An Annual Report on Full-Time Classified State Employee Turnover for Fiscal
Report Number 01-703
The statewide turnover rate for fiscal year 2000 was 18.93 percent for full-time
classified state employees. The State's rate is higher than the average rate
of state governments bordering Texas (16.23 percent), the federal government
(14.90 percent), local governments (11.97 percent), and the national private
sector (15 percent). We conservatively estimate the total cost of turnover for
the State in fiscal year 2000 to be $262 million. Research suggests that the
best strategies to retain employees are strong programs in healthcare benefits,
competitive salaries, flexible work schedules, and training and educational
opportunities. A concerted effort of both monetary and non-monetary rewards
and benefits helps reduce turnover.
Key Facts and Findings
- Employee turnover was highest in classifications in the lower salary groups.
- The types of jobs state employees leave most often are in the education,
social services, medical and health, criminal justice, and legal fields.
- The State Auditor's Office believes that state agencies are not aggressively
and accurately collecting data on the reasons employees are leaving. Nationwide
research suggests that common reasons people leave employment are inadequate
salary and lack of advancement opportunities; however, state agencies reported
"personal reasons not related to the job" (39.18 percent) as the
main explanation for state employee turnover.
- The State can expect a higher number of employees than usual to retire
within the next five years. The Employees Retirement System predicts that
24,000 contributing members will be eligible to retire by 2005 compared to
the 3,582 that were eligible in 2000.
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