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Attrition - definition and formula

Last post October 23, 2019 11:28 AM by debora. 1 repiles.

February 1, 2010 01:59 PM 1
Total Posts: 4
Join Date: January 10, 2010
Rank: Beginner
Post Date: October 23, 2019
Posts: 4
Location: India

Attrition - definition and formula

Attrition is the reduction in the number of employees through resignation,retirement and death.

Attrition rate is the percentage of people leaving the organization,people left i.e relative to total number of people who have worked for the organization under consideration.

O bal: 100

New joinees:50

left:30

Closing bal: 100+50-30=120

Attrition%=(30/120)*100

=25%

March 22, 2010 12:532
RBSAIADITHIYA
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Join Date: January 10, 2010
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Post Date: March 22, 2010
Points: 40
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Re: Attrition - definition and formula

HI

 

SHORT AND SIMPLE

TKS

 

March 23, 2010 01:153
G BALASUBRAMANIAN
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Join Date: January 10, 2010
Rank: Executive
Post Date: March 23, 2010
Points: 100
Location: India

Re: Attrition - definition and formula

Dear Friend,  Please go through our CHRM topic on your left side of the screen  You will get  plenty of formulas and explanation. Thanks. G Balasubramanian
September 21, 2010 02:424
SheenaB
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Join Date: January 10, 2010
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Post Date: September 21, 2010
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Re: Attrition - definition and formula

Hi there Mr RBSAIADITHIYA

Must compliment you on the formula! As Priya mentioned, its short & simple!

thank you... !

Regards

Sheena

 

October 23, 2019 11:285
debora
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Post Date: October 23, 2019
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Re: Attrition - definition and formula

 

Employee attrition rate is the percentage of employees who has left an organization over a certain period. It includes those employees who left voluntarily and involuntarily. Another employee attrition rate definition is that it is staff’s turnover. It is an indication of the capability of an employer to retain employees. Therefore, organizations need to calculate the attrition rate. Below it is one of the formulas used to calculate the rate.

Calculating the employee attrition rate

Deducing the employee attrition rate is easy. Let’s calculate the rate together by following the steps below.

1.     Calculate the average number of employees who worked in the organization throughout the year. Add the number of the employees who were present at the beginning of the year and those who were still working in the company at the end of the year. Divide the sum by two. For instance, if a company had 960 employees at the starting of the year and 940 at the end of the year, the average number of employees per year would be 960+940/2= 950

2.     Next, assess the number of employees who left the company in the year. Do so, by evaluating the previous year’s records. If your organization does not keep records on employees’ attrition, you can calculate the number of staff that left over the year. Assume 100 employees left the company.

3.     Then, divide the number of staff who left the organization during the year by the average number of employees in that year, to deduce the employee attrition rate. Continuing the example above, the employee attrition rate, in this case, would be 100/950*100=10.5%