The Major Causes of Turnover of Employees in the Hospitality Industry of Hong Kong



One of the biggest challenges the hospitality industry of Hong Kong is facing today, the rapidly growing demand for more hotel staff and an acute shortage of manpower and talent. Higher staff turnover and the difficulty in retaining staff is primarily affecting the stability of the industry and high service standards. There is the paucity of studies and researches regarding employees’ turnover and lack of findings in terms of employees’ interests and expectations. The economy i.e., the most common reasons given for leaving is the availability of higher paying jobs. In a better economy, the availability of alternative jobs plays a detrimental role in turnover but this tends to be overstated. The performance of the organization, the organizational culture, the characteristic of a job, unrealistic expectations, demographics and the person himself can be the reasons for higher turnover. It is important to note that the factors, which have been listed above, can be classified as being within or beyond the control of the employing organization. In order to actively participate in reducing costs associated with turnover, organizations need to identify those factors over which they do have some control and initiate necessary changes to reduce turnover attributable to these controllable factors. Therefore, the present study is planned and designed to find out the causes and the factors, which contribute to the high turnover of employees. As the present study is industry and area (Location) specific so the basic resources for the study will be obtained from the last five years reports and reviews of the hospitality industry. Researches and journals related to employee turnover will also be considered for the theoretical background of the study. Available information from the Internet will also be incorporated if necessary because they provide us the literature from a global perspective at a glance. A total number of 20 hotels will be selected on the basis of the maximum number of employees. Data will be collected using a questionnaire, which will contain different ways of job satisfaction (Satisfaction with pay, nature of work as well as with supervision), organizational commitment, organizational justice (distributive and procedural), job hopping, perceived alternative employment opportunities and turnover intentions. In addition, the questionnaire will also include items on demographic characteristics of the respondents. Hotels in Hong Kong will be contacted with the authority letter of their association regarding the study. They will be instructed that their HR managers will allow the survey within their employees and send the completed questionnaires to the researcher directly. The questionnaire will be administered with the help of HR managers of each identified hotel.