The True Cost of Turnover
Many organizations either do not try to calculate the cost of employee turnover or, if they do, they find that it is not a simple calculation, especially since these costs don't appear as a line item in their financial statements.
Via Insightlink Communications
Have you ever done a cost analysis of the employee turnover - both employees who leave because they are disengaged and dissatisfied and the ones you fire because you made a hiring mistake?
Investing in improving your hiring and retention processes can have a dramatic cost implication - lost revenue, dissatisfied customers, non-renewal of agreements, new business that goes to your competitors, rework, poor quality, and lower than average productivity.
I'll bet once you put a dollar figure on the cost of turnover, you'll find it very easy to justify the time and investment to improve how you hire and retain people.