Faculty Turnover And Salary Compression In Business Schools: Comparing Teaching And Research Missions

Abstract

<p class="MsoNormal" style="text-align: justify; margin: 0in 37.8pt 0pt 0.5in; tab-stops: .5in;"><span style="font-size: x-small;"><span style="font-family: Batang;"><span style="mso-bidi-font-style: italic; mso-bidi-font-weight: bold;">Excessive employee turnover has plagued industry and higher education, increasing the cost of manufacturing a product, delivering a service or providing quality education.<span style="mso-spacerun: yes;">  </span>Most research conducted in this area has concentrated on industry.<span style="mso-spacerun: yes;">  </span>The few studies that have investigated turnover in higher education were done at the university level while this paper focuses on faculty turnover in business schools.<span style="mso-spacerun: yes;">  </span>Another difference that distinguishes this paper is that actual turnover figures were used, rather than <span style="text-decoration: underline;">intentions</span> to leave.<span style="mso-spacerun: yes;">  </span></span><span style="mso-bidi-font-style: italic;">Salary compression was also explored, an issue that concerns many faculty members. This occurs when new doctorates are hired at salaries almost equal to that of existing faculty.<span style="mso-spacerun: yes;">  </span>Our research found that turnover rates are higher in small, teaching institutions, as anticipated.<span style="mso-spacerun: yes;">  </span>An unexpected result was that salary compression was greater in one of the research institutions.<span style="mso-spacerun: yes;">  </span>This may be due to abnormal hiring practices of that school.</span></span></span></p>