The Impact of Compensation Package on Employee Turnover: A Study at the IT Sector in Bangladesh

Iffat Azmi

Oct-Nov-Dec

Abstract
The IT sector in particular is crucial to the nation's economic expansion and acts as a spur to the realization of Bangladesh's government's officially recognized Vision 2041. But maintaining and increasing productivity in this field, along with the industry's long-term performance, depends on your capacity to lower employee turnover among the most valued and outstanding workers. The reduction of staff turnover is contingent upon various factors, including appropriate compensation packages offered by organizations. The impact of the four financial components of the compensation package—salary, incentives, bonus, and allowance—on the employee turnover tendency of the workers at Bangladesh's IT farms has been carefully examined in this study. 40 workers in four IT farms in Dhaka city were contacted to complete a questionnaire as part of this cross-sectional study, which had a quantitative design. According to the study, the majority of respondents were dissatisfied with the compensation package that their employers had given them. They continued to work for their organizations, though, and a number of things influenced their tendency to do so. The development of Bangladesh's IT industry may benefit from these research-based conclusions.

Keyword: Turnover, IT, salary, incentives, allowance, bonus, compensation.

Research Area: Business

Country: Bangladesh

download