Avoid the Five Costs of Unplanned Turnover Among Top New Hires

When my phone rings, there is often a very anxious business leader on the other end of the phone. They will sometimes start rattling off numbers, but usually the message is simple: “Turnover among our new employees is up. Help!”  These leaders are often desperate, and they’re right to be. Turnover is always costly, time-consuming, and stressful for everyone involved.

But turnover among new hires is extremely costly, for five reasons:

Replacement costs. When you lose an employee, you will incur the costs of recruiting, on-boarding, and up-to-speed training for a replacement. Lost ROI. You will lose (often to your competitor) the recruiting, on-boarding, and up-to-speed training investment you have made in the departing employee. When you lose a relatively new employee, the loss of the training investment is exacerbated because employers spend the bulk of their training investment in the first stages of a new employee’s employment. And the sooner a new employee leaves after…