Statistical Modelling and Analysis of Factors Influencing Employee Attrition

Abstract

Employee attrition refers to the voluntary or involuntary departure of employees from an organization, and it poses significant challenges for businesses across industries. High attrition can disrupt workflow, increase recruitment and training costs, and impact overall organizational performance. The present paper aims to analyze and understand the factors contributing to employee attrition within an organization. Through an extensive literature review and systematic data analysis, the paper examines the relationships among various demographic, organizational, and job-related factors, thereby identifying the key drivers influencing employee departures.

            To explore the underlying structure of the data, Principal Component Analysis (PCA) and Multiple Correspondence Analysis (MCA) are employed to visualize patterns and identify correlated factors associated with attrition. Additionally, Factor Analysis of Mixed Data (FAMD) is performed to jointly analyze numerical and categorical variables, enabling a comprehensive assessment of their combined influence on employee turnover. Numerical results, insights, and conclusions derived from these analyses are presented in the final section of the study.