Employee Turnover Case Study: Fleet Bank

INTRODUCTION Companies invest one third of their revenue in Recruitment, Training and Development, Management practices or any incentive plan but most of the time they even don’t know about the return that they are getting from these investments, same as the case with Fleet Bank, which was the second-largest financial services company in the US and seventh largest financial holding company in the country. In 1990s there biggest concern was the Employees turn over which was up to 25% annually and among some groups it was over 40%. That was hurting the Banks Customer focused strategy big time. The company conducted some surveys regarding this issue but employees were not giving correct information (which is often the case with surveys and

The company saved $50 million.

Background:
In the late 1990s, Fleet Bank was facing high and rising employee turnover, particularly in its retail operations. Overall turnover had reached 25% annually, and among some groups, such as tellers and customer service reps, turnover was as high as 40%.
In last regulations were changed then fleet was change the strategy initially for 20 years. In 1985 its first actuation outside from Rhode, Island fleet was get 40 banks during the 1980s. At initial stage fleet was going towards prosperity but due to the costs of mergers financial crises were occurred. In 1988 fleet was scrutinize about Bank of Boston. Finally, fleet was successful to achieve the biggest mergers of banks and it was the 7th largest bank of the nation. Employees of bank were 50,000 people, Serviced over 20 million customers The company was served 20 million retail and 6 million commercial customers worldwide and has had more than 50,000 U.S employees and 10,000 employees

There was also no problem with the Physical Resources. But there was a problem as far as Human Resources and Organizational Resources was concerned because there was no system which could help employees to stay in the company and there most expert employees were leaving the organization. In 1990s the biggest issue faced by the Fleet was the turnover of potential employees. It was 25% annually and among some groups such as tellers and customer services representative it was over 40%. This turnover was damaging the overall strategies focusing the customer issues big