Employee Turnover Audits

Turnover costs are important to understand. They are often quite large, which opens up the doors of opportunity for optimization and cost savings.

We offer a complimentary audit of your turnover costs to help you grasp this part of your business. This also establishes a meaningful, quantifiable frame of reference for evaluating potential solutions.

Some turnover costs are obvious while others remain hidden away from sight. Our approach is to consider and uncover all potential costs, then show you how your organization is being impacted by them. It is important to us to fully understand your perspective and leverage any existing data you have during this process.

Typical Costs

Request a Quote

Management Time

When turnover occurs, management loses precious time. For instance, managers must redistribute work across teams, reassign priorities, schedule overtime, and fill in for the gap. Since most managers receive higher salaries, the cost of this time adds up quickly. The loss of productivity and progress on pending projects is also a top concern for managers in this situation.

Administrative Time

When employees leave, administrative staff members spend many hours on the separation process, researching/hiring search firms or temp agencies, developing job ads, screening resumes, conducting interviews, and checking references. High turnover rates can even lead to the need to recruit additional administrative personnel, which is very costly.

External Costs

Hard costs are associated with hiring a search firm or temp agency, purchasing advertising space, conducting background checks, and performing drug screenings. Added to this are the hard costs of scheduling overtime or additional shifts, legal costs (if any), plus any severance pay issued.

Onboarding & Training

Training new employees requires a significant investment of time from everybody – administration, management, and members of the new employee’s team. Many firms also consider the new employee’s salary and benefits a hard cost for the first 6-12 months of employment, due to lowered productivity during their ramp-up phase.