{"id":19988,"date":"2024-02-12T12:00:00","date_gmt":"2024-02-12T12:00:00","guid":{"rendered":"https:\/\/toggl.com\/blog\/?p=19988"},"modified":"2024-02-12T12:00:19","modified_gmt":"2024-02-12T12:00:19","slug":"employees-turnover","status":"publish","type":"post","link":"https:\/\/toggl.com\/blog\/employees-turnover","title":{"rendered":"Employee Turnover Rate: Definition, Formula &amp; 2024 Trends"},"content":{"rendered":"\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">If you\u2019re not planning to quit your job, do you even have one?<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Jokes aside, the job market remains in flux. The Great Resignation may be <\/span><a href=\"https:\/\/fortune.com\/2023\/10\/03\/number-of-people-quitting-pre-pandemic-rates\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">officially over<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, but not for all workers. The number of CEO departures in the US increased twofold between August 2022 and August 2023, with <\/span><a href=\"https:\/\/www.challengergray.com\/blog\/ceo-exits-continue-record-clip-164-ceos-leave-their-posts-in-september-2023-q3-highest-quarterly-total-on-record\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">1,425 people<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> leaving the companies.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Likewise, <\/span><a href=\"https:\/\/www.ey.com\/en_gl\/workforce\/work-reimagined-survey\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">38% of Gen Z and 37% of Millennial workers<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> want to leave their jobs in 2024.&nbsp;Moreover, another <a href=\"https:\/\/www.fastcompany.com\/90999059\/40-percent-of-companies-still-expecting-layoffs-in-2024\" target=\"_blank\" rel=\"noreferrer noopener\">40% of companies<\/a> plan to lay off staff this year. In the first months, we\u2019ve already seen job cuts from Amazon, Alphabet, Walt Disney, IBM, eBay, and Wayfair, among others.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">If you&#8217;re knee-deep in decoding the latest talent trends and aiming to sync them up with your employee turnover rate to make better decisions, this guide provides some answers.&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">TL; DR \u2014 Key Takeaways<\/span><\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Employee turnover refers to the <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">volume of people who leave your company, whether voluntarily or due to termination<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">. Expressed in percentages, the number helps better understand how well you retain people.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Average employee turnover rates vary by industry and role. <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Average employee turnover rates hoover at 10% <\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">for roles in customer service, marketing, and sales, while managerial, creative, design, and educational roles have an<\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> average turnover rate of under 5%<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Knowing your company\u2019s turnover rate is important because it manifests into <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">bigger problems for the business:<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> loss of skills and knowledge, inability to pursue more ambitious projects or <a class=\"wpil_keyword_link\" href=\"https:\/\/toggl.com\/blog\/recruitment-strategies\" target=\"_blank\" rel=\"noopener\" title=\"attract top talent\" data-wpil-keyword-link=\"linked\">attract top talent<\/a>. High employee turnover also equals <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">higher hiring and operating costs.&nbsp;&nbsp;<\/span><\/strong><\/p><\/li>\n\n\n\n<li><p><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Reasons behind high employee turnover <\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">vary but mostly boil down to low pay and missing benefits, lack of career advancement opportunities, poor work-life balance, skills mismatches, and bad management, among other factors.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">To <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">improve employee turnover rates<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, consider revisiting and increasing your compensation packages, adding more professional training programs, addressing cultural kinks, and refreshing your hiring practices.&nbsp;<\/span><\/p><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">What is employee turnover?<\/span><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Employee turnover rate is the <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">number of people you hire versus those who leave your organization within the tracked timeframe<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">An annual turnover rate factors in dismissals, layoffs, retirements, and resignations but doesn\u2019t include <\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">internal mobility<\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> transitions, such as getting a promotion or moving to another position.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Most companies calculate employee turnover rate monthly or annually to better understand <\/span><a href=\"https:\/\/toggl.com\/blog\/recruiting-trends\" target=\"_blank\" rel=\"noreferrer noopener\">talent trends<\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> and optimize workplace planning.&nbsp;<\/span><\/p>\n\n\n        <div class=\"mb-8\">\n            <span class=\"block text-dark-purple-100 opacity-60 uppercase mb-2 text-sm font-bold\">Further Reading:<\/span>\n            <div class=\"border-t-[3px] border-b border-yellow-100 py-4 pb-2 lg:grid lg:gap-8\">\n                                    <div class=\"mb-4 lg:mb-2\">\n                        <a class=\"flex items-center hover:italic hover:text-dark-purple-80\" href=\"\" title=\"\" aria-label=\"\">\n                            <img decoding=\"async\" loading=\"lazy\" class=\"rounded-full w-14 h-14 mr-4 object-cover\" src=\"\" alt=\"\" width=\"56\" height=\"56\">\n                            <span class=\"font-semibold font-heading leading-snug\"><\/span>\n                        <\/a>\n                    <\/div>\n                            <\/div>\n        <\/div>\n    \n\n\n<h3 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Employee turnover vs. employee attrition<\/span><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Turnover rate measures the <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">frequency of employee departures and their replacement by new hires.<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> It\u2019s expressed as a percentage rate of the total workforce size divided by the number of employees who left and multiplied by one hundred.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Attrition is a <\/span><a href=\"https:\/\/toggl.com\/blog\/recruiting-metrics\" rel=\"noopener noreferrer\">recruiting metric<\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> that indicates a<\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> reduction in your workforce size when vacated positions aren&#8217;t filled<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">. To calculate attrition rates, divide the average number of recent separations by the number of employees remaining. An attrition rate of <\/span><a href=\"https:\/\/insightglobal.com\/blog\/employee-attrition-rate-how-to-calculate-improve\/\" rel=\"noopener noreferrer\" target=\"_blank\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"><u>10% to 15%<\/u><\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">&nbsp; is normal for most organizations.<\/span><\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Employee turnover rate <\/strong>shows you how many people leave your company and get replaced by new hires.&nbsp;<\/td><td><strong><a class=\"wpil_keyword_link\" href=\"https:\/\/toggl.com\/blog\/employee-attrition\" target=\"_blank\" rel=\"noopener\" title=\"Employee attrition\" data-wpil-keyword-link=\"linked\">Employee attrition<\/a> rate <\/strong>describes the changes in the size of your workforce over time.<\/td><\/tr><tr><td>Helps:&nbsp;<br><br>\u2705 Measure employee engagement and job satisfaction levels&nbsp;<br>\u2705 Evaluate recruitment effectiveness&nbsp;<br>\u2705 Improve workplace culture and employer brand<\/td><td>Helps:&nbsp;<br><br>\u2705 Identify knowledge drain and skill erosion&nbsp;<br>\u2705 Optimize organizational structure&nbsp;<br>\u2705 Improve capacity and succession planning<\/td><\/tr><\/tbody><\/table><figcaption class=\"wp-element-caption\">The differences between employee turnover rate vs. employee attrition rate.<\/figcaption><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Voluntary turnover vs. involuntary turnover<\/span><\/h3>\n\n\n\n<p><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Voluntary turnover<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> occurs when an employee leaves on their own instead of being fired or made redundant. That\u2019s not always a bad sign, though. Employees leave jobs for personal reasons like relocation, going back to school, or switching to self-employment.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">If your voluntary turnover rates spike above 10%, you should start looking for reasons why \u2014 potential <a class=\"wpil_keyword_link\" href=\"https:\/\/toggl.com\/blog\/interview-red-flags\" target=\"_blank\" rel=\"noopener\" title=\"red flags\" data-wpil-keyword-link=\"linked\">red flags<\/a> include low employee engagement, a desert of career growth, management mishaps, or a pathetically low paycheck.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<p><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Involuntary turnover <\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">is when the organization dismisses employees, either as part of a major layoff or because someone&#8217;s performance is about as impressive as a deflated balloon. \ud83c\udf88<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Layoffs and terminations may seem like an \u201ceasy\u201d solution to some<\/span> bad hires<span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> or other internal issues. But remember: the <\/span><a href=\"https:\/\/toggl.com\/blog\/cost-of-hiring-an-employee\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">average cost to hire a new employee<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> is $4,700 and can go into five digits for more senior and harder-to-fill positions. Plus, another <\/span><a href=\"https:\/\/www.bamboohr.com\/blog\/onboarding-infographic\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">$1,200 on average<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> in training costs.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">So, it <\/span><em><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">literally<\/span><\/em><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> pays to keep both voluntary and involuntary turnover rates low.&nbsp;<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"602\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-1024x602.png\" alt=\"How much does it cost to maintain employees in the US\" class=\"wp-image-49999\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-1024x602.png 1024w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-300x176.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-768x451.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-1536x902.png 1536w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-688x404.png 688w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-1152x677.png 1152w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-1372x806.png 1372w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43-112x66.png 112w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-43.png 1874w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\"><span data-color=\"rgb(254, 251, 250)\" style=\"color: inherit\">It costs up to 1.4x an employee\u2019s annual salary to hire and maintain them.<\/span><\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Why your employee turnover rate matters<\/span><\/strong><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Across the world, business leaders name \u201clack of skilled staff\u201d as the main barriers to <\/span><a href=\"https:\/\/www.nzherald.co.nz\/kahu\/18000-skilled-workers-urgently-needed-for-logistics-sector-new-study\/BQFZIVX6RZB6XELIWNBBJ2263I\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">faster delivery of goods<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, <\/span><a href=\"https:\/\/www.theguardian.com\/environment\/2023\/aug\/15\/shortage-of-experts-and-low-pay-major-barriers-to-uks-net-zero-future\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">net-zero transformations<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, all sorts of <a href=\"https:\/\/www.gartner.com\/smarterwithgartner\/lack-of-skills-threatens-digital-transformation\" target=\"_blank\" rel=\"noreferrer noopener\">digital initiatives<\/a>, and <\/span><a href=\"https:\/\/www.benefitnews.com\/opinion\/the-talent-shortage-is-the-biggest-barrier-to-business-strategy-success\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">general business success<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">When employees quit you have fewer hands on deck, meaning others have to shoulder the workload. This, in turn, <\/span><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">decreases team morale and employee productivity and ultimately hits your bottom line<\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Even if you have a <\/span>fast recruitment cycle and can fill positions quickly<span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, it still takes <\/span><a href=\"https:\/\/www.gallup.com\/workplace\/247172\/problems-onboarding-program.aspx\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">12 months on average<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> for a new employee to reach their full potential in the role. Whether they leave you before or after they start becoming fully productive, the damage can be pretty devastating.<\/span><\/p>\n\n\n\n<p><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">By losing workers you also lose knowledge. <\/span><\/strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Ove<\/span>r <a href=\"https:\/\/www.verdict.co.uk\/young-staff-quitting-biggest-barrier-to-skills-shortage\/?cf-view\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">a third of employers<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> in the US, the UK, France, and Germany say that retired employees take away important business acumen with them, and 60% struggle to replace these with people who have equivalent skills.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">The rest of the team can be also de-motivated by losing \u201cone of them,&#8221; regardless of the reason. Case in point: When Sam Altman was temporarily removed from the CEO position at OpenAI, <\/span><a href=\"https:\/\/www.theguardian.com\/technology\/2023\/nov\/20\/openai-staff-walkout-sam-altman-board\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">over 500 employees threatened to quit<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">According to a <\/span><a href=\"https:\/\/www.linkedin.com\/posts\/linkedin-news_is-the-great-resignation-contagious-activity-6889270475533381632-WzTU\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">LinkedIn poll<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, seeing a coworker leave motivates others to also consider their options. High voluntary turnover rates should be an alarm for your human resources department.<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"1011\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-1024x1011.png\" alt=\"Great Resignation statistics LinkedIn\" class=\"wp-image-50000\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-1024x1011.png 1024w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-300x296.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-768x758.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-409x404.png 409w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-770x760.png 770w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-816x806.png 816w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44-112x112.png 112w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-44.png 1128w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">59% of workers say an internal resignation could lead them to consider leaving, too.<\/figcaption><\/figure>\n\n\n\n<p><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Involuntary turnover (aka layoffs) may be better planned by your HR, but it can be equally damaging.<\/span><\/strong><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">According to research, companies experienced a 31% increase in the number of employees who quit a year after the workforce was reduced by 1%.&nbsp;<\/span><\/p>\n\n\n\n<p>Your employer brand also takes a massive hit, and workers get disillusioned about your employer value proposition, especially if they have a strong focus on \u201ctransparent communication,&#8221; \u201cteam-building,&#8221; and other \u201cpeople-first\u201d principles. <\/p>\n\n\n\n<p>Fewer qualified people will enter your talent pipeline, increasing the time and cost-to-hire.&nbsp;<\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">The bottom line? High employee turnover undermines team morale and performance levels, reduces your capacity to generate new value, and can trigger more quitting if left unaddressed.&nbsp;<\/span><\/p>\n\n\n        <div class=\"mb-8\">\n            <span class=\"block text-dark-purple-100 opacity-60 uppercase mb-2 text-sm font-bold\">Further Reading:<\/span>\n            <div class=\"border-t-[3px] border-b border-yellow-100 py-4 pb-2 lg:grid lg:gap-8\">\n                                    <div class=\"mb-4 lg:mb-2\">\n                        <a class=\"flex items-center hover:italic hover:text-dark-purple-80\" href=\"\" title=\"\" aria-label=\"\">\n                            <img decoding=\"async\" loading=\"lazy\" class=\"rounded-full w-14 h-14 mr-4 object-cover\" src=\"\" alt=\"\" width=\"56\" height=\"56\">\n                            <span class=\"font-semibold font-heading leading-snug\"><\/span>\n                        <\/a>\n                    <\/div>\n                            <\/div>\n        <\/div>\n    \n\n\n<h2 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Employee turnover rate statistics for 2024<\/span><\/strong><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">According to the <a href=\"https:\/\/www.bls.gov\/news.release\/pdf\/jolts.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">US Bureau of Labor Statistics<\/a>, the national average employee turnover rate stood at a healthy 3.4% last year. That\u2019s close to pre-pandemic (and pre-Great Resignation!) levels. However, staff turnover levels differ across industries and countries.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">How many employees plan to quit in 2024?<\/span><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Staff turnover will be on the rise this year. Employers will face more resignations as workers&#8217;&nbsp;confidence in the company\u2019s leadership and general work satisfaction decreases, leading to lower employee retention.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">According to various sources:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">In the UK, <\/span><a href=\"https:\/\/hrreview.co.uk\/hr-news\/20-of-uk-workers-plan-to-quit-their-jobs-in-2024-2\/373773\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">20%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> plan to quit their job in 2024. In the US, <\/span><a href=\"https:\/\/www.careerarc.com\/blog\/great-resignation-rehire-survey-infographic\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">23%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> share the same sentiment.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Over <\/span><a href=\"https:\/\/www.hcamag.com\/nz\/specialisation\/recruitment\/job-hopping-more-common-as-staff-likely-to-leave-by-end-of-2024-survey\/465071\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">three-quarters<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> of workers are either actively or passively job searching, and another 48% are open to exploring a new opportunity.&nbsp;&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">The <\/span><a href=\"https:\/\/www.gallup.com\/workplace\/349484\/state-of-the-global-workplace.aspx#ite-506912\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">top factors<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> driving the search for a new job are higher pay, more professional development opportunities, and a better work-life balance.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Globally, employees are most likely to quit due to poor management and stay for the good one. <\/span>Great managers<span data-color=\"rgb(207, 226, 243)\" style=\"color: inherit\"> <\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">can drive a 72% decrease in employee attrition and a 13.9X increase in employee satisfaction, according to <\/span><a href=\"https:\/\/www.bcg.com\/press\/18december2023-employees-move-on-from-current-jobs\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">BCG<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.&nbsp;<\/span><\/p><\/li>\n<\/ul>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"614\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45-1024x614.png\" alt=\"Employee turnover rates\" class=\"wp-image-50001\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45-1024x614.png 1024w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45-300x180.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45-768x461.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45-673x404.png 673w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45-112x67.png 112w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-45.png 1100w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">Over half of workers are actively looking for a new job. | <span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Source: <\/span><a href=\"https:\/\/www.gallup.com\/workplace\/349484\/state-of-the-global-workplace.aspx#ite-506912\" rel=\"noopener noreferrer\" target=\"_blank\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"><u>Gallup<\/u><\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">&nbsp;<\/span><\/figcaption><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">So, what\u2019s a good employee turnover rate?&nbsp;<\/span><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">In short, anything below the national and industry average is a good figure to aim for.<\/span> <span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">As for the longer answer \u2014 it depends on several factors, including your industry, the role you<\/span>&#8216;re<span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> hiring for, and the size and structure of your company.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Ultimately, your goal should be to keep the employee turnover rate as low as possible and above industry standards.<\/span><\/p>\n\n\n        <div class=\"mb-8 top-tip\">\n            \n                            <span class=\"flex items-center text-dark-purple-100 opacity-60 uppercase mb-2 text-sm font-bold\">\n                    <img decoding=\"async\" class=\"!w-6 !h-6 !object-contain mr-2\" src=\"https:\/\/toggl.com\/blog\/wp-content\/themes\/toggl-mjtweaver\/img\/brain.png\" alt=\"Top tips to enlarge those brains\" aria-label=\"Top tips to enlarge those brains\" width=\"24\" height=\"24\" loading=\"lazy\">    \n                    <span>Top tip:<\/span>\n                <\/span>\n            \n            <div class=\"bg-yellow-30 border-t-[3px] border-yellow-100 px-6 pt-6 pb-2\"><p><strong>Always assess employee turnover in context.\u00a0<\/strong><\/p>\n<p><!-- wp:paragraph --><\/p>\n<p><span data-color=\"transparent\">What makes a healthy employee turnover rate for one industry may be abysmally high for another. Certain industries like hospitality, retail, or agriculture traditionally have higher employee churn.\u00a0<\/span><\/p>\n<p><span data-color=\"transparent\">Likewise, employee turnover may be higher in one year (for example, as a company undergoes restructuring or cuts some redundant roles).<\/span><\/p>\n<p><!-- \/wp:paragraph --> <!-- wp:paragraph --><\/p>\n<p><span data-color=\"transparent\">T<\/span>o get meaningful insights, <strong>benchmark your employee turnover data across businesses in a similar industry and of similar size<\/strong>. You should also reflect on this metric in the wider context of workforce planning activities.<\/p>\n<p><!-- \/wp:paragraph --><\/p>\n<\/div>\n        <\/div>\n    \n\n\n<h2 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">How to calculate employee turnover<\/span><\/strong><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Knowing your company\u2019s turnover rate is as important as a Wi-Fi password at a tech conference \u2014 and here\u2019s how to calculate it.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Step 1: Gather the data<\/span><\/h3>\n\n\n\n<p>To <a class=\"wpil_keyword_link\" href=\"https:\/\/toggl.com\/blog\/calculate-employee-turnover\" target=\"_blank\" rel=\"noopener\" title=\"calculate employee turnover\" data-wpil-keyword-link=\"linked\">calculate employee turnover<\/a> rate, whether measuring it annually or monthly, <span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">you\u2019ll need three data points for the tracked time period:&nbsp;<\/span><\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Number of employees at the beginning of the specific period<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Number of employees at the end&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Total number of employees that left&nbsp;<\/span><\/p><\/li>\n<\/ol>\n\n\n\n<p>Most HR software platforms have these numbers. Or you can do a tally in a spreadsheet. &nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Step 2: Divide and multiply<\/span><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">To calculate turnover rate, apply a simple formula:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Divide the number of departed employees by the average number of employees who left.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Then, multiply the result by 100 to get the turnover rate in percentages.&nbsp;<\/span><\/p><\/li>\n<\/ul>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Let\u2019s calculate the annual turnover rate for the design team at Cool Startup. Three employees left the team last year, and five new employees were hired. The team\u2019s size was 25 people during the year, and 3 divided by 25 and multiplied by 100 equals an average turnover rate of 12% per year.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">You can also estimate the monthly turnover rate using the same formula.&nbsp;<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"614\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46-1024x614.png\" alt=\"Employee turnover rate formula\" class=\"wp-image-50002\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46-1024x614.png 1024w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46-300x180.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46-768x461.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46-673x404.png 673w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46-112x67.png 112w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-46.png 1100w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\">A simple employee turnover rate formula.<\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">What causes high employee turnover?<\/span><\/strong><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Surprised by your monthly employee turnover rate, or even your annual percentage? While some parts of high turnover rates can be explained by the industry (relying on temporary workers or fierce competition for talent), there may be other reasons causing employees to leave.<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Low salary<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Generally, 36% of workers name \u201cinadequate compensation\u201d as the reason for quitting. This rises to <\/span><a href=\"https:\/\/www.cnbc.com\/2023\/03\/01\/the-no-1-reason-women-say-they-would-quit-their-jobs-in-2023.html\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">52%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> among female workers who often experience <\/span><a href=\"https:\/\/www.pewresearch.org\/short-reads\/2023\/03\/01\/gender-pay-gap-facts\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">gender pay gaps<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> and are less likely to negotiate salaries in the first place.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Workers who are underpaid are less productive, and since the 1980s, the gap between typical workers&#8217; pay and productivity has been widening. Although workers became 62% more productive, hourly pay increased by only 17.5% over the past four decades (after adjusting for inflation), according to the <\/span><a href=\"https:\/\/www.epi.org\/productivity-pay-gap\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Economic Policy Institute<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">.&nbsp;<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"921\" height=\"465\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-47.png\" alt=\"The gap between productivity and compensation\" class=\"wp-image-50003\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-47.png 921w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-47-300x151.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-47-768x388.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-47-746x377.png 746w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-47-112x57.png 112w\" sizes=\"auto, (max-width: 921px) 100vw, 921px\" \/><figcaption class=\"wp-element-caption\">The gap between productivity and compensation, according to <span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">the <\/span><a href=\"https:\/\/www.epi.org\/productivity-pay-gap\/\" rel=\"noopener noreferrer\" target=\"_blank\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"><u>Economic Policy Institute<\/u><\/span><\/a>.<\/figcaption><\/figure>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">On the other hand, fair, competitive, and transparent pay can be motivating for employees,&nbsp;studies suggest. Fair pay also shapes the perception of your company. According to BambooHR\u2019s 2023 <\/span><a href=\"https:\/\/www.bamboohr.com\/resources\/guides\/compensation-trends\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">compensation report<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">, 82% of workers view some form of salary and benefits transparency as essential when evaluating potential employers, up from 69% in 2022.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Lack of benefits<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">While some employees want higher base pay, others are interested in <\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">better benefits<\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> like retirement plans, flexible PTO, and health insurance, as well as less traditional benefits like access to mental fitness programs or lifestyle spending accounts (something we offer at all Toggl companies!).<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"684\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-1024x684.png\" alt=\"Most popular employee benefits\" class=\"wp-image-50004\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-1024x684.png 1024w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-300x200.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-768x513.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-1536x1026.png 1536w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-605x404.png 605w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-1138x760.png 1138w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-1207x806.png 1207w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48-112x75.png 112w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-48.png 1632w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Employees seek various benefits to cope with workplace pressures. |<\/span> <span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Source: <\/span><a href=\"https:\/\/www.nfp.com\/benefits\/annual-benefits-trend-report\/\" rel=\"noopener noreferrer\" target=\"_blank\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"><u>NFP<\/u><\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">&nbsp;<\/span><\/figcaption><\/figure>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Comprehensive benefits improve employee retention and job satisfaction. Good health insurance means fewer absences due to health issues and thus lower productivity. Childcare services make your company more attractive to working parents. Mental health services \u2014 to people with special cognitive needs.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">On the other hand, the absence of good benefits progressively drives people away. In fact, many workers are ready to accept a pay cut if the new job comes with better healthcare benefits (<\/span><a href=\"https:\/\/fortune.com\/2024\/01\/17\/employers-offer-raises-but-employees-want-better-benefits-nfp-survey-exclusive\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">59%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">), work-life balance (<\/span><a href=\"https:\/\/eu.freep.com\/story\/money\/cars\/ford\/2024\/01\/11\/2024-trend-report-ford-salary-work-life-balance\/71963699007\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">52%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">), or fully remote work (<\/span><a href=\"https:\/\/www.wionews.com\/trending\/survey-reveals-45-of-workers-willing-to-accept-pay-cut-for-remote-work-665061\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">45%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">), for example.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">No career growth opportunities<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">While many companies list \u201cample career development opportunities\u201d as a perk in their job ads, very few actually walk the walk and give their employees a chance to move up the ranks.<\/span><\/p>\n\n\n\n<p class=\"has-text-align-left\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">A <\/span><a href=\"https:\/\/nectarhr.com\/blog\/workplace-promotion-statistics#3-63-of-the-workforce-has-received-a-promotion-within-the-past-two-years\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Nectar survey<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> found that 7.63% of workers haven&#8217;t been promoted in 5+ years, and another 14.25% never got an official title change<\/span>.<\/p>\n\n\n\n<p class=\"has-text-align-left\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">To pre<\/span>vent undesirable turnover, develop clear career paths for different roles and promotion avenues. Buffer, for example, has a <a href=\"https:\/\/buffer.com\/resources\/salary-system\/#why-salaries-are-transparent-at-buffer\" target=\"_blank\" rel=\"noreferrer noopener\">transparent salary system<\/a> based on market data and internal benchmarks. Anyone can see how the pay increases at every level for each role at the company. <\/p>\n\n\n\n<p class=\"has-text-align-left\">Each level indicates a set of <a class=\"wpil_keyword_link\" href=\"https:\/\/toggl.com\/blog\/core-competencies-examples\" target=\"_blank\" rel=\"noopener\" title=\"core competencies\" data-wpil-keyword-link=\"linked\">core competencies<\/a>, skills, and a general degree of ownership an employee must have to advance further (but not necessarily to a managerial or executive role).&nbsp;<\/p>\n\n\n        <div class=\"mb-8\">\n            <span class=\"block text-dark-purple-100 opacity-60 uppercase mb-2 text-sm font-bold\">Further Reading:<\/span>\n            <div class=\"border-t-[3px] border-b border-yellow-100 py-4 pb-2 lg:grid lg:gap-8\">\n                                    <div class=\"mb-4 lg:mb-2\">\n                        <a class=\"flex items-center hover:italic hover:text-dark-purple-80\" href=\"\" title=\"\" aria-label=\"\">\n                            <img decoding=\"async\" loading=\"lazy\" class=\"rounded-full w-14 h-14 mr-4 object-cover\" src=\"\" alt=\"\" width=\"56\" height=\"56\">\n                            <span class=\"font-semibold font-heading leading-snug\"><\/span>\n                        <\/a>\n                    <\/div>\n                            <\/div>\n        <\/div>\n    \n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Bad managers<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">As the adage goes people quit bosses, not jobs, and an <\/span><a href=\"https:\/\/sloanreview.mit.edu\/article\/toxic-culture-is-driving-the-great-resignation\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">analysis of the biggest employers in the US<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> also found that culture was the leading factor behind the Great Resignation (and high employee turnover rates, respectively).&nbsp;<\/span><\/p>\n\n\n\n<p>In an <a href=\"https:\/\/sloanreview.mit.edu\/article\/toxic-culture-is-driving-the-great-resignation\/\" target=\"_blank\" rel=\"noreferrer noopener\">MIT Sloan study<\/a>, for example, <span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">toxic workplace culture was the stronger predictor of a company\u2019s turnover rates and 10x more influential than compensation. <\/span><\/p>\n\n\n\n<figure class=\"wp-block-image size-large is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"954\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-1024x954.png\" alt=\"\" class=\"wp-image-50005\" style=\"width:840px;height:auto\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-1024x954.png 1024w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-300x279.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-768x715.png 768w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-1536x1431.png 1536w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-434x404.png 434w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-816x760.png 816w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-865x806.png 865w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49-112x104.png 112w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/image-49.png 1999w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><figcaption class=\"wp-element-caption\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">A toxic workplace culture can lead to high employee turnover.<\/span><\/figcaption><\/figure>\n\n\n\n<p>Unethical behaviors, poor communication skills, and lack of support were all cited as the common factors for employee turnover in the same study.&nbsp;<\/p>\n\n\n        <div class=\"mb-8 top-tip\">\n            \n                            <span class=\"flex items-center text-dark-purple-100 opacity-60 uppercase mb-2 text-sm font-bold\">\n                    <img decoding=\"async\" class=\"!w-6 !h-6 !object-contain mr-2\" src=\"https:\/\/toggl.com\/blog\/wp-content\/themes\/toggl-mjtweaver\/img\/brain.png\" alt=\"Top tips to enlarge those brains\" aria-label=\"Top tips to enlarge those brains\" width=\"24\" height=\"24\" loading=\"lazy\">    \n                    <span>Top tip:<\/span>\n                <\/span>\n            \n            <div class=\"bg-yellow-30 border-t-[3px] border-yellow-100 px-6 pt-6 pb-2\"><p><span data-color=\"transparent\">Find people with strong leadership, communication, and organizational skills with <\/span><a href=\"https:\/\/toggl.com\/hire\/test-library\/leadership-management-skills-test\" rel=\"noopener noreferrer\"><span data-color=\"transparent\">customizable skills assessments<\/span><\/a><span data-color=\"transparent\">. Evaluate how well the candidate can distribute work, coach others, and manage projects with a mix of open-ended and multiple-choice questions created by industry experts.\u00a0<\/span><\/p>\n<\/div>\n        <\/div>\n    \n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Poor onboarding process<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">If an employee leaves in under six months after hiring, your hiring process and\/or onboarding flow may be the reason.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">For example, over <\/span><a href=\"https:\/\/www.hrdive.com\/news\/study-48-of-workers-have-left-a-job-because-it-didnt-meet-expectations\/551179\/\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">half of workers<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> have left a job because it didn\u2019t meet their expectations. Generally, <\/span><a href=\"https:\/\/www.bamboohr.com\/resources\/guides\/onboarding-statistics-2023\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">70%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> of new employees decide if a job is the right fit within the first month and employers have 44 days to influence a new hire&#8217;s long-term retention.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">A <\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">good onboarding process<\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> helps:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Determine the employee training needs and get them better set for success in the new role.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Develop emotional bonds with the company and peers through a better understanding of the company practices and culture.&nbsp;<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Accelerate time to productivity through structured exposure to different processes, practices, people, and workplace technology.&nbsp;<\/span><\/p><\/li>\n<\/ul>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Remember:&nbsp;Losing employees within the first few months is expensive. Recruiting and onboarding costs, coupled with the lost time factor and lack of value creation, are just some of the indirect costs of high employee turnover.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Low employee engagement<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Let\u2019s say you pay your employees well, give them regular promotions, and ensure their management is excellent, but there\u2019s still something missing, and they feel left out. It\u2019s simple \u2014 <\/span><em><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">they\u2019re not engaged, and then they quit.&nbsp;<\/span><\/em><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Only 33% of the workforce in the US feels engaged, according to <\/span><a href=\"https:\/\/www.gallup.com\/394373\/indicator-employee-engagement.aspx\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Gallup<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">. But the rate increases to 73% among best-practices organizations. So what do they do differently?&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">They excel in five key drivers of employee engagement:<\/span><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Purpose<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Professional development<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Caring management<\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Focus on <a class=\"wpil_keyword_link\" href=\"https:\/\/toggl.com\/blog\/employee-strengths\" target=\"_blank\" rel=\"noopener\" title=\"employee strengths\" data-wpil-keyword-link=\"linked\" data-wpil-monitor-id=\"283\">employee strengths<\/a><\/span><\/p><\/li>\n\n\n\n<li><p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Ongoing conversations with teams<\/span><\/p><\/li>\n<\/ul>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">It&#8217;s abundantly clear these days that employees want more than a p<\/span>aycheck. They want to see a greater purpose in their work and be coached to accomplish more. They want to be recognized for their unique strengths and guided with ongoing conversations, not nagged for some weaknesses during the dry annual reviews.&nbsp;<\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">The perks of having active employees? An <\/span><a href=\"https:\/\/www.gallup.com\/workplace\/321725\/gallup-q12-meta-analysis-report.aspx\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">18% to 43%<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> reduction in annual employee turnover rate (depending on your industry), plus an average 23% increase in profitability.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Poor work-life balance<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Burnout rates among the global workforce have almost <\/span><a href=\"https:\/\/www.internationalsos.com\/risk-outlook\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">doubled in two years<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> from 11-18% to 20-40% on average. However, some companies report a staggering rate of 50%.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Poor work-life balance was also the driving force behind the Great Resignation, and workers are eager to change that.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Most are looking for fl<\/span>exible hours, hybrid or remote work arrangements, and a healthy degree of performance expectations from the management in the new role. In return, 56% are willing to accept lower pay, according to <a href=\"https:\/\/www.hays.co.uk\/salary-guide\" target=\"_blank\" rel=\"noreferrer noopener\">Hays<\/a>.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Skills mismatch<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">A <\/span><a href=\"https:\/\/www.cipd.org\/globalassets\/media\/knowledge\/knowledge-hub\/reports\/2023-pdfs\/2023-good-work-index-report-8407.pdf\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"><u>CIPD 2023 survey<\/u><\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> found that 36% of employees say they were either underqualified or overqualified for their current position. Overqualified employees are likely to expect faster promotion \u2014 and when that doesn\u2019t happen, seek a new job.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Employees who lack the skills and abilities to perform their duties, in turn, end up being a burden for your company and eventually get terminated. Both factors increase employee turnover costs.&nbsp;<\/span><\/p>\n\n\n        <div class=\"mb-8\">\n            <span class=\"block text-dark-purple-100 opacity-60 uppercase mb-2 text-sm font-bold\">Further Reading:<\/span>\n            <div class=\"border-t-[3px] border-b border-yellow-100 py-4 pb-2 lg:grid lg:gap-8\">\n                                    <div class=\"mb-4 lg:mb-2\">\n                        <a class=\"flex items-center hover:italic hover:text-dark-purple-80\" href=\"https:\/\/toggl.com\/blog\/skills-mismatch\" title=\"Skills Mismatch | What Is It &amp; How to Bridge the Gap\" aria-label=\"Skills Mismatch | What Is It &amp; How to Bridge the Gap\">\n                            <img decoding=\"async\" loading=\"lazy\" class=\"rounded-full w-14 h-14 mr-4 object-cover\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2023\/12\/Skills-Mismatch-_-What-Is-It-How-to-Bridge-the-Gap-112x68.png\" alt=\"Skills Mismatch | What Is It &amp; How to Bridge the Gap\" width=\"56\" height=\"56\">\n                            <span class=\"font-semibold font-heading leading-snug\">Skills Mismatch | What Is It &amp; How to Bridge the Gap<\/span>\n                        <\/a>\n                    <\/div>\n                            <\/div>\n        <\/div>\n    \n\n\n<h2 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">How to lower your employee turnover rate<\/span><\/strong><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">To keep a healthy turnover rate, you need to address all of the above employee woes with better organizational policies. \u2b07\ufe0f<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Offer competitive salaries and benefits<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">In 2024, over <\/span><a href=\"https:\/\/www.wtwco.com\/en-us\/news\/2023\/12\/as-economic-uncertainty-looms-pay-rises-remain-high.\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">half of HRs<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> plan to hire new employees in a higher salary range, plus initiate pay reviews for some groups of employees. If you\u2019re not keeping up-to-date with the market rates, you may be at risk of losing employees to more proactive organizations.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">You can get up-to-date salary data from trusted compensation data sources like <\/span><a href=\"https:\/\/radford.aon.com\/en-us\/products\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Radford<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> or <\/span><a href=\"https:\/\/www.gradar.com\/en-us\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Gradar<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> to create better salary benchmarks. Also, run a fresh survey to get the employees\u2019 scoop on the current benefits plans and <\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">collect new ideas<\/span><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> for consideration.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Implement professional development programs<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Growth-oriented employees will appreciate the opportunity to flex their brain muscles and&nbsp;expand their skill set (even more so if this leads to career progression). New employees, in turn, will get the missing skills and become a more valuable asset for your company.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">New training opportunities can also help build stronger workplace bonds through peer-to-peer knowledge sharing.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">During a workplace survey, Heineken learned that <\/span><a href=\"https:\/\/www.togetherplatform.com\/blog\/reverse-mentoring-the-future-of-work\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">86% of senior executives<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> wanted to connect with junior employees to acquire new skills. In response, the company launched a reverse mentoring program where junior staff shared their perspective on the future of work and areas of growth.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Improve company culture<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Understand which cultural factors that drive high employee turnover: unsustainable work expectations, uninspiring leadership, or communication silos. An anonymous employee survey could help shed light on problematic practices or, on the contrary, define better company values.&nbsp;<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Warby Parker rapidly grew from a team of twenty to several thousand employees. To maintain stronger corporate ties and improve employee experience, they\u2019ve asked everyone to put down values that are important to them.<\/span><\/p>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">After analyzing 200 different submissions, the company selected <\/span><a href=\"https:\/\/www.businessinsider.com\/warby-parkers-honesty-culture-2013-11\" target=\"_blank\" rel=\"noreferrer noopener\"><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">honest and open communication<\/span><\/a><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> as its defining value and started re-aligning the culture to match it.&nbsp;<\/span><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Hire for the right skills<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Companies with <\/span>a low employee turnover hire the right people the first time around. When you place people with the right hard and soft skills in the right role for them and empower them for success through your culture, you\u2019re less likely to see them leaving.&nbsp;<\/p>\n\n\n\n<p>One of the proven strategies for preventing skills mismatches between the employee and the job role is through competency assessments. Toggl Hire, for example, helps companies select the right candidates with the right skill sets through pre-employment testing, and then you can vet their culture fit through structured <a href=\"https:\/\/toggl.com\/blog\/personality-questions-for-interview\" target=\"_blank\" rel=\"noreferrer noopener\">personality interviews<\/a> or job simulations.<\/p>\n\n\n\n<p>You can also use skills assessments to assess current employees to better understand their qualifications and assign targeted training.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Track and analyze new employee turnover rates<\/span><\/strong><\/h3>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Keep close tabs on how employee turnover rates change over time to determine which initiatives work (and whi<\/span>ch don\u2019t).<\/p>\n\n\n\n<p>Pay attention to seasonal and year-over-year dynamics to better understand when people are likely to quit and play ahead of the curve by re-engaging employees at the risk of attrition or reaching out to potential candidates in your talent pipeline.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">Hire the right people the first time around<\/span><\/strong><\/h2>\n\n\n\n<p><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">A high turnover rate undermines your company\u2019s performance in the form of higher employee absenteeism, lower efficiency, poor morale, and, ultimately, lower revenues. Plus, it costs <\/span><em><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\">a ton<\/span><\/em><span data-color=\"transparent\" style=\"background-color: transparent;color: inherit\"> of m<\/span>oney to replace top talent.&nbsp;<\/p>\n\n\n\n<p>By regularly calculating employee turnover rate, you can spot the early signs of massive workplace issues \u2014 be it poor management, below-average pay, or stagnant employee development.&nbsp;<\/p>\n\n\n\n<p>With skills assessment platforms like Toggl Hire, you can further investigate one of the root causes of high employee turnover: skills mismatches. We provide <strong>measurable insights into candidates&#8217; job-specific skills<\/strong>, meaning you can hire the right people for the right role the first time around.&nbsp;<\/p>\n\n\n\n<p><a href=\"https:\/\/toggl.com\/hire\/product\" target=\"_blank\" rel=\"noreferrer noopener\">Take a tour of our product<\/a> to see how you, too, can get first-hand data about employees\u2019 competencies to hire and nurture the best talent!<\/p>\n\n\n\n<figure class=\"wp-block-image size-full no-modal\"><a href=\"https:\/\/toggl.com\/hire\/skills-based-hiring\" target=\"_blank\" rel=\"noreferrer noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"700\" height=\"176\" src=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/Implement-skills-based-hiring-in-your-recruiment-process.png\" alt=\"Implement skills-based hiring in your recruiment process\" class=\"wp-image-49853\" srcset=\"https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/Implement-skills-based-hiring-in-your-recruiment-process.png 700w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/Implement-skills-based-hiring-in-your-recruiment-process-300x75.png 300w, https:\/\/toggl.com\/blog\/wp-content\/uploads\/2024\/02\/Implement-skills-based-hiring-in-your-recruiment-process-112x28.png 112w\" sizes=\"auto, (max-width: 700px) 100vw, 700px\" \/><\/a><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>If you\u2019re not planning to quit your job, do you even have one? Jokes aside, the job market remains in flux. The Great Resignation may&#8230;<\/p>\n","protected":false},"author":640,"featured_media":49997,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[846],"tags":[906,905],"class_list":["post-19988","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-talent-acquisition","tag-calculate-employee-turnover-rate","tag-employee-turnover-rate"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Employee Turnover Rate Definition, Formula &amp; 2024 Trends &#8226; Toggl Hire<\/title>\n<meta name=\"description\" content=\"Understanding your employee turnover rate is crucial to efficient hiring practices. Learn how to calculate and improve your employee turnover.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/toggl.com\/blog\/employees-turnover\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Employee Turnover Rate Definition, Formula &amp; 2024 Trends &#8226; Toggl Hire\" \/>\n<meta property=\"og:description\" content=\"Understanding your employee turnover rate is crucial to efficient hiring practices. 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