To have and to hold: modelling the drivers of employee turnover and skill retention in Australian organisations

Abstract

This paper examines the determinants of employee turnover and long-term skill retention in Australian organisations. Three new perspectives are examined: the difference between short-run turnover and long-term retention; the role of different high performance work systems philosophies and human resource practices; and an examination of turnover for various groups of employees based on skill level. The results suggest that the role of learning within organisations is of fundamental importance in reducing short-run turnover and improving long-term skills retention. A series of training and human resource practices have also been found to be important for individual-specific skill categories, but general conclusions for all skill categories cannot be readily made. Finally, different drivers to short-term turnover maybe at play when retention is considered from a long-term strategic perspective.