It's the beginning of a new year, and you know what that means: it's time for your annual company-wide turnover analysis. You've been with the company for years, and you've seen firsthand how each new year brings changes. Some employees move on to new opportunities, while others are promoted or transferred to new roles.

This year, you want to take a closer look at the turnover data to see if there are any trends that you can identify. You'll also be looking at ways to reduce turnover in the coming year.

What is turnover?

Turnover is the percentage of employees who leave an organization during a given period of time. The turnover rate is usually calculated on a yearly basis.

Why is turnover important?

Turnover is important because it can have a significant impact on a company's bottom line. High turnover rates can lead to increased costs, decreased productivity, and a loss of institutional knowledge.

What are the main types of turnover?

There are two main types of turnover: voluntary and involuntary.

Voluntary turnover is when an employee chooses to leave an organization, usually because they've accepted a position at another company. Involuntary turnover is when an employee is let go by the organization, usually for performance reasons.

What are the most common reasons for turnover?

The most common reasons for turnover are:

• Job dissatisfaction
• Poor work/life balance
• Lack of career advancement opportunities
• Poor compensation
• Toxic work environment

What are the consequences of high turnover?

High turnover can have a number of consequences, including:

• Increased costs: It can cost up to twice an employee's salary to replace them.
• Decreased productivity: It can take up to six months for a new employee to reach the same level of productivity as a departing employee.
• Loss of institutional knowledge: When long-time employees leave, they take with them valuable knowledge and experience that can be difficult to replace.

How can you reduce turnover?

There are a number of ways to reduce turnover, including:

• Conduct regular stay interviews: Stay interviews are a way to proactively identify employees who may be at risk of leaving.
• Offer competitive compensation and benefits: Make sure your employees are being paid fairly and have access to good benefits.
• Invest in employee development: Provide opportunities for employees to grow and develop in their careers.
• Promote a positive work/life balance: Encourage a healthy work/life balance for your employees.
• Create a positive work environment: Make sure your employees are happy and engaged in their work.