{"id":6769,"date":"2010-07-19t05:02:09","date_gmt":"2010-07-19t09:02:09","guid":{"rendered":"https:\/\/48e130086c.nxcli.net\/?p=6769"},"modified":"2024-08-14t11:29:51","modified_gmt":"2024-08-14t15:29:51","slug":"the-cost-of-staff-turnover","status":"publish","type":"post","link":"\/\/www.g005e.com\/2010\/07\/19\/the-cost-of-staff-turnover\/","title":{"rendered":"the cost of staff turnover: $32,500"},"content":{"rendered":"

lose people, lose money<\/strong><\/p>\n

how much?<\/p>\n

the aicpa’s mark koziel and heidi brundage figure it this way:
\n<\/p>\n

even using conservative assumptions, a firm could easily spend $32,500 to replace a team member. some assumptions used in this example are for a midsize firm with $1 million annual profits and an average salary of $60,000. our assumptions provide a low turnover cost compared with some firm estimates. yet you can still see, given the 20% to 25% annual turnover rate many firms experience, how reducing annual turnover to 5% to 10% could boost profits.<\/p>\n

in the last year some firms have been through staff reductions that kept turnover in the 20% to 25% range they were accustomed to. while there may have been a short-term savings in payroll, you can see that the long-term costs of turnover directly affect profits.<\/p>\n

\"the<\/a><\/p>\n

**turnover costs are based on a one-year operating assumption.<\/p>\n

note: the assumptions and cost per employee are based on simplistic calculations for illustrative purposes only.<\/p>\n

via retaining top talent still a requirement for firms<\/a>.<\/em><\/p>\n