Another aim was to prove that the hypothesis of acceptance of this culture leads to devastating consequences and that high turnover must be prevented, minimized, and managed.
In order to meet the aims of the study, it was necessary to examine the causes and nature of turnover, whether it is considered to be bad or if it is considered to be good and necessary in the operation of companies. Existing arguments were examined as some believe that high turnover is desired in the hospitality industry yet some do not believe it to be a positive thing. Another argument included turnover as a culture for the industry. Interviews from hotels/resorts owners and managers were used to provide which proved the writer's hypotheses and aims.
Turnover is when employees stay only for a short time before moving on or becoming dismissed for one reason or another. (D'Announzio-Green, Maxwell, & Watson 2002, quote Barron and Maxwell, 1993, p. 5). "Turnover is the result of both quits and layoffs. Thus, some turnover is a result of jobs in one firm being destroyed and jobs in another firm being created- and hence due to the reallocation of jobs across the economy in response to changes
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in product demand. A majority of job changes, however, are because workers reshuffle across the same set of jobs, and this worker reallocation occurs over and above job reallocation," as written by Lane (2000).
Some hospitality industry sources report that turnover rate is between 100 and 150 percent each year. This causes poor attitude amongst staff and affects the quality of service and care that is given to the customers. (Crabtree, 2005.) It is usually considered to be a bad thing; however, research has shown that a little turnover is essential to the well being of an organization. Scholtz (n.d.) reports that there are companies who have a turnover rate of ten percent or more and think it is a good thing because "they are replacing the bottom performers with new people will improve organizational performance." A certain amount of turnover may be desired by businesses. Some examples include high-pressured jobs with lots of customer contact such as working the counter at a fast food outlet or a high-volume cafeteria. (Mullins, 1998, p. 176.) At some time, pressure, difficult customers and repetitive tasks will affect performance. Therefore, some turnover is good. However, its negative consequences far outweigh the positive and turnover can snowball and get out of control if not managed properly.
There are many other consequences including lack of respect from the public, first experience on the job, harassment by customers, less than par working conditions, low wages, terrible work schedules, etc. A culture of high turnover in the company may consist of victimization at work. Whether it is by customers, other staff members, or management, this is extremely detriment to all. Victimized employees can experience a high level of stress, low tolerance of stress, tiredness, and headaches.