Reducing Voluntary Turnover through Career Development: Strategic HRD Research Proposal

Abstract

Voluntary employee turnover in the United States continues to spiral out of control and is expected to steadily increase in the coming years. Annual cost to American businesses exceeded $630 billion and is expected to exceed $700 billion within the next 24 months. The reasons for the sharp increase in voluntary turnover are not generational by nature as employees of all generations seek a connection with their employer and the ability to share in the firm’s growth. The reasons expressed by employers and employees include lack of training, weak relationships with managers and a general disconnect from company strategy. The primary reason given in recent years is lack of career development. Scheduled, agenda-driven discussions between senior leadership and the employee is needed to focus on employee skills, capacity for learning and enterprise goals has shown promise in reducing voluntary turnover, increasing employee engagement, and increasing talent depth in medium and large businesses. Career planning and development is not necessarily transactional as it includes specific training for a specific purpose to fit the firm’s strategic objectives. This approach can be used for lateral and vertical movement within the company. This proposal seeks to bridge the gap between existing literatures, current human capital management practices and move the discussion to a level that benefits employees and employers alike.