A high employee attrition rate can signal underlying problems within your organization, such as low morale, lack of career development opportunities, or inadequate compensation. By tracking attrition, you can identify these issues before they lead to a mass outflow of talent. Employee attrition measures the percentage of employees leaving a company within a specific timeframe, typically a year. It reflects the natural attrition of your workforce due to departures, for personal or professional reasons, like resignations or retirements, without considering replacements.
- It can take a long time to fill positions (especially specialized roles), and if you leave these key positions empty, it can become difficult to fill these positions later.
- It also aids in strategic human resources (HR) processes, such as workplace planning, succession planning, labor cost management, employee engagement, and recruitment.
- In other cases, mismanagement or diminished career development prospects might make certain departments unappealing.
- At…