An Assessment on Employees’ Turnover in the Ministry of Revenues

Abstract

The Purpose of this study was assessment on employees’ turnover and the retention mechanisms in Ethiopian Revenues and Customs Authority; in case of arada sub city Branch Office. Employees are the main sources for organizations in achieving its objectives in both public and private sector organizations. Therefore, giving much emphasis for employees becomes a big issue for any organization. Employees' turnover in public sector organizations like Ethiopian Revenues and Customs Authority, arada sub city Branch Office is more common. This study was therefore conducted to assess how serious the problem is. Descriptive type of approach and qualitative data were used to gather information through the utilization of a questionnaire and interviews. In order to collect primary data, a questionnaire is designed and administered to current employees of the organization. In addition, interview was conducted with the management of the organization and the HR department personnel. The MS-Excel spread sheets were used to process the primary data collected through questionnaire. The respondents were drawn from the existing employees of the organization. Forty six (46) sampled questionnaires were issued to the current employees and were properly completed and returned; documents that were received from the HR department were helpful in determining the turnover trend. This study also investigated the reasons why the employees leave the organization and the reasons why they do not stay in the organization. Hence, the study revealed that the employees leave organization due to lack of potential opportunity for advancements or promotions, the organization does not developed system strategy like e- system, the employees has no sense of belongingness to their organization, insignificant terminal benefits and pension schemes provided to employees, less flexibility in working condition to retain employees were among the points revolved by the employees. It is, therefore, recommended that the organization should improve its compensation policy, develop clear retention scheme policy, encourage employee involvement to implement zero-discrimination and create conducive working environment to retain its experienced and qualified employees.