Understanding Employee Retention: Formulas and Research Insights - CiteHR

Hi, i am looking for "employee retention rate formula". or if some can guide me how to calculate it Regards, Ehtesham
From Pakistan, Lahore
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Hi,

The formula for Employee turnover rate / attrition rate is: (No. of employees leaving / left the org. / Average no. of employees for the period) x 100.

The formula for Employee retention rate is: (No. of employees present (with more than one year of exp) / Average no. of employees for the period) x 100.

Please correct me if I am wrong.

Thanks & Regards,
Narendra

From India, Hyderabad
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Here is the retention rate formula:

Retention Rate Formula

% Retention Rate (RR) = 100 - [ {(S - (UT + BT)) / AE} x 100]

Where:
- RR = Retention Rate
- S = Total number of terminations from whatever cause (In effect, this means the total number of employees that have left the company for whatever reason)
- UT = Unavoidable terminations (i.e., retirements or long-term illness)
- BT = Beneficial terminations (i.e., sometimes those staff that do leave provide benefit to the company by virtue of leaving, for example, underperformers)
- AE = The average number of employees working for the company during the same period as calculated; this should be any period of 12 months.

Hope you will find this useful.

From India, Mumbai
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