Dear All, Can anyone please guide me on how to calculate attrition rate. What is the standard formula used for attrition analysis.
From India, Kolkata
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1From India, Kolkata
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hi Standard formula is no of left employees/total strength*100 will give you the attrtion percentage.
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Hi Attached pl. find herewith format for calculating attrition rate. Regards Rajendra Bhavsar Manager (P&A) Afcons Infrastructure Ltd. CMRL Project, Chennai 8754543347
From India, Mumbai
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From India, Mumbai
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Hi, As per my knowledge the attrition formula shall be : No. of employees left/Average no. of employees*100 Regards
From India
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From India
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Hello All,
For attrition rate, the formula is the number of employees who left divided by the average of the total employees at the start of the month and the total number of employees at the end of the month, multiplied by 100. For employee turnover, it is the number of employees who left divided by the total number of employees at the end of the month, multiplied by 100 (in case we calculate it on a monthly basis).
Thanks
From India, Pune
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For attrition rate, the formula is the number of employees who left divided by the average of the total employees at the start of the month and the total number of employees at the end of the month, multiplied by 100. For employee turnover, it is the number of employees who left divided by the total number of employees at the end of the month, multiplied by 100 (in case we calculate it on a monthly basis).
Thanks
From India, Pune
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The attrition formula is A/(B+C-A)*100.
Attrition Formula Explanation
Where:
- A = Number of employees who left in the month
- B = Number of employees on the 1st day of the month
- C = Number of newly joined employees during the month
The formula is: Number of employees who left in the month / (Number of employees on the 1st day of the month + additions during the month - employees who left) * 100.
Yearly Calculation
For yearly calculation: Number of employees who left during the year / (Number of employees on the 1st of January + additions during the year up to 31st December - employees who left during the year) * 100.
Regards
From India, Namakkal
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Attrition Formula Explanation
Where:
- A = Number of employees who left in the month
- B = Number of employees on the 1st day of the month
- C = Number of newly joined employees during the month
The formula is: Number of employees who left in the month / (Number of employees on the 1st day of the month + additions during the month - employees who left) * 100.
Yearly Calculation
For yearly calculation: Number of employees who left during the year / (Number of employees on the 1st of January + additions during the year up to 31st December - employees who left during the year) * 100.
Regards
From India, Namakkal
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Dear Members, can you please guide me on whether we should consider the employees present for the month or the actual number of positions when calculating the attrition each month?
Example Scenario
For example, if a department has 10 positions, should the opening balance be 10 for every month, or should the closing balance of the previous month be the opening balance of the next month?
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K. Lakshme Devi
From India, Pondicherry
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Example Scenario
For example, if a department has 10 positions, should the opening balance be 10 for every month, or should the closing balance of the previous month be the opening balance of the next month?
Regards,
K. Lakshme Devi
From India, Pondicherry
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Suhanidutta, You can use attached document to calculate attrition for the desired period. Formula = Relieved members / Average( Opening headcount & Closing headcount) Thanks
From India, Bangalore
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From India, Bangalore
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You can do it in two ways. In my view, attrition is of two types: monthly attrition and annual attrition. However, you will always be more interested in annual attrition. For that, you may annualize each month's actual attrition to reach the average attrition at the end of the year. This will give you the correct picture throughout the year, and you can keep an eye on the end figure of annual attrition. It's just like the run rate per over in cricket, so that at the end of 50 overs, you know what your total score will be.
Formula for Annualized Attrition
One formula we may use is:
(Total employees resigned / average headcount) * (12 / number of months you have completed in that financial year) * 100
To explain, suppose after the end of 4 months, the total number of resignations is 200. The total headcount in these 4 months is 3000, 3050, 3075, 3065. So, the annualized attrition will be (200 / 3047) * (12 / 4) * 100 = 19%.
That means your attrition after 4 months is 19%, and after 12 months will be 19%. Next month, you can check considering 5 months and see if it has increased or decreased.
From India, Chennai
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Formula for Annualized Attrition
One formula we may use is:
(Total employees resigned / average headcount) * (12 / number of months you have completed in that financial year) * 100
To explain, suppose after the end of 4 months, the total number of resignations is 200. The total headcount in these 4 months is 3000, 3050, 3075, 3065. So, the annualized attrition will be (200 / 3047) * (12 / 4) * 100 = 19%.
That means your attrition after 4 months is 19%, and after 12 months will be 19%. Next month, you can check considering 5 months and see if it has increased or decreased.
From India, Chennai
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You can do it in two ways. In my view, attrition is of two types: monthly attrition and annual attrition. However, you will always be more interested in annual attrition. To calculate this, you may annualize each month's actual attrition to determine the average attrition at the end of the year. This will give you the correct picture, and throughout the year, you can monitor the end figure of annual attrition. It's similar to the run rate per over in cricket, where you calculate your total score at the end of 50 overs.
Formula for Annualized Attrition
One formula we can use is:
(Total employees resigned / average headcount) * (12 / number of months completed in the financial year) * 100
To explain, suppose after the end of 4 months, the total number of resignations is 200. The total headcount in these 4 months is 3000, 3050, 3075, 3065. The annualized attrition will be (200 / 3047) * (12 / 4) * 100 = 19%.
This means your attrition after 4 months is 19%, and after 12 months, it will be 19%. Next month, you can check by considering 5 months to see if it has increased or decreased.
Different Approaches to Calculating Annualized Attrition
There are different ways to calculate annualized attrition from different schools of thought. Attrition is always calculated on an annual basis since we budget annually for the targeted numbers and the monetary loss incurred when someone leaves (recruitment costs, training costs, loss to the vertical due to productivity loss, etc.). There is also another analysis for measuring early attrition or assessing wrong hires.
Please find attached the month-on-month and annualized attrition tracker that you can use.
Regards,
Muddassir
Manager HR - Employee Engagement
From India, Delhi
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Formula for Annualized Attrition
One formula we can use is:
(Total employees resigned / average headcount) * (12 / number of months completed in the financial year) * 100
To explain, suppose after the end of 4 months, the total number of resignations is 200. The total headcount in these 4 months is 3000, 3050, 3075, 3065. The annualized attrition will be (200 / 3047) * (12 / 4) * 100 = 19%.
This means your attrition after 4 months is 19%, and after 12 months, it will be 19%. Next month, you can check by considering 5 months to see if it has increased or decreased.
Different Approaches to Calculating Annualized Attrition
There are different ways to calculate annualized attrition from different schools of thought. Attrition is always calculated on an annual basis since we budget annually for the targeted numbers and the monetary loss incurred when someone leaves (recruitment costs, training costs, loss to the vertical due to productivity loss, etc.). There is also another analysis for measuring early attrition or assessing wrong hires.
Please find attached the month-on-month and annualized attrition tracker that you can use.
Regards,
Muddassir
Manager HR - Employee Engagement
From India, Delhi
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(Fact Checked)-[response] (1 Acknowledge point)
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Hi, the attached attrition calculation will not be helpful to work out an exact report. For example, if the Open Head Count is 100, attrition is 50, and new joiners are 0, then the attrition rate will be 50% for the particular month. However, in your attachment, it is incorrectly calculated.
From India, Madras
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From India, Madras
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SAMPLE Employee Attrition Calculation sheet for FY 09-10 .xls
Calculation of Employee Turnover.doc
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(Fact Checked)-The correct method for calculating attrition rate is to consider the actual number of positions for the month, not the total number of positions. The closing balance of the previous month should be the opening balance of the next month. (1 Acknowledge point)