By Qaisra Noor ( Manager HR & Compliance)

According to report of Center for American

progress: Losing an employee can cost any where
from 16% to 213% (less trained to highly trained
positions).
Employee Turnover
Employee turnover refers to the proportion of employees who
leave an organization over a set period (often on a year-on-
year basis), expressed as a percentage of total workforce
numbers.
Categories:
Voluntary
Involuntary
Measuring employee turnover

Total number of leavers over period x 100

Average total number employed over period
When does employee turnover become
problematic?

Situation of Talent Market

Overall performance of organization
Loss of an employee..loss of customer
High turnover is Bad for employees as well
 Industry 5-Year Average Voluntary Turnover
Hospitality 51%
Retail 35%
Professional Services 34%
Leisure 34%
Construction 24%
Transportation 21%
Real Estate 21 %
Healthcare 21%
Information 18%
Manufacturing 15%
Education 15%
Finance 14%
Government 9%
Source: U.S. Bureau of Labor Statistics, 2014-2018
 Major Reasons of Employee Turnover
1. Rude/non-professional behavior
2. Work-life imbalance
3. The job did not meet expectations
4. Employee misalignment
5. Coaching and feedback are lacking
6. Raises and promotions frozen
7. Growth opportunities not available
8. Employee disengagement
 The pre-quitting behaviors:
1. work productivity decreases
2. acts less like a team player
3. Performs the minimum amount of work
4. less interest in pleasing their manager
5. less willing to commit to long-term timelines
6. exhibits a negative change in attitude
7. Exhibits less effort and work motivation
8. exhibits less focus on job related matters
9. expresses dissatisfaction with current job
10. expresses dissatisfaction with supervisor
11. leaves early from work more frequently
12. loses enthusiasm for the mission of the organization
13. shows less interest in working with customers

Source: https://www.shrm.org/resourcesandtools/hr-topics/employee-relations/pages/signs-that-someone-is-about-to-quit.aspx
 Costing employee turnover
The major categories of direct & indirect costs are:
• administration of the resignation Direct cost
• recruitment and selection costs
• induction training for the new employee
• covering the post during the period in which there is a vacancy Indirect cost
• lost productivity and sales
• customer services disruption
• on boarding

More complex approaches to turnover costing give a more accurate and

invariably higher estimate of total costs.
Employee Retention
Retention relates to the extent to which an
employer retains its employees and may be
measured as the proportion of employees with a
specified length of service (typically one year or
more) expressed as a percentage of overall
workforce numbers.
Improving Employee Retention
• Respectful treatment of all employees at all levels;
• Compensation/pay;
• Trust between employees and senior management;
• Job security; and
• Opportunities to use their skills and abilities at work.
• Recruitment & Selection criteria
• Role clarity
• Job design
• Workgroup cohesion
What is your strategy
to retain employees?
Thank you