Assessment of Labour Turnover Status in Development Bank of Ethiopia (DBE)

Abstract

The Development Bank of Ethiopia (DBE) is one of the organizations III Ethiopia that is seriously affected by high voluntary staff turnover. During 1992/93-2000/01 about 457 employees left the bank due to various reasons out of them 252 were voluntarily resigned. This accounts for 55 % of the total turnover. Particularly the organization is highly affected by professional workers voluntary resignation than clericals. The survey result reveals that professional staff turnover. Accounts for 530/0 of the total turnover. Besides, 390/0of the employees that terminate their job voluntarily have served the bank from 3 up to 6 years and ranked first followed by younger employees who served the Bank for less than three years accounting 34%. The remaining 27% covered by employees who have long experience and have served the bank for more than 7 years. The findings of the survey conducted at DBE revealed that inadequate salary, inadequate promotion, poor human resource management, little transfer opportunity and the absence of clear regulations, policies and procedures of staff promotion and transfer were reported as the basic internal factors for voluntary resignation. On the other hand, the flourishing private financial Organizations in the market as a result of open market economic policy are found to be the major external factor and threat.