Instructor’s Manual
Chapter 10: Managing Employee Separations and Retention
Chapter Summary
– Employee turnover consists of voluntary exit activities such as quitting and retiring.
Chapter Learning Objectives:
After completing this chapter, students should be able to:
LO 10.1: Describe multiple aspects of managing employee retention and separations.
– Voluntary turnover
LO 10.2: Explain the costs of voluntary turnover to an organization
– Absenteeism
– Turnover rate
Bauer, Human Resource Management
LO 10.3: Identify the steps organizations should take to manage employee retention.
– Gain upper-management support
– Leverage engagement and attitude surveys
– Utilize exit interviews
Bauer, Human Resource Management
SAGE Publishing, 2020
LO 10.4: Indicate the costs of dismissals to an organization.
– When to dismiss an employee
– Legal side of dismissal
LO 10.5: Estimate the cost of employee layoffs to an organization.
– Costs of layoffs
Victims
Survivors
– Unemployment insurance
Hiring freeze
Job sharing
Offers of early retirement
Move toward a contingent workforce
Temporarily stop production
Mass announcements
– Severance pay
– Outplacement assistance
– Managing survivors
Bauer, Human Resource Management
SAGE Publishing, 2020
Suggested Exercises or Projects
Exercise 10.1 In the film Moneyball, the general manager, Billy Beane, teaches his apprentice
Peter Brandt, how to tell a professional baseball player that he has been cut from the team. Have
the students watch that portion of the film and critique it from a legal aspect.
Discussion Questions:
1. Many organizations in today’s current high technology industries are “virtual organizations.”
Are there differences in the way dispersed or virtual employees should be treated to reduce
involuntary turnover?
2. What are the main advantages and disadvantages in using severance pay?