Yoshana was facing the problem of high labour turnover in her firm. On the advice of her friend, she introduced special benefits for the employees, which helped her to retain talented people in the organisation. Identify the related point of importance of motivation.

Motivation helps to improve performance levels of employees. Motivation helps to reduce employee turnover. Motivation helps to reduce absenteeism in the organisation. Motivation helps to mould the attitudes of employees.

Motivation helps to reduce employee turnover.

Motivation helps to reduce employee turnover and thereby saves the cost of new recruitment and training. The main reason for high rate of employee turnover is lack of motivation. If managers identify motivational needs of employees and provide suitable incentives, employees may not think of leaving the organisation. High rate of turnover compels management to go for new recruitment and training which involve additional investment of money, time and effort. Motivation helps to save such costs. It also helps to retain talented people in the organisation.