Labor Turnover

What is Labor Turnover?

Labor turnover is a key HR metric that tracks the rate at which employees leave an organisation, whether through resignation, retirement, dismissal, or other forms of separation, over a defined period. It is typically expressed as a percentage of the total workforce.

Why Labor Turnover Matters

High labor turnover can signal problems such as poor management, inadequate compensation, or low employee engagement, and it carries significant costs in recruitment, training, and lost productivity. HR teams analyse turnover data to identify patterns, address root causes, and develop retention strategies that keep valued employees in the organisation.