By: Cassidy Delamarter, University Communications and Marketing
A new study led by the 91社区 and the University of Cincinnati sheds light on the powerful impact of workplace cohorts on newcomer retention. The findings provide critical insights for organizations seeking to reduce employee turnover and improve stability among their teams.
鈥淎t the core of our approach is the belief that people are the most important asset in any organization."
Cohorts, a group of new employees that joins an organization at the same time and is usually trained together, are common in the military and in professional services such as law, accounting and consulting firms. It鈥檚 a common hiring practice among Fortune 500 companies, such as Amazon and Walmart.
鈥淥ur findings highlight the need for strategic cohort management to improve retention,鈥� said Amit Chauradia, a USF assistant professor in the Muma College of Business. 鈥淚f companies listen to employee location preferences during the hiring process and foster a positive cohort experience, it鈥檚 likely they can reduce turnover risks.鈥�
The study, , analyzed survey data from about 650 new employees from 32 cohorts at a global IT services firm. The surveys revealed that when some members in the cohort engage in job-seeking behaviors, a newcomer is more likely to do the same and ultimately leave the organization. The effect is only mitigated if the newcomer has a strong preference for the organization鈥檚 geographic location.
Chauradia and co-authors , an assistant professor in the Carl H. Lindner College of Business at the University of Cincinnati, are human capital scholars, which means they focus on knowledge, skills and abilities that create value for both individuals and organizations.
鈥淎t the core of our approach is the belief that people are the most important asset in any organization,鈥� Peat said. 鈥淧revious research on this topic mostly focused on collective turnover and organizational issues. Our research is some of the first of its kind to emphasize the importance of the contagion effect within cohorts.鈥�
The study builds on existing theories of job embeddedness and turnover contagion, illustrating how social connections within cohorts can either anchor employees to an organization or accelerate their departure. It also challenges organizations to rethink how they manage cohorts, which is especially important when managing Gen Z, who make up and .
鈥淭his provides a fresh perspective on how peer behavior within cohorts drives retention patterns and offers organizations new ways to build a more stable, committed workforce,鈥� Chauradia said.
For corporate leaders and HR professionals, these findings offer new strategies and underscore the importance of managing cohorts as social groups rather than just collections of individuals. By prioritizing geographic preferences during the hiring process and fostering positive cohort dynamics, companies can create an environment where newcomers feel embedded and are more likely to stay long-term.
Chauradia and Peat plan to continue their research by studying how organizations can effectively develop newcomers in a manner that encourages such talent to grow, perform and stay within the organization.
This study was done in collaboration with , an associate professor at the Indian Institute of Management Rohtak in Haryana, India.