What is employee turnover ?

Definition

Employee turnover is the rate at which employees leave their jobs. It can be high, but it can also below, depending on the situation. In general, companies want employee turnover to be as low as possible. With the cost of hiring and training someone new rising, companies are under pressure to keep their costs down. When an employee leaves their job, companies face the added cost of training a replacement. It can cost a company thousands of dollars to replace an employee. To keep their costs as low as possible, companies will take whatever measures they can to reduce the employee turnover rate. The employee turnover rate is a key metric that HR professionals monitor. It shows how many employees quit their jobs compared to how many were hired. It can be used to explore employee retention and to benchmark your company's performance.