How to Calculate the Turnover Rate of Employees

Employee Turnover Rate Calculator

Measure your workforce retention and stability

Include all voluntary and involuntary departures during the period.

Calculation Results

Average Employee Count: 0

Turnover Rate: 0%

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Understanding Employee Turnover Rate

Employee turnover rate is a critical Human Resources metric that represents the percentage of employees who leave an organization during a specific period (typically a month, quarter, or year). High turnover rates can indicate issues with company culture, management style, or compensation structures, while a healthy turnover rate suggests a stable and growing workforce.

How to Calculate Turnover Rate Manually

To calculate the employee turnover rate, you need three primary data points: the number of employees at the beginning of the period, the number of employees at the end of the period, and the total number of people who left.

Formula:
1. Average Employees = (Start Employees + End Employees) / 2
2. Turnover Rate = (Separations / Average Employees) x 100

Example Calculation

Suppose a company started the year with 200 employees and ended with 210 employees. During that year, 15 people left the company.

• Average Employees: (200 + 210) / 2 = 205
• Turnover Rate: (15 / 205) x 100 = 7.31%

What is a "Good" Turnover Rate?

Benchmarks vary significantly by industry. While a 10% annual turnover rate is often considered excellent in corporate environments, industries like retail or hospitality may see average rates between 50% and 100%. Comparing your results against industry competitors is essential for an accurate assessment of your organizational health.

Strategies to Reduce High Turnover

If your turnover rate is climbing, consider these HR strategies:

• Improve Onboarding: Ensure new hires feel welcomed and prepared.
• Competitive Compensation: Regularly audit salary and benefits.
• Career Development: Provide clear paths for promotion and skill acquisition.
• Stay Interviews: Talk to current employees about why they choose to stay.

function calculateTurnover() { var separations = parseFloat(document.getElementById('separations').value); var startCount = parseFloat(document.getElementById('startEmployees').value); var endCount = parseFloat(document.getElementById('endEmployees').value); var resultDiv = document.getElementById('turnoverResult'); var avgSpan = document.getElementById('avgCount'); var rateSpan = document.getElementById('finalRate'); var analysisP = document.getElementById('turnoverAnalysis'); if (isNaN(separations) || isNaN(startCount) || isNaN(endCount) || startCount < 0 || endCount < 0 || separations < 0) { alert("Please enter valid positive numbers for all fields."); return; } var averageEmployees = (startCount + endCount) / 2; if (averageEmployees === 0) { alert("Average employee count cannot be zero."); return; } var turnoverRate = (separations / averageEmployees) * 100; avgSpan.innerText = averageEmployees.toLocaleString(); rateSpan.innerText = turnoverRate.toFixed(2) + "%"; resultDiv.style.display = "block"; var analysisText = ""; if (turnoverRate = 5 && turnoverRate 15 && turnoverRate <= 30) { analysisText = "Your turnover rate is moderate. It may be worth investigating if certain departments are experiencing higher exit rates than others."; } else { analysisText = "Your turnover rate is high. This can lead to significant recruitment costs and lost institutional knowledge. Consider conducting exit interviews to identify the root cause."; } analysisP.innerText = analysisText; }