Retirement and Financial

110+ Employment Turnover Statistics in 2024

A great onboarding process can make a significant difference in retention. Explore 120+ onboarding statistics that show how valuable this process can be for a company.
In This Post:

According to the latest employee turnover statistics, one-third of new employees quit after  six months on the job. Hence, employers are losing valuable talent and have to deal with hiring, training, and replacing workers on a regular basis.  

The increased turnover highlights one of the most significant issues in the workforce today. Forcing employers to focus on the things that make employees turn and walk the other way.  

Shortlister collected a staggering amount of data on this topic, with one specific purpose, to show how the great employment turnover is shaping the new generation of workers after the pandemic. 

General Employment Turnover Statistics

  • Only 33% of employees plan to stay in their current roles. This is less than the 47% who stated the same in 2019. (Achievers Workforce Institute, 2021) 
  • 52% of employees plan to look for a new job in 2021, a 35% increase from the previous year. (Achievers Workforce Institute, 2021)
  • One-seventeenth of employees are indecisive about leaving yet open to new opportunities. (Achievers Workforce Institute, 2021) 
  • In the U.S., 62% of manufacturing and maintenance workers depart voluntarily. (MRA, 2021) 
  • Employees in manufacturing, maintenance, service, and trade account for 28.4% of the total turnover. This is followed by office and technical workers, with 19.5%, managerial and professional workers with 14.3%, and executives with 7.7%. (MRA, 2021)
  • Companies with a clear mission have a 49% lower attrition rate than those that don’t. (Linked in, 2020) 
employee turnover statistics
  • Three-fourths of employees believe it’s vital to work for a company that supports charitable organizations and the local community. This is more of a priority for workers under the age of 40. (Jobvite, 2019) 
  • 36% of employees are deeply immersed and enthusiastic about their work. (Gallup, 2020) 
  • 13% of employees are actively disengaged, and 51% are mentally disconnected from their work and their organization. (Gallup, 2020) 
  • Enterprises with higher engagement levels have 18% lower turnover compared to companies that have lower engagement and  more than 40% turnover every year. (Gallup, 2020) 
  • Turnover and replacement expenses at a 100-person company with an average pay of $50,000 might be as high as $2.6 million per year. (Gallup, 2019) 
  • Almost three-quarters of businesses admit to employing the incorrect individual for the job, and each lousy hire can cost companies an average of $14,900.  (Careerbuilder, 2017)
  • 66% of workers have accepted a job only to discover they were not a good fit. Half of those who resigned did so within six months. . (Careerbuilder, 2017) 
  • Reduced turnover is crucial for a variety of reasons. The expense of replacing an employee is high. Individual employee replacement costs might range from one-half to two times the employee’s compensation. (Gallup, 2019) 
  • If a company loses an employee with an annual salary of $80,000, that can cost the company $160,000. (Gallup, 2019) 
  • Service workers, who tend to be younger, had the shortest median tenure, at 2.9 years. (BLS, 2020)
  • Foodservice workers had the shortest median tenure, at 1.9 years. (BLS, 2020)
  • The one-year milestone is a crucial point to consider while lowering turnover. Employees resign ten times more frequently after one year than after five years. (Octanner, 2018) 
  • The median number of years wage and salary workers have been with their present company is 4.1 years. (BLS, 2020)
  • Workers in the public sector have a longer average tenure, at 6.5 years. (BLS, 2020)
  • The median tenure of workers aged 55 to 64 is 9.9 years. That is more than triple the 2.8-year tenure of workers aged 25 to 34. (BLS, 2020)
  • In January 2020, 54% of workers aged 60-64 had been with their present company for at least ten years, compared to 10% of those aged 30-34. (BLS, 2020) 
  • A company can anticipate losing 6% of its workforce because of force reductions or termination due to poor performance on average. This is called involuntary turnover. (SHRM, 2017) 
employee turnover statistics
  • Every year, organizations lose 13% of their employees because they opt to quit on their own. (SHRM, 2017) 
  • The average annual turnover rate for outstanding performers is 3%. This figure is close to zero in the best-in-class organizations. (SHRM, 2017) 
  • Every year, a company’s personnel will endure an 18% turnover rate. (SHRM, 2017) 
  • Companies can   keep more than 75% of the personnel that left by providing  enhancements related to employee engagement. Training, career progression chances, and incentives encourage and fulfill workers and retain the most valuable personnel. (Workinstitute, 2019) 

  • Up to 48.1% of the employees in the U.S. are either currently looking or will be looking for a new job in the next three months. (Great Resignation Research Report, 2021)

  • Most of the employees who are looking for a new job (42.8%) are seeking new job opportunities outside of the organization they are currently working for. Up to 65.8% of them reported better work opportunities as their number one motivator. (Great Resignation Research Report, 2021)

  • On the other hand, 63.4% of employees said they would consider a new job within their current organization. (Great Resignation Research Report, 2021)

  • Most of the employees (61.7%) want their work to support their interests, values, and passions. (Great Resignation Research Report, 2021)

  • Up to 43.3% of workers reported feeling burnt out. (Great Resignation Research Report, 2021)

  • 34.9% of workers feel like they aren’t following their planned career trajectory. (Great Resignation Research Report, 2021)

  • The turnover rate for high performers in 2021 was 6.2%. (MRA, 2022)  
  • In 2022, between 4 to 4.5 million people voluntarily quit their job each month. (iHire, 2022) 
  • 17% of employees resign without finding a new job, while 32.9% search for new work while in their current position. (iHire, 2022) 
  • 37.6% of companies say they experienced significant turnover in the past year. (iHire, 2022) 
  • 73.5% of organizations say the turnover was due to voluntary quits and resignations. (iHire, 2022) 
  • 25.9% of employers had to deal with “quiet quitting.” (iHire, 2022) 
  • More than half of workers in HR (58%), technology (52%), and marketing roles (54%) are planning to look for a new job. (Robert Half, 2022) 
  • According to BLS, about 34.5 million individuals resigned in 2022. (BLS, 2023) 
  • 61% of workers have one foot out the door. (AWI, 2023) 
  • 38% of employees plan to look for a new job in 2023. (AWI, 2023) 
  • Throughout the next 12 months, 44% of respondents (and 69% over the following two years) anticipate moving to their next position. (ACCA, 2023) 
  • 55% expect to make an external move, white 32% plan to move within their company. (ACCA, 2023)
  • More than half of workers under 25 would like to take another role within the following year. (ACCA, 2023) 
  • GenZs and Millennials are likelier to change sectors in their next move than GenXs and Baby boomers. (ACCA, 2023) 

Employment Turnover & Covid-19

  • Employee turnover in small firms increased 20% in 2020. (Principal Financial Group, 2021) 
  • 97% of small businesses said the COVID-19 epidemic significantly influenced employee turnover. (Principal Financial Group, 2021) 
  • At the beginning of the pandemic, the total number of restaurant staff layoffs surpassed 5.5 million. (Restaurantbusinessonline, 2020) 
  • Almost half of the employees that worked from home will not return to employers that don’t provide remote work following COVID-19. (Pwc.com, 2021)  
  • 80% of full-time workers are expecting to work from home at least three times per week after COVID-19. (Pwc.com, 2021) 
  • 5.2% of workers quit independently because their employer imposed too many COVID-19 restrictions. (iHire, 2022) 
  • On the other hand, 4.3% resigned due to a lack of COVID-19 restrictions, making them feel unsafe. (iHire, 2022)

The Influence of Culture on Employee Turnover

  • During on-site interviews, 40% of candidates say that a recruiter’s communication skills significantly impact the business image, followed by appearance or personal style.  (Jobvite, 2019) 
  • The most common reason a potential employee disqualifies a company is witnessing rudeness to coworkers. (SHRM, 2023)
  • The importance of first impressions in the job is vital. On-site interviews are the leading cause of potential applicants falling out of the process, with 15% opting out after the visit. (Jobvite, 2019) 
  • Compensation is frequently cited as the no. 1 reason employees leave, but it’s only one component of the problem. It is the fourth on the list of reasons employees leave, trailing only professional advancement, work-life balance, and the employee’s boss. (Workinstitute, 2019) 
  • 26% of employees say they dread going to work every day. (SHRM, 2019)
  • Burnout, which is a significant cause of turnover, is exacerbated by toxic workplaces. According to a recent survey, 74% of respondents are feeling job burnout. An important cause of burnout is a lack of personal time. (Skyelearning, 2019) 
  • 40% of workers report working between eight and twelve hours every day. (Skyelearning, 2019)  
  • Almost half of those who concluded their job wasn’t a good fit cited hostile workplace culture. (Careerbuilder, 2017) 
  • 28% of workers who refused a job offer or left within the first 90 days blame company culture. The culture was identified as essential by nearly half of those with postgraduate degrees and children. (Jobvite, 2019) 
  • Over the last five years, culture-related turnover may have cost firms up to $223 billion. (SHRM, 2019)
  • 8% of employees want to change jobs in 2023 to find a better culture and value fit. (AWI, 2023) 

Employee Turnover & Onboarding Statistics

  • When asked about problems they encountered during onboarding, half of the new hires felt IT resolution was too slow, and 40% said receiving an answer from HR took too long. (Docs.wixstatic, 2019) 
  • After a good onboarding experience, 69% of workers are more likely to stay with the company for at least three years. (Octanner, 2018) 
  • Better onboarding, and mainly lengthier onboarding, leads to a shorter time to productivity for the new hire.  (Octanner, 2018) 
  • Employees in organizations with extended onboarding programs become skilled in their positions four months sooner than those in companies with shorter onboarding programs. (Octanner, 2018)  
  • Organizations with an effective onboarding process increase new hire retention by 82% and productivity by more than 70%. (Glassdoor, 2015)
  • Unclear and unreasonable job responsibilities are why 56% of candidates avoid a job opportunity. (Robert Half, 2022) 
  • Half the job seekers lose interest in a position due to poor communication with the hiring manager. (Robert Half, 2022)
employee turnover statistics

Managers' & Leaders' Influence on Turnover

  • 70% of CEOs who quit their companies do so voluntarily, while 30% do so involuntarily. (nbcnews.com, 2019) 
  • 68% of managers who resigned did so voluntarily, while 32% did so involuntarily. (nbcnews.com, 2019)
  • 72% of hiring managers say  they provide clear job descriptions, compared to 36% of candidates saying they received clear job descriptions. (HR Dive, 2016)
  • Employees who voluntarily leave their jobs claim  their manager or organization had the authority to prevent them from leaving. (SHRM, 2020) 
  • Employees claim that in the three months preceding their departure, neither their manager nor any other leader approached them about their job satisfaction or future with the company. (Gallup, 2019) 
  • Organizations that identify and educate the right people for managerial jobs generate approximately 48% more profit for their company than average managers. (Harvard Business Review, 2019) 
  • When it comes to employee engagement scores, managers account for 70% of the difference. On the other hand, managers suffer from high levels of burnout and low levels of engagement—the poll found that the loss in engagement for managers was the steepest. (Gallup, 2020) 
  • More than three-quarters of Americans believe their boss establishes the culture, while 36% believe their manager has team leadership skills. (Gallup, 2020) 
  • Workers in managerial and professional jobs had a median tenure of 4.9 years, with the longest tenures being in legal, architecture, and engineering roles. (BLS, 2020)

  • Up to 54% of employees believe that their employer doesn’t consider their aspirations and future interests into account. (Great Resignation Research Report, 2021)

  • 29.3% of workers believe their organization doesn’t support their professional development. (Great Resignation Research Report, 2021)

  • Consequently, up to 73.9% of high-performing employees believe there are better (and more) opportunities for them outside their current organization. (Great Resignation Research Report, 2021)

  • About half of the employees voluntarily left their jobs because they were unhappy with their managers and supervisors. Yet only 19.4% of employers say their employees gave this reason for resigning. (iHire, 2022)

The Effects of Pay, Recognition & Employee Development on Turnover

  • 23% of full-time employees are willing to accept a wage drop of more than 10% to work from home at least part of the time. (Ber.org, 2021) 
  • According to 68% of employees, their organization’s recognition program has a good impact on retention. (SHRM, 2018) 
  • The most common reason for employee turnover is a lack of opportunity for growth and development. 22% of workers depart for professional advancement. This figure has risen to 170% in the last decade. (Workinstitute, 2019) 
  • Approximately 94% of employees would stay at a company longer if it displayed a commitment to assisting them in their learning. (CNBC, 2019) 
  • Companies that provide better training have a 53% lower turnover rate. (Business.linkedin, 2020) 
  • Employee experience is becoming more critical, according to 96% of personnel professionals. (Business.linkedin, 2020) 
  • The primary purpose of their focus on employee experience, according to 77% of respondents, was to boost retention. (LinkedIn, 2020)
  • With higher levels of involvement, organizations have 43% less turnover. (Gallup, 2020)
  • Almost half of the employees left their employers because of unsatisfactory pay. However, only 34.5% of employers say employees cited low salaries as a reason for quitting. (iHire, 2022) 
  • 29.7% of workers quit voluntarily due to a lack of recognition and appreciation. (iHire, 2022) 
  • 28.5% left because they only had a few growth opportunities, and 23.9% resigned due to a lack of development opportunities. (iHire, 2022) 
  • 77% of those in tech roles consider leaving because of poor culture, and 72% due to low salaries and rewards. (ISL Talent, 2022) 
  • 79% of workers in tech roles voluntarily quit because of a lack of career progression. (ISL Talent, 2022) 
  • The main reason employees (28%) want to change jobs in 2023 is a lack of career progression and flexibility. (AWI, 2023) 
  • 13% consider looking for new work because of low compensation, and 9% cite not being recognized for their work as a primary reason. If they feel recognized, 57% of employees would be less inclined to take a call from a headhunter. (AWI, 2023) 
  • When workers are not recognized, they are 39% more likely to look for a new job. (AWI, 2023) 
  • The main issue why employees are more likely to make an external move is a lakc of career development and learning and growth opportunities.

Employee Turnover & Life Balance Statistics

  • Better work-life balance as a leading cause of turnover increased by 20% since 2013. (Workinstitute, 2019) 
  • The most common reasons for quitting in this category are scheduling and commuting, which has increased by 403% in the last decade. (Workinstitute, 2019) 
  • The most important perk for employees is health insurance, which is regarded as necessary by 72% of job searchers. (Jobvite, 2019) 
  • Snacks and free lunches are the most requested “extra” benefit, with 50% of respondents favoring them over a relaxed dress code and cell phone/internet subsidies. (Jobvite, 2019) 
  • U.S. organizations that support remote work have a 25% lower turnover rate. (PRNewswire, 2017)
  • 35.4% of workers voluntarily quit their jobs because of poor life-work balance. (iHire, 2022) 
  • 22% of workers who say they can work how they prefer will not look for a new job in 2023. (AWI, 2023)

Conclusion

While measuring employee turnover and retention is the first step to minimizing impact, the real work comes when businesses analyze these rates in their sector and determine what needs to change to enhance retention tactics. 

According to these employee turnover statistics, the most prevalent cause of high turnover rates is the lack of opportunities for employees to grow professionally or personally inside the company. Therefore, the most straightforward approach to avoid this is to provide continuous professional development programs that allow employees to access learning resources as needed. 

The circular economy is a new model of production and consumption that aims to keep resources in use for as long as possible. This involves designing products for durability, reusability, and recyclability. 

Companies are increasingly adopting circular economy principles to reduce their environmental impact and save costs.  

For example, Patagonia offers a repair service for its clothing, and some companies sell products as a service rather than selling them outright.  

As a result, companies retain ownership of the products and ensure that they are recycled or reused at the end of their life. 

Written by SHORTLISTER EDITORIAL TEAM

Recruiting Software

Browse our curated list of vendors to find the best solution for your needs.

View Companies

Stay Informed

Subscribe to our newsletter for the latest trends, expert tips, and workplace insights!

Share on facebook
Share on linkedin
Share on twitter

Related Posts

Culture Add vs. Culture Fit vs. Value Fit

Since the company’s culture has always been crucial in attracting and retaining talent, HR professionals might struggle with the dilemma: should they hire for culture add vs culture fit?

labor shortage

The Labor Shortage Problem

Explore the reasons behind the labor shortage in the US and the strategies to overcome this global problem. Gain insightful advice on how leading experts attract high-quality talent in a tight labor market.