Employee Retention Rate Calculator
Measure how much of the original employee cohort remains.
Measure departures as a percentage of average employee headcount for the selected period. This is workforce turnover, with internal transfers excluded, rather than business revenue or automatically annualised turnover.
Employee turnover measures departures relative to the average workforce exposed during the same observation period. The calculator accepts a known average or calculates one from equally spaced headcount observations, without silently annualizing a shorter period.
Use the supplied positive average, or sum the non-negative whole headcount observations and divide by their count. An all-zero workforce cannot provide a valid denominator.
Divide the departure count by the average headcount for the same period and multiply by one hundred.
The breakdown shows the denominator and observation-period label. These are essential to interpreting the rate and comparing it with another workforce or year.
Sample inputs demonstrate the method. They are not a forecast or product offer.
The first example records twelve departures with an average workforce of 100. Twelve divided by 100, multiplied by one hundred, gives 12% turnover. The default observation label is twelve months; the arithmetic does not introduce an additional annualization factor.
Sample inputs demonstrate the method. They are not a forecast or product offer.
Sample inputs demonstrate the method. They are not a forecast or product offer.
Turnover can exceed 100% when replacements also leave during the period. That is possible because departures are events across time, not solely members of one starting cohort.
This measure differs from retention and from business sales turnover. A meaningful comparison needs matching employee populations, time spans and departure definitions.
Calculate staff turnover from departures and the average employee headcount during the same period.
This measures permanent staff departures from the organisation, excluding internal transfers, not business revenue. Average headcount may be calculated from regular observations; the starting headcount alone may be misleading when staffing changes.
Read our calculation and testing approach.