Labour Turnover and Its Effects on Cocoa Industry in the Bia District

ABSTRACT

This study was undertaken to find out the underlying reasons and effects of labour turnover among the Licensed Buying Companies (LBCs) operating in the Bia District of the Western Region of Ghana. The reason being that, the Ghanaian cocoa industry suffer devastating consequences of alarming rates of labour turnover. The employees have therefore been experiencing frequent job loss/job change. Accordingly, the hope of the researcher is that the result of this study will serve as a useful tool to mitigating the adverse effects of labour turnover in Bia. Further, as a descriptive survey, stratified random sampling method was used to select the sample size from the population, while questionnaires and interviews were the instruments for data collection. Also, descriptive statistics such as cross-tabulations, chi-square tests and percentages were employed to analyse the data collected. The main finding was the general perception of employees that labour turnover rate was high among the LBCs Also, the main causes of labour turnover were found to be unsatisfactory pay and working conditions, management style, quest for further studies, inadequate training and motivation, and lack of promotion. It was however concluded that the notable adverse effects of labour turnover on the LBCs comprised lost of experienced and skilled staff, lack of employee loyalty, commitment and loss of farmers’ goodwill. Hence, it is recommended that effective training and improvement in salary and other benefits will help reduce the alarming rate of labour turnover among the LBCs in Bia.