The study investigated the effect of employees’ separation on performance of unionised organisations in the
Food, Beverage, and Tobacco industry in Lagos State. The adopted research design is the survey method. The
proportional stratified sampling was used to select equal sample of thirty (30) from each of the organisations
surveyed. A total of four hundred and twenty (420) research subjects were drawn from fourteen respondent
companies. However, 284 copies of questionnaire were properly completed and used for data analysis. This
represents 68 per cent response rate. The research instrument was subjected to validity and reliability testing.
The domain of validity also called intrinsic validity was used for the validity estimate. Validity estimate is 0.88
while the Cronbach’s Alpha is 0.77 being the reliability coefficient of the instrument. The hypothesis for the
study was tested using the Pearson Product Moment Correlation, Regression Model and Chi-square test of
goodness-of–fit at 5 per cent level of significance. It was hypothesised that employees’ separation does not
affect performance of unionised organisations. The result of hypothesis test shows that employees’ separation
exhibited significant relationship with performance of organisations. Of the ten measures of performance, six
positively and significantly associated with employees’ separation. Such as public image (r = 0.352; p< 0.01);
staff morale (r = 0.340; p< 0.01); innovativeness (r =0.190; p< 0.01); performance stability(r = 0.199; p<
0.01); growth in number of employees (r = 0.214; p< 0.01) and adaptability (r =0.157; p< 0.01). However,
profitability, market share, operational efficiency and rate of sales were non-significant. The Chi-square test of
goodness-of-fit also confirms that employees’ separation affect performance of unionised organisations (x2
=103.170, df=2, p< 0.01). Similarly, from regression Table in the appendix, it could be observed from the result
of the regression analysis that employees’ separation affects performance of unionised organisations in the
Food, Beverage and Tobacco Industry in Lagos State. From the foregoing, it is recommended that
organisations should aim at improving remuneration packages; there is empirical evidence to show that on
average, employers who offer the most attractive reward packages have lower attrition rates than those who pay
poorly. Organisations should adopt rigorous screening procedures for new hires; improve training programmes
as well as flexible working hours and employee participation.