staff turnover

Y-Negocios

2022

We explain what staff turnover is, its causes, consequences and types. The staff turnover rate formula.

Staff turnover is the change of employees in jobs.

What is staff turnover?

In business and administration, staff turnover is the measure of how much weather employees remain in the organization, that is, the flow of workers who enter and leave it for various reasons. It is called "rotation" because persons who occupy the positions change but the jobs remain relatively the same.

Staff turnover has different causes and can be interpreted in different ways. There is a necessary and natural margin of change in workers, as time passes.

However, when the same position is repeatedly vacant, that is, when it has a high turnover of personnel, there must be some reason why the workers do not last. Its correct detection, analysis and resolution can strengthen Human Resources (HR) of the business.

In addition, a company with high staff turnover will notice that it invests time, money and effort in training its workers for the position, and that then they leave, so a replacement must be found to retrain. This creates a cycle of loss of resources capitals and humans that should be studied and corrected as soon as possible.

Staff turnover formula

The staff turnover rate is a calculation that is carried out to find out how high or low the staff turnover is in an organization or company. Said index is determined based on the number of workers linked and separated during a given period of business operations, in relation to the total average number of personnel. This is:

Personal Turnover Index (IRP) = [(A + D) / 2 x 100] / (F1 + F2) / 2

Where:

  • A is the number of people hired in the period of time.
  • D is the number of people terminated in the same period.
  • F1 is the number of workers at the beginning of that period of time.
  • F2 is the number of workers at the end of that period of time.

Causes of staff turnover

The causes of staff turnover can be extremely diverse. Some are personal, that is, they depend on unpredictable events in the worker's life, and others will be due to the dynamic own company.

In any case, the causes must be sought when the rotation encompasses numerous jobs or when a single position fails to retain its employee long enough. That is, when people do not want to stay in a company, or the company cannot find the person who will hold the position.

Usually this situation is due to personnel selection problems (the right workers are not arriving for the position), Organizational structure (the position is excessively demanding or impossible to fill) or direct supervision (a boss who fires all his employees), etc.

Consequences of staff turnover

High staff turnover requires constant training of new employees.

Too high a turnover of staff can mean the loss of material and human resources before the company can recoup its investment. training of your employees. In the long term, it involves little handling effective of your monetary resources.

In addition, this impacts the work environment, since from time to time there is a person new to get used to and leads to a loss of trust in the employer by employees. In addition, it allows leakage of information corporate and little sense of belonging.

Types of staff turnover

There are two types of staff rotation: involuntary and voluntary.

  • Involuntary staff turnover. It refers to the departure of workers for reasons beyond their control, such as retirement, dismissal by a superior, etc. It is usually an indicator of problems in the personnel selection or evaluation mechanism.
  • Voluntary staff turnover. It occurs when the worker consciously quits work, that is, when it is he who take the decision to leave. Obviously in this case the reasons for the rotation can be very diverse, but if it is recurrent, in general it accuses some kind of failure in the organization, since the workers leave for specific reasons:
    • The pay is below the market average.
    • The work environment is physically or emotionally harmful.
    • Work demands are not pre-established or are unattainable.
    • The organizational structure is not adequate for a harmonious performance of the position.

According to other classifications, one can speak of avoidable and unavoidable turnover (in the same terms); or functional and dysfunctional rotation, where the first term measures skilled workers with high performance, while the second with very low performance.

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