Productivity is the most important factor for any industry or the organization. There are number of factors on which the productivity of the organization depends upon. And employee turnover is considered to be one of the challenging issues in the today competitive business nowadays. The employee turnover has received considerable attention by the organizations this days as it is very closely related to the growth and development of any organizations Employees turnover is an important issue for not only the automobile industry but also the service and IT industry.It has proven to be one of the most costly and seemingly inflexible human resource challenges confronting by several organizations globally All important factors such as Productivity, overall efficiency, quality etc gets affected by an issue of employee turnover. Therefore impact of turnover has received considerable attentionby senior management, professionals and industrial psychologists. This research paper focus on the different factors that are responsible for the labor turnover in an automobile industry. It also focus on the different major to be consider in order to reduce these problem from all the different sector of the industry.