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aub_admin January 03, 2024 126 Views

Employee turnover and its impact in RMG sector in Bangladesh: An Empirical Study

Marzina Akter Reba & Rojina Akter Rozy

Asian University of Bangladesh, Dhaka, Bangladesh.

Subject: Employee Turnover & Productivity in RMG Sector

Abstract

The largest contributor to Bangladesh's foreign profits is the RMG sector. Employee turnover is a serious problem that hinders an organization's capacity to grow and expand both its productivity and profitability. This study primarily focuses on Ashulia to better understand the causes of staff turnover and how it affects Bangladesh's RMG company. Using the purposive sampling method, a sample size of 100 employees from 20 different garment manufacturers is determined. A pre-tested questionnaire with 54 variables aims to identify factors contributing to labor turnover in ready-made garments. The Chi-square test and Stata-15 statistical tool show associations between variables. Low pay scales, unfavorable working conditions, job insecurity, lack of promotion, better career chances, and sexual harassment are the main causes of employee turnover. A positive association was found between income level and education level, suggesting that increased pay leads to increased commitment. Employment conditions and job security are strongly connected, with merit-based promotion systems supporting this. Sexual harassment and gender are positively connected, with increased turnover, particularly among women, affecting employment opportunities. From the factor analysis Low level of salary, Irregularities in payment system, Lack of increment Delay payment of bonus, Lack of promotions, Lack of leave facility significantly affect employee turnover.
Study Area
Ashulia, Dhaka
Sample Size
100 Employees
Top Cause
Low Salary