Cost of Employee Turnover Starter Guide: Learn the Basics
Employee turnover is the process of replacing one employee with another.Â
When someone quits their job, and then someone new is hired to fill that role, that’s turnover. Generally speaking, if companies have lots of turnover, it’s seen as negative because it means employees aren’t happy or there is a management issue.Â
Low turnover means that employees stay at a company for a long time, while high turnover means that people are being hired, leaving, and then companies have to rehire again often. This can impact profit, morale, and productivity, so it’s something most companies try to avoid.Â
Because employee turnover impacts things like productivity, meeting goals, communication, and the overall culture, the costs can be very high.Â