Calculate your company's employee turnover rate by entering your employees at start of period, employees at end of period, and number of employees who left. Your turnover rate percentage is calculated instantly using the standard HR formula, giving you a clear benchmark to evaluate workforce retention.
Turnover Rate
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Average Number of Employees
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Retention Rate
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Benchmark Assessment
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Employee turnover rate is the percentage of employees who leave an organisation over a given period of time. It's a key HR metric because high turnover can signal issues with workplace culture, compensation, or management, and it directly impacts recruitment costs, productivity, and team morale.
The standard formula is: Turnover Rate = (Number of Employees Who Left ÷ Average Number of Employees) × 100. The average number of employees is calculated as (employees at start + employees at end) ÷ 2. For example, if 9 employees left and the average headcount was 91, the turnover rate is (9 ÷ 91) × 100 = 9.89%.
A turnover rate below 10% per year is generally considered healthy for most industries. However, what counts as 'good' varies significantly by sector — retail and hospitality typically see rates of 30–40%, while professional services may aim for under 10%. Comparing against your industry benchmark is always recommended.
Not necessarily — it depends on your industry. A 15% annual turnover rate is around the global average for many sectors, so it could be considered normal. However, if your industry benchmark is significantly lower, it may indicate underlying retention issues worth investigating.
Average turnover rates vary by industry and region. Globally, the average annual employee turnover rate sits around 10–15%. Sectors like technology, retail, and hospitality tend to have higher rates, while government and education typically experience lower turnover.
Turnover rate measures the percentage of employees who left during a period, while retention rate measures the percentage who stayed. Together they sum to 100% — if your turnover rate is 12%, your retention rate is 88%. Both metrics are useful for assessing workforce stability.
Common strategies include offering competitive compensation and benefits, providing career development opportunities, fostering a positive workplace culture, and conducting regular employee engagement surveys. Exit interviews can also reveal specific reasons employees leave, helping you address root causes.
Annual turnover rate is the most widely used benchmark and makes it easier to compare against industry data. Monthly calculations are useful for spotting trends or seasonal patterns, particularly in industries with high seasonal staffing fluctuations. Most HR professionals track both.