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The Causes of Labour Turnover in Bottling Companies in Nigeria: A Comparative Study of Coca-Cola Plc and Seven Up Plc. Lagos, Nigeria

Author(s): B.A. Chukwu | O.S. Ofotokun | J.T. Fadeji | V.U. Sule

Journal: Asian Journal of Business Management
ISSN 2041-8744

Volume: 5;
Issue: 4;
Start page: 339;
Date: 2013;
Original page

Keywords: Discharge rate | labour retention | labour turnover | resignation response rate | rate | turnover cost

This study compared the causes of labour turnover in Coca-Cola Plc and Seven Up Plc. in Lagos, Nigeria. They are the major producers of soft drink in Nigeria. Labour turnover costs soft drink industries in Nigeria considerable amount of money yearly in recruiting and training replacements. It is an economic drain to the industry. A sizeable income is also incurred through new employees that are more prone to accidents, causes more breakages and make more mistakes than experience workers. Other loses are also incurred through reduced production, work disruption and increase scrap and overtime as a result of departed workers. A cross-sectional survey was utilized to collect data for answering research questionnaires and testing hypothesis in this study. The data collected from questionnaire instrument were also analysed using percentages (%) and Z-test for comparing two proportions. Comparative analysis of the data showed that Seven Up Plc. rated unwillingness to perform as major cause of discharge while Coca-Cola Plc. rated attitudinal causes. Both companies rated unsatisfactory pay as the major cause of resignation. Seven Up Plc. was not significantly better than Coca-Cola Plc. on a hypothesis testing about the difference between proportions of samples. The Null hypothesis assumed that there were no difference in parameters and that the difference observed between sample percent was due to chance.
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