Assessing the effects of employee turnover at a selected agribusiness organisations’ performance in South Africa

Abstract

The agricultural sector is an important contributor to South Africa's GDP and employs nearly a million people. However, employee turnover is an ongoing issue of concern for agribusinesses across the country and this impacts organisational performance. There exists a plethora of empirical research that has established a strong relationship between employee turnover and organisational performance in the South African agricultural sector. However, the challenges related to employee turnover in the agribusiness sector are not limited to measurable indicators alone but must establish an in-depth contextual understanding as to why the challenges associated with employee turnover are persistent in the agribusiness sector. Therefore, this study seeks to assess qualitatively the influence of employee turnover on organisational performance in a selected South African agribusiness. The research paradigm chosen for this study is interpretivism, prioritizing the understanding of people's real-world experiences and subjective viewpoints. The research approach is qualitative, delving into subjective meanings, feelings and perceptions regarding employee turnover's influence on performance. The research design employs a descriptive case study method, focusing on SENWES, a prominent South African agribusiness to explore the employee turnover-performance relationship. 14 senior managers at SENWES form the total population. Purposive sampling selects participants based on qualifications, roles, experience, tenure and involvement in organizational goals. Data collection tools encompass an interview guide, SENWES guidelines and policy documents. Thematic analysis, supported by ATLAS.ti software is used to identify recurring patterns and themes. Four themes emerged from the study; namely, the major causes of employee turnover, The second theme was employee intention to quit, the third theme was employee intention to quit and its implication for performance, and lastly the fourth theme was strategies to reduce turnover rates. This study illuminated staff turnover factors and their effects on a selected South African agribusiness. In some companies, salary discontent may not be the main cause of turnover. It is important to remember that employee turnover is affected by more than just pay. Dissatisfaction with the working environment can seriously impact morale, job contentment and turnover. Creating an inclusive and collaborative workplace where employees may participate in decision-making can reduce employee turnover.