turnover in call centers…a trend or external incentives that attract cadres?
Labor turnover in the local market is one of the issues that the call center industry has been complaining about for several years.
We tried to research the reasons behind this issue and how companies deal with it through a report in which we spoke with specialists.
Rihan: I suggest broadcasting comedy episodes to improve the mental image of the profession
Ahmed Rihan, Sr. Director Sutherland Global Services EMEA ( Business Development), said that the employee turnover rate in call center companies in Egypt is very high compared to other countries and is lower than the second category.
Rihan explained that every company strives to reduce this percentage and create a desirable and attractive work environment for employees by organizing parties, travel trips, gifts and providing incentives to them.
He stressed that the government needs to launch a program to improve the mental image of the call center employee profession in Egypt, noting that he had previously submitted a proposal to the relevant authorities to broadcast comedy episodes on entertainment platforms such as Shahid and Watch It, in which artists who have great popularity among the public participate.
For his part, Mohamed El-Derwy, CEO of Target Human Resources, said that Egypt has witnessed a significant increase in labor turnover rates over the past two years, as the Egyptian market has been directly affected by the increasing demand for specialized skills in the GCC markets, especially in the Kingdom of Saudi Arabia.
El-Derwy believes that the IT sector, especially software engineers, is one of the most affected sectors, with employee turnover rates reaching more than 25%.
Software and Technology Sector
“The labor market in the Gulf countries, especially Saudi Arabia, has become more open to hiring Egyptian software engineers,” he continued.
This market offers attractive opportunities for engineers in terms of high salaries and various benefits, which has led many of these engineers to leave their jobs in Egypt in search of better opportunities abroad. As a result, the labor turnover rates in this sector have exceeded 25% in the past two years, according to Al-Darwy.
Call centers
As for call centers, Al-Darwi said that they recorded high turnover rates ranging between 40% and 60%. This is due to the repetitive nature of work in this sector, in addition to the fact that employees are often looking for better opportunities or different fields of work. Moreover, companies face difficulty in retaining employees for long periods, especially in light of the attractive offers provided by local and international competitors.
Industrial sector
Heavy industries, on the other hand, are witnessing relatively stable labor turnover rates, with the rate falling below 10%. This is due to the low external demand for these specialized skills compared to other sectors, in addition to the strong job benefits offered by companies in this field, according to Al-Darwi.
Dimensions of labor turnover
These figures show that employee turnover rates are mainly influenced by the job, the size of the market demand, and the benefits offered by companies.
While employees are looking for better pay and benefits, companies still face significant challenges in retaining talent, especially in high-demand sectors.
El-Derwy believes that companies in Egypt should re-evaluate their employee retention policies and increase their focus on improving the work environment and benefits offered in order to reduce employee turnover rates and increase job satisfaction.
Riyadh: Raising the minimum wage reduces the percentage…and the work environment is the secret
Saeed Reyad, a member of the Board of Directors of the Outsourcing Services Division at the IT Communications Association, indicated that the government’s decision to increase the minimum wage within companies contributed to reducing turnover rates within the industry during the recent period, noting that the average turnover rate among call center service providers was approaching 10% annually.
Riyad attributed the reason behind the youth in Egypt moving from one call center company to another to the work environment.
He said that the expansion of integrating new technology such as chatbots and artificial intelligence within call centers has prompted companies to look for more advanced employees with high salaries and has led to ensuring job stability for them instead of moving from one company to another.
He pointed out that the role of the call center employee is no longer limited to receiving and answering customer calls only, but has developed greatly and is now entrusted with performing a set of integrated tasks to ensure the ability to compete with others.
