Employee Turnover Rates Mostly Higher in 2016
MSEC asked employers to report their employee turnover rates in the annual HR Metrics Survey (formerly titled Personnel Pulse Survey). This survey contains information from 10 Arizona, 192 Colorado, 44 Utah, and nine Wyoming organizations. Most geographic locations reported a higher turnover rate for 2016 than previously reported for 2015. The exceptions were Colorado Springs, Pueblo, Colorado Resort Areas, and Utah where the turnover rates decreased. Listed below are the 2015 and 2016 turnover rates displayed by geographic areas.
Participants were asked about the employees that left voluntarily (“Employee Initiated”) and the reasons given for their decision to separate from the organization. According to the survey, the top three reasons employees leave their jobs are:
There is not much employers can do about losing employees because of relocation. Nonetheless, employers can take steps to reduce the turnover rate of employees taking new jobs by reviewing their applicant screening process, orientation process, and pay and benefits to see if changes to those policies might keep employees from leaving the organization for another position.
In addition to asking employers about separation rates, we also asked about the average length of service of their separated employees. The following chart shows the average length of service for nonexempt and exempt employees who left the organization.
We have looked at lots of survey data related to employee separation. Now let’s turn the focus to current employees. This next chart shows the average tenure of current employees in the organization. These data are displayed by geographic location and exempt and nonexempt employees. As shown in the chart, Utah and Wyoming have the highest overall tenure for all employees at an average of 7.9 years.
For more in-depth information on turnover, tenure, job absence, and cost of benefits, please see the full report of the 2017 HR Metrics (formerly Personnel Practices) on the MSEC website.