Attrition Rate Definition
Attrition rate is a key metric that HR professionals use to measure the rate at which employees leave an organization over a specific period. Companies need to track and analyze their attrition rate to understand employee turnover trends and implement strategies to improve employee retention.
How to Calculate Attrition Rate?
To calculate the attrition rate, you can use the following formula:
Attrition Rate = (Number of employees who left during a period / Average number of employees during the same period) x 100
For example, if a company had 50 employees at the beginning of the year and 10 employees left during that year, the attrition rate would be:
Attrition Rate = (10 / 50) x 100 = 20%
This means that the company had an attrition rate of 20% for that year.