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Employee Turnover Impact on the Profitability of the Banks- The case of the Albanian Banking System

Author

Listed:
  • Irida Vejsiu

    (Societe Generale Albania Bank)

Abstract

This research study has been focused on the impact the employee turnover can have for the banks in Albania. High rates of the voluntary turnover among the banking employees can affect the business results. The negative impact might be higher when the turnover has been among the highly professional employees covering key areas of expertise. The research methodology used has been the case study. The data have been collected from statistical documents and archives and 75 % of the banks operating in the market have been included in the study. The study found an increasing trend in the employee turnover over the last three years for most of the banks, however when it comes to the profitability it has not been evidenced a clear trend for the banks, there is a lot of fluctuations on their net profit. Somehow due to this fluctuation the regression model built to test the connection among the turnover and banks profitability come out to have no statistical importance.

Suggested Citation

  • Irida Vejsiu, 2019. "Employee Turnover Impact on the Profitability of the Banks- The case of the Albanian Banking System," Proceedings of Economics and Finance Conferences 8911254, International Institute of Social and Economic Sciences.
    • Handle: RePEc:sek:iefpro:8911254
    as

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    File URL: https://iises.net/proceedings/11th-economics-finance-conference-rome/table-of-content/detail?cid=89&iid=015&rid=11254
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    References listed on IDEAS

    as
    1. John P. Hausknecht & Jacob A. Holwerda, 2013. "When Does Employee Turnover Matter? Dynamic Member Configurations, Productive Capacity, and Collective Performance," Organization Science, INFORMS, vol. 24(1), pages 210-225, February.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Employee?s turnover; Banking; Profitability; Albanian Banking System;
    All these keywords.

    JEL classification:

    • J63 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Turnover; Vacancies; Layoffs
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General

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