How is employee retention defined?

Employee retention is defined as the ability of an organization to keep its employees and reduce turnover rates. This concept is crucial for businesses, as high turnover can lead to significant costs related to recruiting, hiring, and training new staff. Moreover, retaining employees fosters a stable and experienced workforce, which can enhance productivity and morale.

When an organization successfully retains its employees, it typically implies a positive work environment, effective management practices, and strong organizational culture. Employees who feel valued and engaged are less likely to leave their positions, leading to lower turnover rates.

The other choices do not accurately capture the definition of employee retention. Recruitment pertains to the process of attracting and hiring new employees, evaluation refers to assessing performance levels, and training programs are focused on developing employee skills rather than retaining them. Therefore, the correct choice encompasses the essence of employee retention effectively.