A STUDY ON ATTRITION AND RETENTION STRATEGIES OF MICROFINANCE SECTOR IN BANGALORE

Abstract

This article explores the critical issues of attrition and retention strategies within the context of Microfinance Sector, Title: A Study on Attrition and Retention Strategies in the Microfinance Sector.The microfinance sector plays a pivotal role in extending financial services to the underserved and economically vulnerable populations.This study aims to investigate the factors contributing to attrition and the strategies employed for retaining talent in the microfinance sector.

The study employs a mixed-methods approach, which includes both quantitative and qualitative data gathering methodologies. Primary data is gathered through surveys, interviews, and focus group discussions with microfinance employees and managers from a diverse range of organizations across various geographies. Secondary data is also analysed from industry reports and existing literature.

The findings reveal that attrition in the microfinance sector is affected by a complex interplay of factors, including low remuneration, limited career growth opportunities, job stress, and work-life balance issues. Furthermore, the study identifies several successful retention strategies implemented by microfinance institutions, such as training and development programs, performance incentives, employee engagement initiatives, and effective leadership.

This study adds to the current body of information by offering insights into the unique issues that microfinance organisations encounterin retaining their workforce and the innovative strategies they have adopted to address these challenges. The outcomes of this study can be used by microfinance organizations, policymakers, and industry stakeholders to develop and implement more effective retention strategies, ultimately improving the sustainability and social impact of microfinance operations.

In conclusion, understanding attrition and retention dynamics in the microfinance sector is crucial for fostering a stable and motivated workforce, which in turn can enhance the sector's capacity to serve its target clientele and drive financial inclusion.