Employee Attrition

The BPO industry has contributed immensely to the Indian economy and poised to generate one million jobs by the year 2008. Despite its rapid growth the industry is faced with a high attrition rate which is as high as 30-40% and prevalent in most BPO/ITES sectors.

Most call centers make special provisions for employees including free transport, meals including high salaries and perks. However, the industry is unable to build lasting relationships with employees which is gradually becoming a growth deterrent. A high attrition rate causes tremendous loss to the company both financially and in terms of manpower.

BPO employees have cited odd working hours and monotony as the prime cause for leaving the organization. Night shifts play havoc with their family life leaving no time for any healthy social interaction or personal life. Another factor is a concern over their career growth. A sense of monotony seeps in addition to apprehensions about the mismatch of their expectations and qualifications thus employees see no career growth and move on to different industries.

Another reason is better opportunity and a higher pay package in another firm. A majority of all call center employees are approached with several job offers every week, some which are too tempting to resist. As a result companies are unable to sustain their employee which inevitably becomes a constant hurdle affecting an organizations consistent growth.

The HR department in the BPO/ITES sector is not only restricted to payroll and recruitments. HR executives are now playing and integral part in motivating and retaining employees. The human resource department now works to devise policies to reward outstanding performances amongst employees. Some BPO firms are now giving perks like sponsored vacations as rewards giving employees time to revive personal lives.