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Organizational Employee Turnover Assessment - Introduction


While there is some employee turnover that may be healthy for organizations, excessive employee turnover can be extremely costly and will negatively impact revenues and profits.  Experts agree that an organization can come surprisingly close to estimating the cost of a single turnover event by simply multiplying the annual salary for the position by a factor of 2.5.  This cost includes reduced productivity, recruiting and hiring expenses, new employee training, increased liability, and higher unemployment taxes.  While the direct costs associated with turnover are high there are other intangible expenses the organization may experience as well such as:

  • The company’s reputation in their marketplace is damaged by high employment turnover
  • Customers are negatively impacted while waiting for replacement employees then having to work with newly hired employees who are not fully trained and proficient
  • The negative impact on the company’s ability to attract and hire high performing individuals in a competitive environment due to the reputation for high employee turnover

 Human Resource Service’s Organizational Employee Turnover solution provides answers to important questions such as:

  • Why employees have left or intend to leave the organization?
  • Which employees are most likely to leave and why?
  • How can your company become an employer of choice?

The results are tailored strategies that will provide the information and actions necessary to reduce employee turnover and diminish the cost of this expensive problem.


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