The empirical evidence on the relationship between pension structure and turnover is mixed, and is quite limited in the case of public-sector plans. The authors study a single class of public-sector employees (teachers) who are enrolled in either a traditional defined benefit (DB) plan or a hybrid DB-DC plan during overlapping periods of time. Contrary to conventional wisdom, the authors find little evidence that the introduction of the hybrid plan increased employee turnover; in fact, they find that turnover is lower among teachers who transferred out of the DB plan into the hybrid plan. Employers may benefit by shifting the debate away from plan structure per se and toward a discussion of how to provide employees with pension plans they will highly value.

Evidence-Based Change in Public Job Security Policy: A Research Synthesis and Its Practical Implications

Source: Hyunkang Hur, James L. Perry, Public Personnel Management, Vol. 45 no. 3, September 2016
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From the abstract:
For most of the 20th century, public employers granted their employees high levels of job security. The 21st century has brought a reversal of fortunes, with emphasis increasingly on at-will employment systems. Both distant and recent policy choices about job security have been based largely on normative and ideological considerations rather than behavioral science evidence. This article synthesizes public- and private-sector job security research to provide a more evidence-based footing for future public job security policy. Although changes related to job security are global, our attention is primarily on the United States. The article reviews job security research with origins in organizational behavior research, at-will employment research, and institutionalization and public trust research across sectors. Based on the review of the literature, we develop an integrative model of job security. We highlight practical implications that flow from the model and discuss future research needs.

Does Satisfaction With Family-Friendly Programs Reduce Turnover? A Panel Study Conducted in U.S. Federal Agencies

Source: James Gerard Caillier, Public Personnel Management, vol. 45 no. 3, September 2016
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From the abstract:
This article sought to understand the association between employee satisfaction with several family-friendly programs and turnover in U.S. federal agencies. It also built on previous cross-sectional studies that examined the relationship between these benefits and both attitudes and outcomes. More specifically, this article used social exchange theory to develop hypotheses regarding the effect of telework, alternative work schedules, child care subsidies, elder care, employee assistance programs, and health and wellness programs on turnover. Furthermore, 4 years of panel data were obtained from the Federal Employee Viewpoint Survey and FedScope to test the hypotheses. Consistent with social exchange theory, results from the balanced panel model indicate that satisfaction with family-friendly programs in general had a significant, negative effect on turnover at the .10 level. The results also indicate that alternative work schedules, child care programs, and employee assistance programs reduced turnover. Child care and employee assistance programs were significant at the .10 level. Telework, elder care, and health and wellness programs, on the other hand, were not found to have an impact on turnover. The implications the results have for theory and practice are discussed in the article.

Why People Quit Their Jobs

Source: Harvard Business Review, September 2016

….Attrition has always been expensive for companies, but in many industries the cost of losing good workers is rising, owing to tight labor markets and the increasingly collaborative nature of jobs. (As work becomes more team-focused, seamlessly plugging in new players is more challenging.) Thus companies are intensifying their efforts to predict which workers are at high risk of leaving so that managers can try to stop them. Tactics range from garden-variety electronic surveillance to sophisticated analyses of employees’ social media lives.

Some of this analytical work is generating fresh insights about what impels employees to quit. In general, people leave their jobs because they don’t like their boss, don’t see opportunities for promotion or growth, or are offered a better gig (and often higher pay); these reasons have held steady for years. New research conducted by CEB, a Washington-based best-practice insight and technology company, looks not just at why workers quit but also at when….

2016 Healthcare Staffing Survey Report

Source: NSI Nursing Solutions Inc., 2016

This annual report provides survey findings regarding: nursing workforce data & trends, the impact of the Nursing Shortage on hospitals, vacancy rates, scheduling/staffing strategies, non-productive time, recruitment metrics, RN turnover rates & cost, and top recruitment/staffing strategies; including cost/benefit analysis and ROI.
Related:
Nurse Staffing Dashboard (Excel workbook)
This scorecard enables you to measure your hospitals performance in key staffing areas: RN Vacancy Rate, RN Turnover, Hospital Turnover, etc.

2016 Nursing Workforce and Compensation Report
This report illustrates Executive and RN Perceptions on the nursing shortage and strategy considerations. Additional topics include: RN labor market supply & demand, workforce demographics, the impact of the Nursing Shortage on hospitals, vacancy rates, recruitment metrics, turnover, orientation costs, labor economics and RN compensation.

Pension Enhancements and the Retention of Public Employees

Source: Cory Koedel and P. Brett Xiang, ILR Review, OnlineFirst, Published online before print May 16, 2016
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From the abstract:
The authors use data from workers in the largest public-sector occupation in the United States—teaching—to examine the effect of pension enhancements on employee retention. Specifically, they study a 1999 enhancement to the benefit formula for public school teachers in St. Louis, Missouri, that resulted in an immediate and dramatic increase in their incentives to remain in covered employment. To identify the effect of the enhancement on teacher retention, the analysis leverages the fact that the strength of the incentive increase varied across the workforce depending on how far teachers were from retirement eligibility when it was enacted. The results indicate that the St. Louis enhancement—which was structurally similar to enhancements that were enacted in other public pension plans across the United States in the late 1990s and early 2000s—was not a cost-effective way to increase employee retention.

Millennial Employees: Flight Risk for Companies

Source: J. Brandon Rigoni and Bailey Nelson, Gallup, Business Journal, August 25, 2016

Highlights:
– Technology drives millennials’ company research
– Understanding how millennials seek jobs is key to attracting them
– Companies need to actively promote their brands

….Six in 10 millennials say they’re open to different job opportunities, and only 50% plan to be with their company one year from now. For most companies, millennials are a “flight risk.”…
Related:
Millennial Job-Hoppers: What They Seek
Source: J. Brandon Rigoni and Amy AdkinsGallup, Business Journal, May 19, 2016
Highlights:
– Millennials don’t stay with their current company to find new roles
– They see jobs as steppingstones and growth opportunities
– Workplaces that are fun or encourage creativity are not a priority

…..Gallup asked workers how important particular attributes were to them when applying for new jobs. Among millennials, we discovered that the top five factors are:
– opportunities to learn and grow
– quality of manager
– quality of management
– interest in type of work
– opportunities for advancement……

Does Turnover Intention Matter? Evaluating the Usefulness of Turnover Intention Rate as a Predictor of Actual Turnover Rate

Source: Galia Cohen, Robert S. Blake, Doug Goodman, Review of Public Personnel Administration, Vol. 36 no. 3, September 2016
(subscription required)

From the abstract:
Turnover research has traditionally examined intention to turnover rather than actual turnover. Such studies assume that leave intent serves equally well as both a proxy for and predictor of employees’ actual turnover behavior. The purpose of this study is to provide an agency-level evaluation of the usefulness of turnover intention as a reliable proxy and predictor of actual turnover across 180 U.S. federal agencies, using hierarchical (stepwise) multiple regression. Our findings suggest that, at the organizational level, turnover intention and actual turnover are distinct concepts, predicted by different sets of variables. Based on these findings, we conclude that public managers tasked with retention might have better foresight concentrating on their agencies’ unique demographic characteristics and specific management practices, rather than on their employees’ self-reported aggregated turnover intention rate.