Dear Folks,
Today, as I calculated the monthly employee attrition, we got it as 11%. However, my seniors said it's too high as the annual attrition rate is usually calculated differently. Could you please explain how the annual attrition rate is calculated and its significance? I usually calculate monthly employee attrition as (number of employees resigned / existing employees on roll) * 100. But I am unsure about the calculation and importance of the annual attrition rate.
An early reply is greatly appreciated.
Regards,
Raul
From India, Madras
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2Today, as I calculated the monthly employee attrition, we got it as 11%. However, my seniors said it's too high as the annual attrition rate is usually calculated differently. Could you please explain how the annual attrition rate is calculated and its significance? I usually calculate monthly employee attrition as (number of employees resigned / existing employees on roll) * 100. But I am unsure about the calculation and importance of the annual attrition rate.
An early reply is greatly appreciated.
Regards,
Raul
From India, Madras
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Dear Raul,
Attrition rate (Annual) = (No. of employees left in the year / Average number of employees in the year) * 100.
Average number of employees = (Opening Head Count + Closing Head Count) / 2.
Hope this resolves your query.
Thank you.
From India, Mumbai
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Attrition rate (Annual) = (No. of employees left in the year / Average number of employees in the year) * 100.
Average number of employees = (Opening Head Count + Closing Head Count) / 2.
Hope this resolves your query.
Thank you.
From India, Mumbai
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Hi,
Please find the formula for the calculation of Attrition Rate:
Attrition Rate = (Number of Attritions * 100) / (Actual Employees + New Joinees) / 100
Closing Head Count = Opening Balance + New Joinees - Separations
Opening Balance = Last month's closing balance
Annual Attrition Rate: Average of all months' monthly Attrition %
Thank you.
From India, Madras
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Please find the formula for the calculation of Attrition Rate:
Attrition Rate = (Number of Attritions * 100) / (Actual Employees + New Joinees) / 100
Closing Head Count = Opening Balance + New Joinees - Separations
Opening Balance = Last month's closing balance
Annual Attrition Rate: Average of all months' monthly Attrition %
Thank you.
From India, Madras
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Calculation of Attrition Rate.doc
Attrition-rate. xls