Every owner of the company (regardless of the form of ownership, sphere of activity, number of branches and number of staff) wants his child to work without interruption and bring high profits. A competent leader knows that without stability in frames, good results are difficult to achieve.
Good helpers in monitoring the movement of personnel are different numerical indicators. One of the most popular is the retirement rate of personnel, the turnover rate. They reflect the movement of personnel in the organization. In practice, the turnover index is calculated more often.
Staff turnover ratio: formula for calculating
Calculate it under a specialist with any experience. For calculations, a formula is provided.
The turnover rate with its help is quite simple to determine. The formula is as follows:
- CT - the turnover rate;
- Ku - the number of laid-off workers (on their own and for violations);
- CHSR - the average number of staff.
Data for calculation is taken for the same period. All values used are typical for each company, which makes this formula universal for all types of organizations.
How often is it necessary to calculate the turnover rate? It can be counted once a year and track how the situation changes: its value increases or decreases. This allows you to analyze and identify the causes of dismissal of personnel.
What does the indicator value mean?
The turnover rate depends on the adaptation of employees. If at the end of the analysis it is revealed that frequent dismissals occur within a short period after a person is hired, then the problem is in an improperly developed adaptation system, as a result of which the new employee cannot join the team. No less rare is mobbing. That is, the team has a negative attitude to the new colleague and is trying in every possible way to “survive” it. These are the most common causes of high turnover among newcomers.
The indicator can be calculated by units. In this case, the turnover rate helps to identify the shortcomings of department heads and unsuccessful innovations for employees. In the latter case, there will be a gradual increase in the number of layoffs after the introduction of changes. In turn, this speaks of dissatisfaction with their duties, and this can be changed by contacting employees (for example, by voting, interviewing or general meeting).
Norm for enterprises
The turnover rate, the formula for calculating which is presented above, has its normative value. If it fluctuates between 3-5%, then the organization’s management has nothing to worry about. It speaks of the natural renewal of staff, and not of problems in the management or team.
If the turnover rate is much more than 5%, then this is a reason to take drastic measures to stabilize the situation with the staff. If this issue is not paid attention, then in the future the company may have problems with further development. In the worst case, the company may complete its activities. Continuous staff renewal does not contribute to good work, but, on the contrary, reduces its pace through continuous training.
Do not forget that the high turnover rate - it is financially very expensive. The company needs to post recruitment announcements, cooperate with recruitment agencies, conduct interviews, define probationary periods that not everyone can pass.
Measures to reduce employee turnover
As such measures it is difficult to recommend something, except for general suggestions:
- Improved adaptation system. Allow new employees to quickly get used to the work and team. Reduce the likelihood of leaving the employee in the first year.
- Convenient schedule. A working day of standard length, lunch break and technical breaks during the day.
- Material incentives. Bonus on the results of work, before the holidays, at the end of the year or an important project.
- Intangible stimulation. Honor board with photos of the best employees of the week, etc.
- Attentive attitude to the problems of employees. Work is always above all, but employees are still people, and sometimes they also need help or the opportunity, for example, to leave early once a week.
- Team building activities. Corporate events, thematic meetings, fairs, sporting events. People should communicate on equal terms, which will provide an opportunity to get to know each other better and work together faster.
- The prospect of career growth for everyone. Opportunity to get a promotion to any employee, and not just from those close to the authorities.
- Improving working conditions. Modern technology, licensed programs, the possibility of obtaining technical support, the timely provision of office supplies.
Each company develops its own events. You can learn about what the team wants, in a quick and easy way of anonymous questioning.
Fighting problems that at first glance cannot be solved
In some regions, the main reason for layoffs is the need for housing. Not every company can provide a place in a hostel, not to mention an office apartment or house. Such problems should be solved, of course, not at the level of the company's management, but rather in the administration of a city or a subject of the federation. In this case, such an option of material incentives for employees, as partial (or full - depending on the budget of the company) payment of rental housing may work.
In any case, do not ignore the value of the coefficient under consideration, so as not to jeopardize the work of the organization. All correctly chosen and introduced measures will allow to bring the staff turnover rate back to normal, which will ensure stable profits, well-coordinated work of the team and lower costs for searching, recruiting, hiring and training new employees.