Kraft: one year’s salary to replace an employee

"One in five employees changed his workplace voluntarily in 2006. It is estimated that replacing an old employee with a new one costs the employer up to one annual salary, due to recruiting and training costs, and the low productivity of a new employee," Dorin Grigorescu, Human Resource Manager of Kraft Foods Romania, told Business Standard.

Reasons for this labor market fluctuation include the migration of the workforce abroad, economic growth, and increased foreign investments, generating new jobs.

"These macroeconomic and demographic evolutions have several effects, such as the general increase in salaries unrelated to productivity, greater demands by potential staff of employers, and increased personnel rotation," said Grigorescu.

Kraft's main competitors on the local market are Kandia-Excelent, Supreme Group, and Heidi.