Causes of High Employee Turnover in the Jobs of the Hospitality Industry
DOI:
https://doi.org/10.47747/icbem.v1i1.1234Abstract
According to Amah,et al (2009). While hospitality is a form of social relationship with an anthropological dimension, the hotel business is a modern innovation whose development has been encouraged by the invention of the Grand Tour. In other words, for a long time, it would seem that welcoming the other or the host did not constitute the content of dedicated professions. Indeed, for centuries, hospitality has been socially embedded in customary practices, opening its home to foreigners in accordance with ordinary courtesies that can be declined according to the rank of stakeholders. The nobility has long been able to organize reciprocal receptions, ritualized around a relationship that has been developed in castles or mansions. These private establishments knew how to compete in finery and prestige, serving the glory and reputation of the welcoming owner, and whose hosts also came to break idleness, thus becoming pretexts for play and social life. The tourism, hospitality and travel sector is growing rapidly all over the world. According to the World Tourism Organization, there were 1.3 billion international tourists in 2017. France is the leading host country for tourist flows, followed by Spain, the USA, China and Italy. Tourism accounts for 7% of world exports worth $1,400 billion. It directly and indirectly accounts for 10% of global GDP and 10% of global employment. By 2030, the number of international tourists is expected to reach about 1.8 billion people. Hospitality and travel and tourism accounted for 334 million jobs worldwide, directly or indirectly, accounting for 10.6 per cent of total global employment (Alleyne et al,2006). During any crisis, the industry that suffers the most is hotel industry as it is the most sensitive to crises such as terrorists’. attacks, SARS epidemic, bird flu and COVID-19 pandemic. The present paper investigates the negative influence of epidemic COVID-19 upon both of the resort’s employees and management practices in Egyptian resorts during Corona pandemic spread. during COVID-19 crisis the Sheraton hotel chain namely working environment, staff management and the relations with customers had been affected negatively. The human capital in any organization is the real asset because it’s the heart beating which drive to success when compared with other resources like financial or intangible resources. So, all other resources than HR make things possible but only human capital make things happen. The importance of HRM “Human Resources Management” has been elevated recently especially with the outbreak of coronavirus for organizing all the remaining resources for the touristic organizations and improving the employees’ performance has been affected accordingly as the turnover rate had increased because of customers decline and the closure of the touristic agencies.
References
Alleyne, P., Doherty, L. and Greenidge, D. (2006), “Human resource management and performance in the Barbados hotel industry”, International Journal of Hospitality Management, Vol. 25 No. 4, pp. 623-646.
ARM, P.A., (2008), “The practice of HRM and SHRM in the Barbados hotel sector”, Journal of Human Resources in Hospitality & Tourism, Vol. 7 No. 2, pp. 219-240.
Arthur, J.B. (1994), “Effects of human resource systems on manufacturing performance and turnover”, Academy of Management Journal, Vol. 37 No. 3, pp. 670-687.
Alonso, A. D. & O’Neill. (2009). Staffing issues among small hospitality businesses: A college town case. International Journal of Hospitality Management, 28 (4), 573 – 578.
Amah, O. E. (2009). Job satisfaction and turnover intention relationship: the moderating effect of job role centrality and life satisfaction. Research and Practice in Human Resource Management,17 (1),24 – 35.
Amherst, D., N., Modau, F. D., Lugisani, P., Mabojane, R. & Phiri, M. (2018). Exploring employee retention and intention to leave within a call centre. SA Journal of Human Resource Management,Vol 16. Accessed on 20/2/2019 from https://wwwsajhrm.co.za
Arokiasamy, A. R. A. (2013). A qualitative study on causes and effects of employee turnover in the private sector in Malaysia. Middle-East Journal of Scientific Research 16 (11), 1532 – 1541.
Asimah, V. K. (2018). Factors that influence labour turnover intentions in the hospitality industry in Ghana. AJHTL, 7(1), 1 - 11.
Atkinson, S. (2015). Why reducing staff turnover is critical for the success of your organization. Accessed on 18/2/2019 from https://www.populo.com
Asree, S., Zain, M. and Razalli, M.R. (2003), “Influence of leadership competency and organizational culture on responsiveness and performance of firms”, International Journal of ContemporaryHospitality Management, Vol. 22 No. 4, pp. 500-516.
Azie, M. L. (2017). The impact of hotel employee satisfaction on hospitality performance. Tourism and Hospitality Management, 23(1) 105 – 117.
Bagri, S.. (2010), “Human resource practices in hotels: a study from the tourist state of Uttrakhand, India”, Journal of Human Resources in Hospitality & Tourism, Vol. 93, pp. 286-299.
Baum, T. (2007), “Human resources in tourism: still waiting for change”, Tourism Management, Vol. 28 No. 6, pp. 1383-1399.
Brotherton, B., Woolfenden, G. and Himmetogˆlu, B. (1994), “Developing human resources for Turkey’s tourism industry in the 1990s”, Tourism Management, Vol. 15 No. 2, pp. 109-116.
Brown, B., Woolfenden, G. and Himmetogˆlu, B. (1994), “Developing human resources for Turkey’s tourism industry in the 1990s”, Tourism Management, Vol. 15 No. 2, pp. 109-116.
Becker, B. and Huselid, M. (1998), “High performance work systems and firm performance: a synthesis of research and managerial implications”, in Ferris, G.R. (Ed.), Research in Personnel and Human Resources Management, JAI Press, Greenwich, CT, pp. 53-101.
Buller, P. and McEvoy, G. (2012), “Strategy, human resource management and performance: sharpening line of sight”, Human Resource Management Review, Vol. 22 No. 1, pp. 43- 56.
Bartolo, K. & Furlonger, B. (1999). Leadership and job satisfaction among aviation fire fighters in Australia, Journal of Managerial Psychology, 15, 87-97.
Belbin, C., Erwee, R. & Wiesner, R. (2012). Employee perceptions of workforce retention strategies in a health system. Journal of Management and Organization, 18, 742 – 760.
Braimah, M. (2016). Internal marketing and employee commitment in the hospitality industry. African Journal of Hospitality, Tourism and Leisure, 5(2), 1 – 22.
Brenyah, R. S. & Tetteh, E. N. (2016). Organizational Culture and its Impact on Employee Retention: Evidence from the Private Tertiary Education Sector of Ghana. European Journal of Business and Management, 8(31), 47 – 19.
Buhler, P. (2002). Human Resources Management.: All the information you need to manage your staff and meet your business objectives. Adams Media Corporation. Accessed on 22/2/2019 from https://www.amazon.com
Eversole, B., Venneberg, D.& Crowder, C. (2012). Creating a flexible organisational culture to attract and retain talented workers across generations. Advances in Developing Human Resources, 14 (4), 607 – 625.
Ezeuduji, I. O. & Mbane, T. L. (2017). Employee retention factors: The case of hotels in Cape Town, South Africa. Journal of Economics and Behavioural Studies, 9(1), 6 – 16.
Fallon, M. J. (2010). Hotel Management and Operations. 5th Ed New Jersey: John Willey & Sons Inc.
Farrell, M. A. (2003). The effect of downsizing on market orientation: the mediating roles of trust and commitment, Journal of Strategic Management, 11, 55 – 74.
Fernandez, K. M. & Worasuwan, K. (2017). Drivers of Hotel Employee Retention: A Comparative Study. Universal Journal of Management, 5 (11), 497 – 501.
Fitz-enz, J. (1990). Getting and keeping good employees. Personnel, 67 (8), 25 – 29.
Fleisher, M. S. (2011). Temporal patterns of functional and dysfunctional employee turnover. Doctoral Dissertations. University of Tennessee. Accessed on 18 August, 2016, from http://trace.tennessee.edu/utk-gradd/1181iss
Carmeli, A. and Schaubroeck, J. (2012), “How leveraging human resource capital with its competitive distinctiveness enhances the performance of commercial and public organizations”, Human Resource Management, Vol. 44 No. 4, pp. 391-412.
Chen, C. and Chen, S. (2019), “Investigating the effects of job demands and job resources on cabin crew safety behaviors”, Tourism Management, Vol. 41, pp. 45-52.
Cheng, F. (2009), “Employment modes, high-performance work practices, and organizational performance in the hospitality industry”, Cornell Hospitality Quarterly, Vol. 50 No. 4, pp. 413-431.
Chisholm, A.M. and Nielsen, K. (2009), “Social capital and the resource-based view of the firm”, International Studies of Management & Organization, Vol. 39 No. 2, pp. 7-32.
Chuang, C. and Liao, H. (2013), “Strategic human resource management in service context: taking care of business by taking care of employees and customers”, Personnel Psychology, Vol. 63 No. 1, pp. 153-196.
Collins, C. and Clark, K. (2003), “Strategic human resource practices, top management team social networks, and firm performance: the role of human resource practices in creating organizational competitive advantage”, Academy of Management Journal, Vol. 46 No. 6, pp. 740-751.
Combs, J., Liu, Y., Hall, A. and Ketchen, D. (2006), “How much do high-performance work practicesmatter? A meta-analysis of their effects on organizational performance”, Personnel Psychology
Vo Chalkiti, K. & Sigala, M. (2010). Staff turnover in the Greek tourism industry: A comparison between insular and peninsular regions. International Journal of Contemporary Hospitality Management, 22(3), 335 – 359.
Chan, S. H. J. & Mai, X. (2015). The relation of career adaptability to satisfaction and turnover intentions. Journal of Vocational Behaviour, 89, 130 – 139.
Chan, S. H. J., Mai, X., Kuok, O. M. K. & Kong, S. H. (2016). The influence of satisfaction and promotability on the relation between career adaptability and turnover intentions. Journal of Vocational Behaviour, 92, 167 – 175.
Cho, S., Woods, R. H., Jang, S. C. S., & Erdem, M. (2006). Measuring the impact of human resource management practices on hospitality firms’ performances. International Journal of Hospitality Management, 25(2), 262 – 277.
Cho, S., Johason, M. M. & Guchait, P. (2009). Employees intent to leave: A comparison of determinants of intent to leave versus intent to stay. International Journal of Hospitality Management, 28(3), 374 – 381.
Clarke, K. F. (2001). What businesses are doing to attract and retain employer of choice. Employee Benefits Journal 26(1), 34 – 37.
Curran, S. R. (2012). Assessing employee turnover in the Language Services Section of Parliament of the Republic of South Africa. Unpublished master’s thesis, University of Stellenbosch.l. 59 No. 3, pp. 501-528.
Gardner, D. G., Van Dyne, L. & Pierce, J. L. (2004). The effects of pay level on organisation- based self-esteem and performance: A field study. Journal of Occupational and Organisational Psychology, 77, 1 – 16.
Griffeth, R. W., Hom, P. W. & Gaetner, S. (2000). A meta-analysis of antecedents and correlates of employee turnover: Update, Moderator Tests, and Research Implications for the next millennium. Journal of Management, 26(3), 463 – 488.
Griffeth, R. W.& Hom, P. W (2001). Retaining valued employees. Thousand Oaks, CA: Sage.
Guan, Y., Guo, Y., Bond, M. H., Cai, Z., Zhou, X., Xu, J., Zhu, F., Wang, Z., Fu, R., Liu, S.,
Wang, Y., Hu, T. & Ye, L. (2014). New job market entrants’ future work self, career adaptability and job search outcomes: Examining mediating and moderating models. Journal of Vocational Behaviour, 85 (1), 136 – 145.
Guan, Y., Wen, Y., Chen, S. X., Liu, H., Si, W., Liu, Y., Wang, Y., Fu, R. & Zhang, Y. (2014). When do salary and job level predict career satisfaction and turnover intention among Chinese managers? The role of perceived organisational career management and career anchor. European Journal of Work and Organisational Psychology, 23 (4), 596 – 607.
Hanaysha, J. (2016). Testing the effects of employee engagement, work environment, and organizational learning on organization commitment. Procedia-Social and Behavioural Sciences, 229, 289 – 297.
Holston-Okae, B. L. (2017). Employee Turnover Intentions in the Hospitality Industry. Unpublished doctoral thesis, Walden University. Accessed on 22/2/2019 from http://scholarworks.waldenu.edu/dissertations
Holston-Okae, B. L. & Mushi, R. (2018). Employee turnover in the hospitality industry using Herzberg’s two-factor motivation-hygiene theory. International Journal of Academic Research in Business and Social Sciences, 8(1), 218 – 248.
Hom, P. W. & Griffeth, R. W. (1995). Employee turnover: South-Western Series in Human Resource Management., Cincinnati, Ohio.
Jung, H. S. & Yoon, H. H. (2015). What does work meaning to hospitality employees? The effects of meaningful work on employees ‘organisational commitment: The mediating role of job engagement. International Journal of Hospitality Management, 53, 59 – 68.
Deery, M. and Jago, L. (2015), “Revisiting talent management, work-life balance and retention strategies”, International Journal of Contemporary Hospitality Management, Vol. 27 No. 3, pp. 453-472.
Dyer, L. (2016), “Studying human resource strategy: an approach and an agenda”, Industrial Relations: A Journal of Economy and Society, Vol. 23 No. 2, pp. 156-169.
Dan, M. and Jago, L. (2020), “Revisiting talent management, work-life balance and retention strategies”, International Journal of Contemporary Hospitality Management, Vol. 27 No. 3, pp. 453-472.
Dyec, L. (1984), “Studying human resource strategy: an approach and an agenda”, Industrial Relations: A Journal of Economy and Society, Vol. 23 No. 2, pp. 156-169.
Esichaikul, R. and Baum, T. (1998), “The case for government involvement in human resource development: a study of the Thai hotel industry”, Tourism Management, Vol. 19 No. 4, pp. 359-370.
Danhpat, N., Modau, F.D., Lugisani, P., Mabojane, R. & Phiri, M. (2018). Exploring employee retention and intention to leave within a centre. Accessed on 20/2/2019 from: http://www.sajhrm.co.za
Davidson, M., Guilding, C. & Tino, N. (2006). Employment, flexibility and labour market practices of domestic and MNC chain luxury hotel in Australia: Where has accountability gone? International Journal of Hospitality Management, 25 (2), 193 – 210.
Davies, O. A. (2018). Strategies for low employee turnover in the hotel industry. Unpublished doctoral thesis, Walden University,African Journal of Hospitality, Tourism and Leisure, Volume 8 (3) - (2019) ISSN: 2223-814XCopyright: © 2019 AJHTL /Author/s- Open Access- Online @ http//: www.ajhtl.com
Dawson, M. & Abbott, J. (2009). Hospitality culture and climate: Keys to retaining hospitality employees and creating competitive advantage. Paper presented in an International CHRIE Conference-Refereed Track 3, Accessed on 2/2/2019 from https://scholarworks.umass.edu/refereed/Sessions/Saturday/3
Deery, M., Taluder, A. K. M., Weisberg, M. & Cooper, C. (2008). Talent management, work- life balance and retention strategies. International Journal of Contemporary Hospitality Management 20 (7), 792 – 806.
Deighan, K. (2016). Managerial strategies for reducing employee turnover in the workplace. Unpublished masters thesis, University of Prince Edward Island.
Habib. S., Aslam, A., Hussain, A., Yasmeen, S. & Ibrahim, M. (2014). The impact of organizational culture on job satisfaction, employees’ commitment and turnover intention. Advances in Economics and Business, 2, 215 – 222.
Karatepe, O. M. (2013). High-performance work practices, work social support and their effects on job embeddedness and turnover intentions. International Journal of Contemporary Hospitality Management, 25, 903 – 921.
Karatepe, O. M. Baradarani, S., Olya, H. G., IIkhanizadeh, S. & Raoofi, A . 2014). The effects of high-performance work practices on critical performance outcomes: Evidence from the hotel industry. European Journal of Tourism, Hospitality and Recreation, 5(3), 49 – 67.
Kazlauskaite, R., Buciuniene, I. & Turauskas, L. (2006). Building employee commitment in the hospitality industry. Basic Journal of Management, 1(3), 300 – 314.
Khalid, S. & Ishaq, S. (2015), Job related outcomes in relation to perceived organizational politics. Pakistan Economics and Social Review, 53(1), 133 – 148.
Kuria, S., Ondigi, A. & Wanderi, P. M. (2012). Assessment of causes of labour turnover in three and five star –rated hotels in Kenya. International Journal of Business and Social Sciences, 3(15), 311 – 317.
Kushivan, S. (2003). Managing employee attitudes and behaviours in the tourism and hospitality industry. New York: Nova Science Publishers Inc.
Lam, S. S. K. Schaubroeck, J. & Chen, X-P. (2002). Participative decision making and employee performance in different cultures:The moderating effects of allocentrism/idiocentrism and efficiency. The Academy of Management Journal, 45(5), 905 – 914.
Lardner, S. (2015.) Effective reward ensures effective engagement, Strategic Human Resource Review, 14 (4), 131 – 134.
Lashley, C. (2000). Hospitality Retail Management: A unit manager’s handbook: Butterworth-Heinemann, Oxford.
Lee, C. & Way, K. (2010). Individual employment characteristics of hotel employees that play a role in employee satisfaction and work retention. International Journal of Hospitality Management,
(3), 344 – 353.
Loquercio, D. M.,. (2006). Turnover and Retention: A summary of current literature. Accessed on 15/2/2019 from “People in Aid”, https://www.peopleinaid.org.
Lum. L., Kervin, J., Clark, K., Red, F. & Sirola, W. (1998). Explaining nursing turnover intent: job satisfaction, pay satisfaction or organisational commitment? Journal of organisational behaviour, 19 (3), 305 – 320.Martin, C. (2003). Explaining labour turnover: Empirical evidence from UK establishments. Labour, 17 (3), 391 – 412.
Messmer, M. (2000). Orientations programs can be key to employee retention. Strategic Finance. 81(8),12-15.
Milkovich, G. T. & Newman, J. M. (2004). Compensation. 8th ed. New York: McGraw – Hill/Irwin.
Mohsin, A., Lengler, J. & Kumar, B. (2013). Exploring the antecedents of intentions to leave the job: the case of luxury hotel staff. International Journal of Hospitality Management, 35, 48 – 58. Moncarz, E., Zhao, J. & Kay, C. (2009). An exploratory study of US lodging properties’ organizational practices on employee turnover retention. International Journal of Contemporary Hospitality Management, 21(4): 437 – 458.
Nasurdin, A. M. Ahmad, N. H. & Tan, C. I.( 2015). Cultivating service-oriented citizenship behaviour among hotel employees: The instrumental roles of training and compensation. Service Business, 9(2), 343 – 360.
Needle, D. (2004). Business in context: An introduction to business and its environment. Accessed on 22/2/2019 from https://gothamcultures.com/what-is-organisational-culture-def/
Nel, P. S., Gerber, P. S., Van Dyk, G. D., Hassbroek, H. B. Schultz, T. & Sono, Werner, A. (2001). Human Resource Management, 5th ed, Cape Town: Oxford University Press.
Nel, P., Werner, A., Poisat, P., Sono, Du Plessis, A.and Ngalo. (2011). Human Resource Management. 8th ed. Cape Town: Oxford University Press.
Nel, P., Werner, A., Botha, C., Du Plessis, A. Mey, M., Ngalo, O., Poisat, P. & Van Hoek, L. (2014). Human Resource Management. Cape Town:Oxford University Press.
Pandita, D. & Ray, S. (2018). Talent management and employee engagement – a meta-analysis of their impact on talent retention. Industrial and Commercial Training, 50(4),185 – 199.
Parker, O. & Wright, I. (2001). Pay and Employee Commitment: the missing link. Ivey Business Journal, 65 (3): 70 – 79.
Petticrew, M. & Roberts, H. (2005). Systematic reviews in the social sciences: A practical guide.Oxford, UK: Blackwell.
Ping, H., Bahaudin, G. Mujtaba, D. A. & Whetten, X. Y. W. (2012). Leader personality characteristics and upward trust: A study of employee-supervisor Dyads in China. NSU, HCBE Faculty Presentations. Accessed on 15/2/2019 from https://nsuworks.nova.edu/hcbefacpres/242/1111/jan.12195
Radenovic, M., Markovic, A. T., Drljevic, O. & Coso, R. (2016). The challenges of human resources management in the hotel industry in Montenegro. Casopis za Drustvene Nauke, anpjyh, 40(2), 839 – 852.
Raub, S. & 86. Robert, C. (2013). Empowerment, organizational commitment, and voice behavior in the hospitality industry evidence from a multinational sample. Cornell Hospitality Quarterly, 54(2), 136 – 148.
Rehman, N. & Mubashar, T. (2017). Job stress, Psychological Capital and Turnover Intentions in Employees of Hospitality Industry. Journal of Behavioural Sciences, 27(2), 59 – 79.
Robinson, R. N. S. & Baron, P. E. (2007). Developing a framework for understanding the impact of deskilling and standardisation on the turnover and attrition of chefs. International Journal of Hospitality Management. 26 (4), 913 – 926.
Rok, M. & Mulej, M. (2014). CSR-based model for HRM in tourism and hospitality. Kybernetes, 43(3/4), 346 – 362.
Scott, M. E. (2016). Strategies for retaining employees in the hospitality industry. Unpublished doctoral thesis, 88.Walden University, Minneapolis, accessed on 22/2/2019 from https://scholarworks.waldenu.edu.
Society for Human Resource Management (SHRM). (2014). Employee job satisfaction and engagement: Optimizing organisational culture for success. SHRM research report, accessed on 22/2/2019 from https://shrm.org/documents/2014
Stein, N., (2000). Winning the war to keep top talent: yes you can make your workplace invincible. Fortune Magazine, 14(11):132 – 138.
Takawira, N., Coetzee, M. & Schreuder, D. (2014). Job embeddedness, work engagement.
Rehman, N. & Mubashar, T. (2017). Job stress, Psychological Capital and Turnover Intentions in Employees of Hospitality Industry. Journal of Behavioural Sciences, 27(2), 59 – 79.
Robinson, R. N. S. & 91. Baron, P. E. (2007). Developing a framework for understanding the impact of deskilling and standardisation on the turnover and attrition of chefs. International Journal of Hospitality Management. 26 (4), 913 – 926.
Rok, M. & Mulej, M. (2014). CSR-based model for HRM in tourism and hospitality. 92.Kybernetes, 43(3/4), 346 – 362.
Scott, M. E. (2016). Strategies for retaining employees in the hospitality industry. Unpublished doctoral thesis, Walden University, Minneapolis, accessed on 22/2/2019 from https://scholarworks.waldenu.edu.
Stein, N., (2000). Winning the war to keep top talent: yes you can make your workplace invincible. Fortune Magazine, 14(11):132 – 138.
Takawira, N., Coetzee, M. & Schreuder, D. (2014). Job embeddedness, work engagement and turnover intention of staff in a higher education institution: An exploratory study. South African Journal of Human Resource Management. 12(1), 1 – 10.
Trevor, C. O., Gerhart, B. A. & Boudreau, J. W. (1997). Voluntary turnover and job performance: Curvilinearity and the moderating influences of salary growth and promotions. Journal of Applied Psychology, 82(1), 44 – 61.
Waden, S., Han, X. & Nzawou, A. (2018). Causes and prevention of staff turnover within micro retail businesses in South Africa: Lessons for the tourism industry. African Journal of Hospitality Tourism and Leisure, 7(2), 1 – 10. Yang, J-T., Wan, C-S. & Fu, Y. J. (2012).
Yang, J-T., Wan, C-S. & Fu, Y. J. (2012). Qualitative examination of employee turnover and retention strategies in international tourist hotels in Taiwan. International Journal of Hospitality Management 31, 837 – 848.
Zopiatis, A. &Theocharous, C.P. (2014). Job involvement, satisfaction and turnover: Evidence from hotel employees in Cyprus. Tourism Management, 41, 129 – 140
Scott, M. E. (2016). Strategies for retaining employees in the hospitality industry. Unpublished doctoral thesis, Walden University, Minneapolis, accessed on 22/2/2019 from https://scholarworks.waldenu.edu.
Society for Human Resource Management (SHRM). (2014). Employee job satisfaction and engagement: Optimizing organisational culture for success. SHRM research report, accessed on 22/2/2019 from https://shrm.org/documents/2014