Calculate your fluctuation rate*

Benchmarks are needed so that you can classify your fluctuation rate correctly:

The fluctuation rate describes the movement of personnel in your company. The value indicates how many employees leave the company in relation to the total workforce. It is usually measured over a period of one year, but quarterly or monthly intervals are also common. Make sure you always use the same interval for the calculation so that you obtain reliable comparative values.

A certain level of fluctuation is no cause for concern: while the average fluctuation rate in administration, for example, is around 10%, a rate of more than 50% is normal in the hospitality industry. Across the entire company, a value between 8% and 12% is considered optimal. Numerous factors such as industry, location and average age of employees play a role, and natural fluctuation due to retirement/retirement and internal company fluctuation are also included in the calculation.

However, if the value suddenly rises or is conspicuously high in a certain area of the company, there is usually an underlying problem that should be investigated urgently. If your fluctuation rate is generally high compared to the rest of the industry, this indicates Discrepancies in the psychological contract and consequently a weak employee loyalty and consequently weak employee retention.