The factors contributing to labour turnover in the sugar industry in Kenya (a case of Sony Sugar Company limited)

Abstract

Human resources are one of the most valuable resources of an organization and indeed an organization is nothing without human resources. This applies to companies and educational Institutions. Getting and keeping good people is critical to the success of every organization. Maintaining employees is about providing working conditions that are worker friendly, involvement in decision making, good salaries, recognition for good performance and so forth. Many companies are increasingly finding it difficult to retain employees. Turnover is becoming a serious problem in today’s corporate environment. Turnover costs for many organizations are very high and can significantly affect financial performance of an organisation. Sony Sugar Company has been ranked at the lowest for two consecutive years by the government and has a high labour turnover as indicated in their newsletters. This study focused on Sony Sugar Company limited and its main objective was to asses the factors that contribute to labour turnover in parastatal organizations in Kenya. The study was able to find out the patterns of labour turnover and effects of labour turnover to Sony Sugar Company limited. The study used a sample size of 108 people out of the total population 1,008. Purposeful sampling was used to select the key respondents while random sampling was used to select the main respondents. The study used interview schedules and questionnaires to collect data; they were administered to the key and main respondents at their offices. Data was analyzed using statistical package for social sciences (SPSS) and frequency distribution tables were used. The study came up with many recommendations which includes; The management should introduce better overtime pay and workers encouraged to take up the opportunity, the managers should involve workers in decision making, the management of Sony Sugar Company should review its pay package, fringe benefits and opportunities for growth be put in place in order to retain its workforce, the management should implement the findings of labour turnover in order to reduce its effects, the management should streamline the promotion procedures and should be followed strictly and Worker friendly leadership styles be used by all managers in the company for instance democratic and laissez fair