The Effects of Individual and Employer Characteristics on Hourly Employee Retention: an Empirical Study

This paper argues that employee tenure length is a function of not only firm specific characteristics and policies, but also individual characteristics, which can be identified and used in the pre-employment selection process. The information learned from this study can help hiring managers in identifying potentially high-production workers, by looking at several key factors that can be measured in a pre-employment application. This paper quantifies how the tenure length of employees can be influenced by not only the characteristics of the applicant, but also by decisions made by the employer. Some of these decisions include the starting wage, the number of scheduled hours given, and the job duties assigned to the individual once they are hired.