Unified Metrics Library - Employee turnover rate

Helper question

What was the employee turnover rate, during the period?

Summary

Employee turnover is the percentage of employees leaving an organization during a given period. Organizations typically calculate turnover rates annually or quarterly.

Unit

%

Description

The employees play a significant role when it comes to the social pillar of a business. The high rate of employee turnover is essentially a negative indicator that can indicate levels of uncertainty and dissatisfaction among employees.

Regulatory Definition

Employee turnover is the definition of the employees who leave the organization voluntarily or due to dismissal, retirement, or death in service.

Computation

"Turnover rate" = "Number of employess who left the company" / "Total number of employee at start of period" xx 100

Sources

Examples

If an organization start the year with 200 employees, and during the year, 10 people terminate their contract, turnover is 10/200 = 0.05, or 5%.