A Dissertation Submitted to Mzumbe University Dar es Salaam Campus College in Partial Fulfillment of the Requirements for the Award of Master of Science in Human Resource Management (MSC/ HRM) Degree of Mzumbe UniversityThe overall aim of the research was to analyze labour turnover in the banking sector in Tanzania. For the purpose of understanding the magnitude of the effects of labour turnover in this sector, NBC Bank and Stanbic banks were selected as case studies. Specifically, the study aimed to determine the labour turnover trends in the two selected banks identify and explain the causes of labour turnover in the banks, analyze the impacts or effects of labour turnover in these banks. The research employed case study design which provided the opportunity to use multiple data collection methods, namely, observations, questionnaires and interviews for primary and for secondary data the study employed documentary reviews. The study notes that employee turnover has significant effects to the two banks. Such effects include additional costs due to recruitment, hiring and training of new staff. Also labour turnover to the banks leads to the disruption of work flow due to vacant positions which eventually becomes the cause of lower productivity, loss of technical know-how and talent from the experienced employees who decided to leave. Conclusively the study seems to indicate that turnover is part and parcel of the two banks’ operations and it has seen to have detrimental effects to both the banks and employees, therefore the banks need to come up with proactive measures to retain their employees.