Dear Members, Hope you are doing good. I need to work on an attrition report. How do we calculate YTD attrition rate? Regards, Adhip
From India, Bangalore
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1From India, Bangalore
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While calculating the attrition formula, both confirmed and probationary employees are considered. Yes, absconding employees are also included. Attrition is calculated for all employees who leave the organization, regardless of the reason—whether they absconded or were terminated, etc.
Formulas for Attrition Calculation
There are three formulas used for attrition calculation: Monthly Attrition Rate, Annual Attrition Rate, and Annualized Attrition Rate.
Monthly Attrition Rate
Monthly Attrition = (No. of Employees left in Current Month / Avg Headcount) * 100
{Average HC = (Employee Strength at the Start of the month + Employee Strength at the end of the month) / 2}
Annualized Attrition Rate
In the case of Annualized attrition calculation, based on the current attrition trend, the prospective annual attrition is calculated. For example, if we are calculating annualized attrition for June, then,
Annualized Attrition = (Sum of employees left in the last 6 months) * (12/N) / (Avg HC of last 6 months)
N is the number of months, here it is 6 since June is the 6th month of the year.
When the above formula is used at the end of the year, the rate is called Annual Attrition as it provides the actual attrition of the specific year.
Hope this will solve your problem.
Regards,
S. Mohd. Shuaib
HR Consultant
[Phone Number Removed For Privacy Reasons]
From India, Mumbai
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Formulas for Attrition Calculation
There are three formulas used for attrition calculation: Monthly Attrition Rate, Annual Attrition Rate, and Annualized Attrition Rate.
Monthly Attrition Rate
Monthly Attrition = (No. of Employees left in Current Month / Avg Headcount) * 100
{Average HC = (Employee Strength at the Start of the month + Employee Strength at the end of the month) / 2}
Annualized Attrition Rate
In the case of Annualized attrition calculation, based on the current attrition trend, the prospective annual attrition is calculated. For example, if we are calculating annualized attrition for June, then,
Annualized Attrition = (Sum of employees left in the last 6 months) * (12/N) / (Avg HC of last 6 months)
N is the number of months, here it is 6 since June is the 6th month of the year.
When the above formula is used at the end of the year, the rate is called Annual Attrition as it provides the actual attrition of the specific year.
Hope this will solve your problem.
Regards,
S. Mohd. Shuaib
HR Consultant
[Phone Number Removed For Privacy Reasons]
From India, Mumbai
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Calculation of Attrition Rate.doc
ATTRITION CALCULATION.pdf