TYPES, CAUSE AND EFFECTS OF HOTEL STAFF TURNOVER …

TYPES, CAUSE AND EFFECTS OF HOTEL STAFF TURNOVER

INTENTION: A LITERATURE REVIEW FROM HOTEL INDUSTRY

IN MALAYSIA

1

NASMIZATUN ASELA, 2BT. NASRUDIN, 3HASIFRAFIDEE, 4B. HASBOLLAH, 5DARWEANNA,

6

BT BAH SIMPONG

Universiti Malaysia Kelantan, Malaysia

E-mail: nasmi.asela92@, rafidee@umk.edu.my, darweanna@umk.edu.my

Abstract-This article aim to explore the characteristic of turnover intention among staff in hotel Melaka, to explore whether

burnout have relationship with turnover intention of hotel industry in Melaka, and to explore whether there is a relationship

between rewards in turnover intention among hotel industry in Melaka. Human resource manager from 10-15 four star hotel

in Melaka will be selected as the participant in this study by conducting Expert Interview. The data then will be analyse

using qualitative software, NVivo

Key Terms: turnover intention, literature review, hotel, Melaka

employees speak negatively about their positions,

when they limit their participation inthe

organization, or when they actually leave their jobs

(Jang & George, 2012; Karatepe, 2013). Tett and

Meyer (1993) defined turnover intention as an aware

and considered willingness to leave the organization.

As from the employer¡¯s perspective, the turnover of

capable employees is a loss to the company.

However,the turnover of incapable or complaining

employees is an opportunity to hire new employees

and stabilize the organization.

Fallon and Rutherford (2010) stated that hospitality

employees in one organisation ranked the most likely

causes of high staff turnover as treatment by

superiors, amount of work hours, job pressure,

scheduling, training, fringe benefit packages, better

opportunities elsewhere, and physical demands of

the job. Lashey, (2000) emphasize that turnover

intention can be classified as two categories such as

avoidable and unavoidable. Avoidable turnover

occurs when employees are dissatisfied with wages,

lack of training, workplace stress, relationship with

management and other staff, working hours, and

transport difficulties while unavoidable turnover

occurs due to retirement, illness, death, pregnancy,

and leaving the area. There are 4 factors involved in

this study which is rewards, job satisfaction, burnout,

and leadership.

Tett&meyer (1993) defined that turnover intentions

as conscious to seek for other alternatives in other

organization.

I. INTRODUCTION

Hotel industry worldwide have developed into a

truly global industry in which both consumers and

producers

are

spread

worldwide.

Mohajerani&Miremadi (2012) stated that the

industry was known to be one of the major

contributors to many countries. Furthermore, the

hotel sector emerged as a subsection of the industry

that strengthened the business. The hotel industry in

Malaysia has undergone a process of transformation

that brought phenomenal economic expansion

towards the Malaysian economy (Lahap, Said, Rose,

Sumarjan&Mohi, 2014). Workers in the hotel

industry face various challenges including those

common to all service industry jobs and those

specific to the hotel industry, which is characterized

by small scale employers.

The focus of this study are on specific human

resource practice which are likely give impact to

productivity, organization profitability in selected

hotel in Melaka. Benefits, burnout, leadership style,

and job satisfaction are the main factors that can be

cause to turnover intention occur in Melaka hotel

industry.This study was based in the hotel industry.

Human resources department working in 4 star

hotels in Melaka were included to participate in this

study. The findings of this study will be useful in

addressing problems associated with staff turnover in

hotel industry.

II. LITERATURE REVIEW

III. TYPES OF TURNOVER

Turnover intention is one of areas that are so popular

researched in organizational analysis (?zba?,

Ceyhun&?ekmecelio?lu, 2014) and have expensive

cost to recover it in terms of induction and training,

developing, maintaining and retaining (Ongori,

2007; Tnay, Othman, Siong& Lim, 2013).Turnover

intention is defined as an employee¡¯s intention to

leave a job. Such intention may appear when

Turnover intention is one of the most study

important issues to organizations, and one that needs

special attention. Turnover intention may be

classified into six categories which is voluntary, and

involuntary turnover intention. Voluntary turnover

intention is a turnover that occur when employee has

own choice to quit or when they leave organization

Proceedings of 61st ISERD International Conference, Sabah, Malaysia, 10th-11th January 2017, ISBN: 978-93-86291-86-8

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Types, Cause And Effects of Hotel Staff Turnover Intention: A Literature Review From Hotel Industry in Malaysia

at their own discretion (Noe, Hollenbeck, Gerhart&

Wright, 2006). However involuntary turnover can

defines as the turnover in which employees have no

choice in their termination such as sickness, death,

and family reasons. Functional turnover, and

dysfunctional turnover one types of turnover

intention which can be defines as functional turnover

intention is a turnover in which poor performers

leave. Besides that, Dysfunctional turnover is a

turnover in which good performers leave. Lastly is

avoidable turnover, and unavoidable turnover

intention can be defines in something organizations

can prevent by hiring, evaluating and motivating

their organization at their employees more

effectively. However, Unavoidable turnover occur

from life decision that extend beyond an employer¡¯s

control such as decision to move to a new area or a

job transfer for a spouse.

turnover intention. The length of time that retention

of employee is determined by the relationship

between the two parties (Dailey, R.C & D.J. Kirk,

1992). There are several reasons employees can

remain in the Organization such as the Managers are

fair and treat them justly, reasonable, and supportive

managers (Gomez-Mieja, L.R & D.B.Balkin, 1992).

Therefore, if employees felt managers have all

stated, the level of job satisfaction increase (Miller,

J.G & K.G. Wheeler, 1992)

5.0 Effect of turnover

Employee turnover intention is expensive from the

view of organization. The reasons so much attention

has been paid to the issues in turnover is because

turnover has some significant effects on

organizations (DeMicco&Giridharan, 1987, Dyke

&Strick, 1990, Cantrell &Saranakhsh, 1991,

Denvir&Mcmahon,1992). Many researcher argue

that high turnover rates might have negative effects

on the lose in competition on market which is the

company will facing with challenging thing is the

lack of well-experienced human power on the

company. Cost training one of the effect turnover

intention which is they should accept for costs incurs

to recruit as well as train and familiarizes newly

hired workers.Customer services and satisfaction

(Kemal, 2002)also one of effect to turnover

intentions. Lastly is significant cost (Dess 2001)

occur from voluntary turnover intentions. Significant

costs can divided by two consisting direct and

indirect costs. Directs costs can be related with

replacements, recruitments and selection, temporary

staff, and management time. However, indirect costs

consists are morale, pressure on remaining staff,

costs of learning, products/services quality, and

organizational memory.

4.0 Causeto Turnover

Turnover is a work rotation where the company

changed the replacement workers to achieve the

conditions of the company. In addition, turnover is

the changes that occur in a company due to many

reasons. There are have three categories cause to

turnover which is:

4.1 Political factor (if any)

Effective leadership one of political factor that relate

with turnover intention. Effective leadership occur

when they are lack of support from supervisor. It can

cause the decrease of workers ability to adapt the

stressful job in organization. Hence, they have

intention to leave their job, Mobley, W.H. (1997).

According to (Porter, L.W & R.M Steers, 1973) bad

supervision the main factor that occur the turnover

intention. Therefore, they need to hire the leader that

able to control subordinates. So, the good leader is a

significant factor that occur employee retention and

improving organization.

CONCLUSION

Employees are the backbone of any business success

and therefore, they need to be motivated and

maintained in organisation at all cost to aid the

organisation to be globally competitive in terms of

providing quality products and services to the

society. Managers should examine the sources of

employee turnover and recommend the best

approach to fill the gap of the sources. So that, they

can be in a position to retain employees in their

organisation to enhance their competitiveness in the

world of globalizations. Employees should be given

challenging work and all managers should be hired

on the basis of know-how by following laid down

procedures of the organisations and this would make

organisation to have competent managers at all

levels of management and hence good supervision.

Other than that, the company also should pay

employees based on their performance. In additions,

they should give employees incentives like

individual bonus, lump sum bonus, and other

4.2 Economic factor (if any)

Shaw, J.D, J.E.Delery,G.D.Jenkins&N.Gupta (1998)

stated thatpay is something given in exchange with

the services provided in an organization. Payhas an

important role in employee retention and

remuneration high quality workers. In addition, the

leader can monitor and control certain employee

activities with the level of its performance. Pay has a

close relationship with employee satisfaction. The

influence of pay and job satisfaction affects high

productivity.

4.3 Social factor (if any)

Management can cause turnover and it¡¯s relate with

social factor. According to (Cappelli,1992) there are

have relationship between managers and employee

in organization. Management can cause the

employee to staying a job or leave the job. So,

supervisors and managers have important impact on

Proceedings of 61st ISERD International Conference, Sabah, Malaysia, 10th-11th January 2017, ISBN: 978-93-86291-86-8

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Types, Cause And Effects of Hotel Staff Turnover Intention: A Literature Review From Hotel Industry in Malaysia

benefits. Hence, if these are put in place they would

minimize employee turnover.

8)

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