Japanese researchers have developed an innovative AI tool that can predict the likelihood of newly hired employees leaving their jobs prematurely. This groundbreaking technology provides companies with a fresh approach to address retention problems both in the present and the near future, enabling them to identify potential early exits and offer immediate support and assistance.
The system, created by Professor Naruhiko Shiratori from Tokyo City University in collaboration with a local start-up, utilizes data analytics to evaluate employee turnover. It incorporates various variables, such as school attendance records and personal demographics like age and gender, to create a unique model tailored to each individual company.
Professor Shiratori explains that the system not only relies on current employee data but also incorporates historical data from former employees who left voluntarily, were forced to quit, or had medical reasons. This comprehensive decision-making process allows the AI to calculate the probability of a new employee leaving, providing managers with a percentage figure that helps them better understand and mitigate the associated risks.
One of the main advantages of this technology is that it provides managers with valuable information without alarming or intimidating employees. The AI identifies individuals with a higher likelihood of leaving the company, allowing managers to provide targeted support and assistance to these employees, resulting in higher job satisfaction and loyalty compared to local employees.
This tool originated from previous research on AI’s predictive capabilities in academic settings, such as predicting university student dropouts. Leveraging this foundation, researchers have expanded the tool’s capabilities to make major job decisions based on data gathered from job interviews and analyzed using personal characteristics and biographic information.
The timing of the deployment of this AI platform couldn’t be more opportune. In Japan, approximately 10% of university graduates leave their jobs within a year, and around 30% within three years, according to the Ministry of Labor. This poses a significant challenge to the Japanese industry, especially considering the annual mass recruitment of new graduates by most companies.
The implementation of this cutting-edge AI application aims to help companies address turnover crises by engaging with employees before they decide to resign, which is far less costly than recruiting and training replacements.
The tool is currently undergoing testing at select companies, and early adoption looks promising. Its widespread use by enterprises has the potential to revolutionize human resources technology and serve as one of the most effective measures for enhancing worker satisfaction and retention in Japan’s competitive labor market.
The article originally appeared in News OnJapan.
