The Real Costs of Employee Turnover

Jan 29, 2016 6:45:00 PM / by Involvesoft Marketing

Reducing the Cost of Employee Turnover

Lost Employees are Costing You

Off-the-shelf estimates of employee turnover costs suggest each entry-level position turnover costs you 50% of salary; mid-level at 125%; and senior executive over 200%. If you have not been trapped under a refrigerator for the last several years, you've been tasked with calculating your employee turnover costs. What are you doing about it?

It's not just turnover, it's lost sales and profits.

Creating a strong linked chain between each employee and your company's mission can reduce turnover and have significant other economic benefits. According to Gallup, highly engaged workplaces see 20% higher sales, 21% increase in overall profitability, 10% better customer ratings and up to 67% lower turnover. Combine that with the dollars above and that is serious business.  

Yet companies aren't acting, or nearly as much as they should. Are there many more initiatives that impact the top AND bottom line as much as employee engagement?

Your employees want to help (and they want to stay)

We hear about how hard it is to get an employee engagement initiative started, but it's quite likely that your employees want such a program, even if you don't know it. Kara Barry of Essilor told us in a recent webinar that their 8,500 employees told leadership in a survey that they wished to be more directly connected to the company's mission. They've since contributed 800 volunteer hours directly to their mission, which resulted in direct impacts to recruiting, retention, engagement, and brand impact. 

So what's stopping you?

 

Learn how to keep your employees engaged and loving where they work by establishing a proper employee engagement plan. Request a demo to seek the benefits of low-costing employee turnover.  

Download Now - Employee Engagement Whitepaper

Topics: Employee Engagement, Reducing Employee Turnover, Employee Retention