ATTRITION

A reduction in the number of employees through retirement, resignation or death is called attrition.
Annual attrition rate in India (2008) is 20-30%. High as 44% in BFSI ( Banking, Financial services and Insurance) and 35% in BPO Industry.
----------- HINDU
Attrition rate – The rate of shrinkage in the size or number in the human resource in a company or in an organization.

Is Attrition always bad?
No, Its benefits an organization when certain employees leave, whose continuation of service would have negatively impacted productivity and profitability of the company. There are also some people who have negative and demoralizing influence on the work culture and team spirit.
The term ‘healthy attrition’ is used to signify the importance of less productive employees voluntarily leaving the organization.
Good attrition minimizes the adverse impact on the business while bad attrition accentuates the loss.
Attrition and women
The high percentage of the females in the workforce (constituting 30-35% of the total), adds to the high attrition rate. Most women leave their jobs either after marriage or social pressure caused by the irregular working hours of the industry.
In trainee batches, when you have 30-40% young women coming together with young men, they get to know each other and get married.
Reasons of Attrition
1. Non-flexible schedules.
2. Non- progressive career path.
3. Aspirations to join more stable company.
4. Social and biological causes.
5. Grown to age and medical problems.
6. Fail to perform the given responsibilities.
7. Love and affection, results to marriage.
How to fight Attrition
1. Use of technology in finding the cause of attrition:- Early Warning System(EWS), utilizes proprietary software that tracks agent behavior and indicates evens such as declining or fluctuating productivity, increased rate of absenteeism, rejection for internal job postings, drop in call quality etc( Attrition Forecasting).
2. Three million students graduate every year out of which only 10% are employable by the BPO Industry. If this number could increased, attrition in BPO would come down.
3. Homemakers to fight attrition: BPO players now switching to non- conventional talent pool to meet its work force expansion needs. These include housewives, retired personnel and physically challenged persons.
4. Campus Ambassador Program: Helps not only in talent sourcing but also in increasing the talent pool.Creating brand equity in the eyes of potential employees and hiring for retaining purpose.
5. Attrition can be reduced by finding ‘right candidate' and building a conductive work environment which will be beneficial.
6. Internally most HR managers are busy putting in efforts on the development of their employees building innovative retention and motivational schemes (which was money oriented so far) and making the environment livelier.
7. Externally the focus is on creating awareness through seminars & going to campus for recruitment.