- Pay also
matters for employee turnover. We find that a 10 percent increase in
base pay raises the likelihood by 1.5 percent that the average employee
will stay inside the company when moving to their next role, even after
statistically controlling for factors like job title, industry, company
size and location.
- Finally, we find that job title stagnation
hurts employee retention. Every additional 10 months an employee
stagnates in a role makes them 1 percent more likely to leave the
company when they finally move on to their next position.
workplace culture factors had no impact on turnover: work-life balance,
senior leadership, and compensation and benefits ratings. Although these
factors matter for overall employee satisfaction, they don’t appear to
matter much for employee turnover