Studies done regarding Labor Turnover in the Service Industry across the world indicate that, thernHospitality sector leads with many employees’ changing jobs from time to time. In Addis Ababa,rnvery little has been documented on the causes of labor turnover in the Hotel Industry. Thus, thernobjective of this study was assessing the factors that contribute for the staff turnover in the fourrnstar category independent Hotels of Addis Ababa. The study adopted descriptive survey researchrndesign, and involved a total of 316 permanently employed staff working in the Hotels. The entirernfour star independent hotels have been taken for the study. Simple random sampling method wasrnused to pick the respondents for this study. The research finding revealed that; Non-CompetitivernCompensation Package, Non-Conducive Working Environment and Provisions of Better WorkingrnConditions by the Newly Opening Hotels are the three main reasons why employees of the selectedrnhotel groups leave their job. It is therefore recommended that, the management should improve thernpay scale, working condition for the employees as well as better minimize Intervention of ownersrnin their job in professional operations.rnKeywords: Star-Rated Hotels, Independent Hotels, Employee Turnover, Working Environment