Understanding Key Drivers to Call Center Attrition
Turnover rate is directly proportional to Attrition. Globally, the call center industry has an accepted turnover rate ranging from 30 to 40 percent. According to Call Center Association of the Philippines (CCAP), the country holds the highest turnover rate worldwide of 60 to 80 percent. This alarming turnover crisis has relatively affected call center companies’ attrition rate.
Attrition rate is the percentage of employees who left in a given period of time as a result of resignation or termination of employment.
An article by GMA News pointed out claims of call center agents who quit from their jobs early on were blamed on misleading advertisements of call center companies. Screaming headlines like: “Fast start your career – One day processing only!” “Earn up to 70K a month!” Challenging phrases like: “Want to earn while having fun?” “Unlimited commission!” Broken promises from higher salary, better benefits, brighter future, great career to enticing sign up bonuses. Ads with hidden catch, uncovered only when its too late to back out.
Call center companies’ misrepresentations cause negative impression to successful hires. Such companies are perceived to have bad management which most likely also have higher attrition rate. Based on inc.com Top 5 Reasons Why Employees Quit survey, Advancement is top reason why employees leave their jobs, followed by Work-Life Balance and Money, respectively.
By understanding the first three reasons employees quit their jobs according to inc.com in relation to Philippine Call Center Attrition, there is a big chance of determining the root cause of such.
Lack of career development is a challenge in many call centers. Skill training and certifications have become a financial burden and an additional costs. This is why a lot of call centers would rather hire experienced agents and leaders to cut down on training expenditures instead of capitalizing on internal pool of talents. Such circumstance is a major turn off factor to employees. When this happens, once they start to get demotivated or lose their self-esteem, most often than not these individuals will underperform. Worst they will reach the point of frustration that will make it hard for them to go to work. Next thing you know they’re gone. The most common misconception of agents hopping from one call center to the next somehow accounts to stagnant careers. Reality is, any normal workers’ goal is to get promoted, to be progressive and see fruits of their labors.
Too much stress, too much pressure and poor work conditions are often cited reasons emerging from exit interviews in most call centers. Primarily the latter are the outcome of an individual in an unstable state of work-life balance.
Better opportunities, greener pasture or once in a lifetime offer is just another way of saying that the pay does not compensate the scope of responsibilities at hand. Often, agents’ skill appraisal is underrated despite the fact that the job could be far more demanding. In our country the average call center agent’s entry level rate can be as low as $300 a month compared to agents in the US averaging at $2500 a month. Therefore if an employee is provided with higher salary it maybe given a second thought.
Bad attrition will continue to challenge call centers until its key drivers are not clearly determined and understood.
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