Paying workers less increases labor turnover and absenteeism within companies
Companies with better working conditions show lower levels of absence. Photo: Carlos Ortega / EL TIEMPO
TL;DR
- Low salaries lead to increased labor turnover and absenteeism in Colombian companies.
- Companies with salaries below market average have 23% turnover and 10.29% absenteeism.
- Companies with competitive salaries see turnover drop to 17.9% and absenteeism to 3.81%.
- Flexible work arrangements, such as home office, are associated with lower turnover and absenteeism rates.
- A significant majority of companies (77.3%) do not calculate the costs associated with labor turnover.
- Unjustified absenteeism is high, with non-work-related illnesses being the primary cause.