I worked at a place which paid above the market average and had very, very low staff turnover.
Sounds good for the employees .. good for the staff, right?
It was horrible. Everyone who worked there agreed.
No one left even when they hated their jobs. No one new, with new ideas, came in for a long, long time because they had no vacancies (because no one left). When new people did come in they hated it because the place had no appetite for new ideas and a bunch of really grumpy, but well paid people. Oh, and their wage bill was high too - especially when you consider the quality of output from all the grumpy people (each of which would probably have done more work, if they'd been working in a happier place, even if they'd been paid less).
