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PHR · Question #155
PHR Question #155: Real Exam Question with Answer & Explanation
The correct answer is A. Loss of knowledge, skills, and abilities.. Beyond direct monetary costs, the greatest drawback of employee turnover is the loss of accumulated knowledge, skills, and abilities that the departing employee takes with them.
Question
Besides the monetary investment made in an employee, what is the greatest drawback of employee turnover?
Options
- ALoss of knowledge, skills, and abilities.
- BNew employees will need to be hired, causing a burden to the HR department.
- CThe loss of that employee will impact the morale of the whole team.
- DNew employees will need more intense supervision, therefore causing additional time and
Explanation
Beyond direct monetary costs, the greatest drawback of employee turnover is the loss of accumulated knowledge, skills, and abilities that the departing employee takes with them.
Common mistakes.
- B. While recruiting burden is a real cost of turnover, it is a process-related inconvenience rather than a fundamental and lasting loss of organizational human capital.
- C. Morale impact is a secondary and often temporary effect of turnover, generally considered less significant than the direct loss of the departing employee's KSAs.
- D. Increased supervisory time for new hires is a temporary and manageable training-related burden, not a permanent organizational loss comparable to the KSAs of the departed employee.
Concept tested. Impact of employee turnover on organizational human capital
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