Attrition Rate
Attrition rate is used to reflect the rate at which employees turnover in an organization in a given period of time, usually in the form of a percentage. A high rate of attrition may be an indication of dissatisfaction, lack of engagement, and healthy job markets, and a low rate indicates stability and effective retention plans.
Attrition tracking assists the HR and management in determining the health of the workforce and problem areas, as well as optimising employee retention programs. Organizations often compare attrition rates of different departments in order to predict future staffing and use proactive talent management.
Attrition rate formula
The formula for calculating attrition rate is: (Number of Employees Who Left / Average Number of Employees) x 100
Examples of Attrition Rate
The attrition rate of the company has increased significantly following the restructuring last quarter.
HR monitors the attrition rate in order to establish the trend of employee turnover.
A low attrition rate is a sign of high engagement and retention strategies.
Synonyms
- Turnover Rate
- Employee Churn
- Staff Turnover
- Employee Attrition.
« Back to Glossary Index
