Organisations in the insurance sector are struggling to hold on to their employees, despite the frequency and value of bonus payments...

Companies within the insurance sector are struggling to retain their employees despite the frequency and value of bonus payments. The high turnover has led companies to offer improved benefits packages in their battle to attract staff, says the 2005 National Management Salary Survey.

Launched by the Chartered Management Institute and Remuneration Economics, the survey of 20,989 individuals, reveals that 76.4% of executives in the insurance sector received a bonus in the year to January 2005 above the national average. However, in spite of the high number of people given bonus payments, 45.4%of companies are reporting retention problems - the worst reported figure for 15 years.

Asked why their employees leave, nearly 62% blamed competition from other organisations and 45.4% admitted they offered little in the way of career progression or training. Salaries (43.2%) and job security (40.9%) were also cited as reasons for job changes.

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