Restructuring exercise in any organization is interpreted by people (employees) in this way: If I am going to get a new boss and a new department, I will have to prove myself again to the new group of people. I would be better off joining a new firm at a much higher pay scale. This is a typical case of comfort zone disturbance.
Similarly, a person (an employee) might feel loss of respect in the organization or might get a feeling of jealousy due to the promotion of others or better pay-revisions of others. Again, this is a comfort zone disturbance.
And whenever there is a comfort zone disturbance, people seek greater value (self perceived value) for themselves at other places (firms) either through a perceptibly better role or salary. Note that here we are talking about self-perceptions -- but isn't that the most important factor in employee retention.
1 comment:
Hi : )
Attrition as atributed in this article is very right. However in many cases restructuring cases, employees are made to report to their team collegues / or given profile lower to what they are at. This causes immense disgust, embarrsement and finally attrition!
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