02 Explain two causes of high labour turnover in a business. [8]

[Fatima ibtehaj]

[KN]It may occur because of lower pay.
[APP]For example due to insufficient profits a clothing business is unable to pay their employees as they may have items that are out of fashion.
[AN]Hence employees may become demotivated and as a result quit their jobs leading towards a possible loss of expereinced staff which can lead towards a decline in quality of customer service and thus having a negative impact on the businesses brand image.
[AN+]Thus this will decrease sales revenue in the long term.
[KN]Low job satisfaction.
[APP]If employees do not enjoy their work, feel undervalued, or think the job is boring, stressful, they are more likely to leave.
[AN]Hence employees will look for opportunities else where leading towards a rise in training and recruitment costs for the business thus leading towards a rise in cost element.
[AN+]Thus in the long term this makes the business less competitive
MODERATOR COMMENT:
2/8
KN 1 WAS FINE
APP 1 WAS FINE
AN:ELEMENTS MISS
2/4
KN 2 0/4
TOTAL:4/8

[abdurrehman waseem]

KN: Low wages mean employees are paid less than the market rate.
APP: For example, a shop worker earning less than workers in nearby stores will look for another job.
AN: Because the employee is not satisfied financially, they are more likely to leave the business.
+AN:This increases the number of workers leaving, resulting in high labour turnover.
KN: Poor working conditions include unsafe environment, long hours and work pressure.
APP: For example, factory workers working overtime in unsafe conditions feel stressed.
AN: Due to stress and dissatisfaction, employees start quitting their jobs.
+AN: This leads to frequent replacement of staff, increasing labour turnover.
MODERATOR COMMENT:
KN WAS FINE
APP WAS FINE
AN : ELEMENTS MISSED
AN+0/1
4/8

[Abdur Rehman khan]

[KN] One cause of high labour turnover is low pay, meaning employees feel they can earn more by joining another business.
[APP] For example, in a retail clothing store, workers may leave if nearby brands offer slightly higher wages for the same work.
[AN] When pay feels unfair, employees become dissatisfied they start looking for better opportunities increasing the number of staff leaving the business which could damage the image of business.
[AN+] In the long term, the business may struggle to retain skilled staff and face rising recruitment costs.

[KN] Another cause of high labour turnover is poor management, such as supervisors who over-control employees without guidance or support.
[APP] For instance, in a restaurant kitchen, chefs may quit if the head chef constantly blames staff instead of helping them learn.
[AN] A toxic environment makes employees feel stressed and undervalued this lowers morale, motivation and job satisfaction leading many workers to resign to escape the negative atmosphere.
[AN+] Over time, this harms service quality and damages the business’s reputation, making it even harder to attract new employees.
MODERATOR COMMENT:
OVERALL ANSWER WAS GOOD

[Abdul Hadi]

KN: One of the main reasons for high labour turnover is low pay or low financial incentives.
APP: For example company offering more incentives will have lower turnover rate than company offering less/no incentives for the work employees perform.
AN: This increases the labour turnover rate of the company as the employees will prefer a better paying job or a job with better incentives. this also causes the business to lose experienced or well trained workers and so reducing its productivity in the long run. furthermore because of such reasons the company has to spend more money training and recruitment and so reducing the profits of the company.

KN: Another reason for the high turnover rate is the negative work environment of poor management practices of the business.
APP: for instance when an employee working efficiently and completing all his targets does not get any incentives or is not promoted yet another employee is promoted on other reasons such as business politics and such the efficient employee will start to look for better jobs where his work is recognised etc.
AN: This results in high labour turnover as discomfort of the employees causes lower morale. moreover with such unjust practices the business loses the loyalty of the customer which causes to lose efficient employees and so delay in project deliveries and so ruins the image of the company. furthermore with a reduced efficency in employees the profits may also decrease as not only the company has to spend money on new hirings etc but also face lower sales due to poor quality of goods.
MODERATOR COMMENT:
MENTION ANY BUSINESS NAME IN APP
AN+ POINT IS MISSED IN BOTH KN'S

[Abdullah Altaf]

[KN] Due to lack of benefits such as bonuses.
[APP] For Instance, a company that doesn't offer performance-based bonuses may see its employees, especially high-achievers, seeking opportunities in companies that recognize and reward their contributions.
[AN] Employees will become demotivated and seek better opportunities elsewhere, leading to increased staff turnover and a potential loss of skilled workers. This can also negatively impact team morale and productivity.
[AN+] In the long term, this can lead to higher recruitment and training costs as the business struggles to replace experienced staff, potentially affecting the company's profitability.

[KN] Another reason is due toxic or unsupportive work environment.
[APP] For instance, a factory business who does not appreciate its hardworking employees will experirnce high labour turnover as employees feel they are undervalued.
[AN] This leads to decreased morale and motivation, causing employees to seek more supportive and appreciative workplaces, hence loss of skilled workers.
[AN+]In the long run, this can damage the business's reputation, making it difficult to attract and retain skilled employees, leading to lower productivity and reduced profitability.
MODERATOR COMMENT:
OVERALL ANSWER WAS FINE BUT 1 ELEMENT MISSED IN BOTH AN'S

[Mashal Umair Niazi]

KN: Workers may leave because of rude and toxic managers.
APP: Example if a worker example an engineer is being embarrassed in front of his co-workers for a small mistake by the project manager, or if they talk harshly or in an inappropriate tone.
AN: Therefore this will lead to the worker being mentally frusturated hence leaving the business aswell as telling other workers not to work there therefore causing higher rates of labour turnover furthermore causing difficulty for the business to find new capable employees therefore causing them to hire in-effecient ones that can deter the companies objectives and slow them down.
AN+: Furthermore this leads to the business having a bad reputation on the internet etc. which can lead to a loss of potential customers aswell which can drastically impact the sales of the buisness therefore negetively affecting revenue.

KN: Workers may also leave due to a lower pay
APP: Example an engineer would probably leave if they are paid lower than the minimum wage for the area.
AN: Therefore this means the worker wont be able to sustain their household therefore will be forced to leave (no matter how loyal). Hence causing even very motivated workers (in other aspects e.g hygiene and socially) to also leave which will cause the business to become un-productive as there will be less-motivated and hence less hard-working employees therefore leading to lack in quality and output.
AN+: Therefore the business will be wasting resources to keep workers motivated in other aspects hence causing them to face losses because of it (as there will be no return).
MODERATOR COMMENT:
GIVE ANOTHER EXAMPLES IN APP
SOME POINTS ARE VAGUE IN AN'S

[tanzeelrehman]

KN:
One cause of high labour turnover is low salary.

APP:
F.e, employees in a supermarket may leave their job because they feel they are being paid less compared to their workload.

AN:
High labour turnover will badly affect the overall performance of the business.
It also increases recruitment and training costs, as new employees must be hired again and again.
Frequent turnover disrupts teamwork and customer service, which reduces customer satisfaction.

AN+:
Over time, frequent turnover makes it harder to attract skilled workers, so the business becomes unstable and less competitive.



KN:
Another reason for high labour turnover is poor management or a toxic work environment.

APP:
For example, a petrol pump may face high turnover if supervisors do not give clear instructions or if staff feel stressed and unsupported.

AN:
Due to high labour turnover, business will need to hire new employees, which will struggle to adjust, as there is no proper guidance from management.
The business may face more complaints and negative feedback from customers.
The workplace may develop a negative reputation, so fewer people apply for jobs there.

AN+:
In the long term, it will very badly affect the brand image, leading to loss of loyal customers and lower long-term sales.
MODERATOR COMMENT:
GIVE ANOTHER EXAMPLES AND MENTION ANY BUSINESS NAME ACCORDING TO THIS

[MuhammadAli91191]

One major reason for high labour turnover is low salary. When employees feel that they are not being fairly repay for their work, they are likely to leave the organization in search of better paying opportunities
For example, in a Pakistani clothing brand like “Khaadi,” if sales assistants and store staff receive low pay compared to competitors, they may feel undervalued and seek jobs elsewhere. This matters for Khaadi because losing trained staff means the business has to spend time and resources hiring and training replacements.
Low salary can cause employees to become demotivated and less productive, which affects the overall performance of the business. It also increases recruitment and training costs as new employees have to be hired regularly. Frequent turnover disrupts teamwork and customer service, which can reduce customer satisfaction and sales.
Another reason for high labour turnover is poor management or a toxic work environment. Employees may leave if they feel unsupported, over-supervised, or stressed by their managers.
For instance, a UK cafe chain like “Costa Coffee” may face high turnover if supervisors do not give clear instructions or if staff feel stressed and unsupported. This can create problems in running the café efficiently and maintaining good customer service.
A toxic work environment can lower employee motivation and morale, which reduces productivity and quality of work. Staff may take more time off or leave suddenly, creating gaps in operations. Poor service can lead to unhappy customers, which affects sales and the company’s reputation.
MODERATOR COMMENT:
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[Subhan Zafar]

{KN}One cause of high labour turnover is poor working conditions,such as long hours,low pay,or a stressful working environment.
{APP}For example,in a small retail shop, staff may have to work overtime with few breaks,especially during busy seasons.
{AN}This could make employees feel undervalued and overworked,reducing their motivation to stay with the business.
{AN+}As a result, workers may look for alternative jobs that offer better hours or a more comfortable work environment,increasing the rate at which employees leave the business

{KN}Another cause of high labour turnover is when employees feel there are limited opportunities for promotion or skill development.
{APP}For instance, in a family-owned café,most positions may be basic roles with no chance of promotion to supervisor or manager.
{AN}Employees who want to progress in their careers may become frustrated if they feel ‘stuck’ with no prospects.
{AN+}This can lead them to seek employment with larger businesses that offer structured training programmes or clear promotion pathways,resulting in higher labour turnover.