Employee Turnover Based on Employee Performance Level – A Study on Luxury Hotels in Bangalore City

Abstract

The purpose of this study is to explore the cost of employee turnover based on the performance level of employees of Luxury Hotels in Bangalore. From the analysis of the data collected from the participating hotels in the survey it has been observed that Food and Beverage Service department recorded the maximum number of employee turnover irrespective of theperformance levels. As far as the low performing employee turnover is concerned Food and Beverage Production department recorded the second highest. Housekeeping department has the least number of employee turnover whether high performing, or medium performing or low performing employees. The category-wise average turnover cost analysis of the various hotels reveals that in the case of both high performing employees and medium performing employees the replacement hiring cost is the highest. The analysis also shows that the second highest category-wise average cost of employee turnover incurred by hotels are on training new hire cost. It has been observed that the training new hire cost is the maximum as far as the category-wise average cost of employee turnover is concerned in the case of low performing employee in hotels followed by replacement hiring cost . The study also reveals that there is a significant relationship between the Performance level of employees and Elements of Employee Turnover Cost of Luxury Hotels in Bangalore. From the study it can be interpreted that there is no significant relationship between the performance level of employees and number of employees left Luxury Hotels in Bangalore. The study brings out the fact that there is significant relationship between the Performance Level of employees and Cost per Employee Turnover of Luxury Hotels in Bangalore