{"id":1682,"date":"2020-03-06T20:36:40","date_gmt":"2020-03-06T19:36:40","guid":{"rendered":"https:\/\/healthcareers.co\/?p=1682"},"modified":"2020-06-20T13:53:58","modified_gmt":"2020-06-20T12:53:58","slug":"employee-retention-statistics","status":"publish","type":"post","link":"https:\/\/healthcareers.co\/employee-retention-statistics\/","title":{"rendered":"30 Affordable Employee Retention Statistics and Facts"},"content":{"rendered":"
If a business wants to grow and cultivate a culture of productivity, experience, and knowledge, it needs to retain staff members. Focusing on employee retention is the only way to keep staff members who make your organization great. With a high rate of turnover among your staff, you\u2019ll lose valuable employees, which will cost you in productivity, the re-hiring process, and re-training a new person.\u00a0<\/span><\/p>\n The best way to keep staff members is to hire the best people on the first try, pay a fair wage, understand their needs, and be a company worth working for. In these fascinating <\/span>employee retention statistics<\/span>, you will be able to see what works for businesses and what doesn\u2019t when it comes to keeping the best employees.\u00a0<\/span><\/p>\n So take a moment to sit back and read through these statistics on employee turnover and retention.\u00a0<\/span><\/p>\n (BLS)<\/span><\/p>\n This shocking statistic only shows people who left their <\/span>employment<\/span><\/a> willingly and doesn\u2019t include data on people who were retrenched or fired.\u00a0<\/span><\/p>\n (TINYpulse)<\/span><\/p>\n Employee retention statistics<\/span> also showed that 40% of people who believed their manager is performing badly had been to a job interview in the previous three months. In contrast, only 10% of those who valued their manager\u2019s performance had been job searching.\u00a0\u00a0<\/span><\/p>\n (TINYpulse)<\/span><\/p>\n This is why onboarding programs or guides are so important when bringing on new employees. It helps them acquaint themselves with the job and be more invested in their future at the company.\u00a0<\/span><\/p>\n (Udemy)<\/span><\/p>\n A study on the <\/span>employee retention rate<\/span> shows that burnout can lead to an employee feeling that it\u2019s necessary to resign from their job for the sake of their <\/span>mental<\/span><\/a> and <\/span>physical health<\/span><\/a>.\u00a0<\/span><\/p>\n (Kronos)<\/span><\/p>\n In addition to this, almost 10% say that it has caused upwards of half of the annual employee turnover. The top three issues causing the burnout included unfair compensation, unreasonable workload, and poor management.\u00a0<\/span><\/p>\n (TINYpulse)<\/span><\/p>\n According to the statistics, 21.5% of employees who didn\u2019t feel valued had been job hunting, compared to 12.4% who said they got positive validation for their good work. Managers who give their team members more positive feedback can keep more staff members.\u00a0<\/span><\/p>\n (TINYpulse)<\/span><\/p>\n Employee retention statistics<\/span> from <\/span>2019<\/span> show that if people think they can\u2019t honestly give feedback to their superiors, they\u2019re 16% more likely to leave their company. Open communication is key to mutual understanding between employees and managers.\u00a0<\/span><\/p>\n (Lexington Law)<\/span><\/p>\n This is true even when the preferred position pays 50% of what the other position paid. This just goes to show <\/span>how important job satisfaction is<\/span><\/a>.\u00a0<\/span><\/p>\n (O.C. Tanner, Robert Half)<\/span><\/p>\n This is a good example of <\/span>why employees quit<\/span> in <\/span>statistics<\/span>. People who feel they aren\u2019t appreciated at work are 34% less likely to keep their jobs for the remainder of the year.\u00a0<\/span><\/p>\n (BambooHR)<\/span><\/p>\n Almost a third of the people interviewed had worked at a company for six months or less. This means that people have started at a job and then left in less than half a year, according to <\/span>employee retention rate statistics<\/span>.\u00a0<\/span><\/p>\n (Cision PR Newswire)<\/span><\/p>\n This shows just how easy it would be to lose an employee if they were offered a position elsewhere with better benefits or pay. Therefore, employers need to up their game when it comes to creating the perfect working conditions for their top performers.\u00a0<\/span><\/p>\n (West Monroe)<\/span><\/p>\n 25% of employed people say that they\u2019d need to earn significantly more money to make the move from one employer to another. Moreover, 50% of the correspondents revealed they are looking to stay at their current job for another five years.\u00a0<\/span><\/p>\n (ebn)<\/span><\/p>\n The costs involved in looking for a new hire can amount to 33% of the original employee\u2019s annual income. These costs come from lost institutional knowledge, the time spent on finding a replacement, and the time it takes for the new employee to be fully productive.\u00a0<\/span><\/p>\n (Gallup)<\/span><\/p>\n The unemployment rate<\/a> is at its lowest since the late 1960s. Due to this, it\u2019s more difficult to fill an empty position at a company, and employers are struggling to replace employees who have left the business.\u00a0<\/span><\/p>\n (M4 Workforce Solutions)<\/span><\/p>\n The cost of replacing an employee includes interviewing, training, and onboarding, as well as the time it takes to identify candidates who are right for the job.\u00a0<\/span><\/p>\n (Udemy)<\/span><\/p>\n This statistic is a lot higher for men, with 70% of them saying that a boss has taken an interest in their career plans. Moreover, 66% of men meet with their managers every month, while only 55% of women do the same.\u00a0<\/span><\/p>\n (Visier)<\/span><\/p>\n One study on Millennial <\/span>job retention rates<\/span> reveals that men who are stuck in the same position quit their jobs at a rate of 1.7% above the average. With women, it\u2019s only 0.7% above the average.\u00a0<\/span><\/p>\n (Cision PR Newswire)<\/span><\/p>\n This statistic is higher for women at 9% and lower for their male counterparts at 3%. To navigate workplace romances, employees need to check the company rules, keep their personal life out of the office, and prevent the romance from impacting their work relationships.\u00a0<\/span><\/p>\n (Network of Executive Women)<\/span><\/p>\n The rate of turnover for women in retail and consumer goods is 31%, while for men, it\u2019s only 24%. According to statistics, we are far from reaching gender parity, as women feel isolated in company cultures and not supported in new roles.\u00a0<\/span><\/p>\n (Udemy)<\/span><\/p>\n Additionally, 30% say they want to have the opportunity to work from anywhere for the entire work week and not go into an office.\u00a0<\/span><\/p>\n (Bridge)<\/span><\/p>\n In 2017, it was reported that 56 million Millennials were looking to enter the workforce. Generation X follows that with 53 million people in the workforce and baby boomers had 41 million people in the US workforce.\u00a0<\/span><\/p>\n (Udemy)<\/span><\/p>\n As long as career growth<\/a> and education are offered, Millennials are happy to be loyal to a company that is loyal to them. 42% of Millennials say that being able to grow and learn with the help of their employer is the most important thing to them.\u00a0<\/span><\/p>\n (Visier)<\/span><\/p>\n In the space of a year, <\/span>Millennials<\/span><\/a> resigned at a rate of 29.1%, as opposed to the resignation rate of other generations, which is as low as 9.2%. However, by taking tenure into account, the study reveals that Millennials resign two times as often as other generations.\u00a0<\/span><\/p>\n (DailyPay)<\/span><\/p>\n In 2017, the total turnover rate for hospital jobs for the year was 18.2%, which was considered to be a low point.\u00a0<\/span><\/p>\n (DailyPay)<\/span><\/p>\n According to the National Healthcare Retention & RN Staffing Report, the turnover rate for Certified Nursing Assistants in 2017 was the highest in <\/span>healthcare positions<\/span><\/a>. Patient Care Techs had a turnover rate of 19.3%, bedside registered nurses had a turnover of 16.8%, and Physician Assistants had a 14.2% turnover rate.\u00a0<\/span><\/p>\n (NSI Nursing Solutions)<\/span><\/p>\n That\u2019s an increase of 0.9% from the previous year. Hospitals need to manage the cost of turnover as it has a huge impact on their diminishing margin.\u00a0<\/span><\/p>\n (NSI Nursing Solutions)<\/span><\/p>\n Employee retention statistics<\/span> reveal that this massive staff turnover rate is the highest in over 10 years. Hospitals need to think of clever ways to increase job satisfaction levels so they can retain their employees.\u00a0<\/span><\/p>\n (AMN Healthcare)<\/span><\/p>\n Other <\/span>employee retention factors<\/span> that played a part in this turnover rate include more people considering going into consulting, people looking at short-term prospects, and the changing requirements and expectations of the employees.\u00a0<\/span><\/p>\n (Healthcare Finance News)<\/span><\/p>\n In order to reduce this high number, healthcare employers need to find sustainable ways to retain employees.\u00a0<\/span><\/p>\n (Becker\u2019s Hospital Review)<\/span><\/p>\n The cost to replace a registered nurse can be as high as $104,440. This number is based on all factors related to the cost of losing an employee and hiring a new one.\u00a0<\/span><\/p>\n A good rate for employee retention is 90% or, on the flip side of that, a rate of 10% staff turnover. The more employees a business retains, the less they have to spend on re-hiring and re-training new employees. However, having a slight turnover rate for staff is not a bad thing as it brings in new perspectives and fresh energy.\u00a0<\/span><\/p>\n Globally, technology and software have the highest turnover rate per industry at 13.2%. In second place is retail and consumer goods at 13%. And third place goes to media and entertainment at a staff turnover rate of 11.4%.\u00a0<\/span><\/p>\n Employee retention is important for several reasons. The cost of replacing an employee can be as high as 33% of their annual income. That cost includes the hiring process, re-training the individual, and loss of productivity. Other reasons include the difficulty of growing a business if there is a revolving door of employees, people leaving a business with the knowledge and ideas they\u2019ve learned while working there, and the culture of the company suffering due to a constantly changing workforce.\u00a0<\/span><\/p>\n The definition of employee retention is creating a sustainable way to ensure that a business\u2019s best employees stay with them. It means retaining the current staff for a decent period of time. A high staff turnover rate is indicative that a business is not managing to keep its employees happy and fulfilled. High staff turnover can be costly. Retaining staff can save the business on a whole host of costs involved with re-hiring and re-training employees on a regular basis.\u00a0\u00a0<\/span><\/p>\n One way to ensure that your business retains employees is to hire the right people in the beginning. That way, they won\u2019t be likely to resign because the job will be a good fit for them. You should also offer employees fair compensation and decent benefits. Creating a working environment that values work\/life balance is also a good idea. Good leadership is an influencing factor in whether or not employees stay at a company. Finally, be a company that people want to work for.\u00a0<\/span><\/p>\n Employee retention statistics<\/span> are fascinating as they help you understand why people leave their jobs, how often they leave, who is more likely to leave, and how to get people to stay. For example, <\/span>the healthcare industry<\/span><\/a> has a high turnover rate among employees for a number of factors, including consolidation, more competition in the job market, and retiring executives.\u00a0<\/span><\/p>\nThe Top Ten <\/b>Staff Retention<\/b> Statistics<\/b><\/h2>\n
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General <\/b>Employee Turnover Statistics<\/b><\/h2>\n
\n1. In 2019, around 3.5 million people resigned in the United States every month.\u00a0<\/b><\/h3>\n
2. According to a report by TINYpulse, employees who don\u2019t believe their boss is doing a good job are 4 times more likely to resign.\u00a0<\/b><\/h3>\n
3. People are 23% less likely to leave the company if they fully understand their job and what is expected of them.\u00a0\u00a0<\/b><\/h3>\n
4. Studies show that 47% of people experience burnout during their careers.\u00a0<\/b><\/h3>\n
5. 95% of leaders in HR agree that employee burnout is a factor in staff turnover rates.\u00a0<\/b><\/h3>\n
6. Employees who feel overlooked when it comes to praise are twice as likely to be looking for a new position elsewhere.\u00a0<\/b><\/h3>\n
7. Employees are more happy at workplaces where they can give feedback to their superiors.\u00a0<\/b><\/h3>\n
8. Almost 60% of people living in the United States would choose a position they enjoy rather than a position they dislike, even if it\u2019s financially less rewarding.\u00a0<\/b><\/h3>\n
9. 79% of employees who resign claim that it\u2019s because they didn\u2019t feel their efforts were appreciated.\u00a0<\/b><\/h3>\n
10. Out of a thousand people interviewed, 31% said they\u2019ve resigned from a job after only being at the company for less than half a year.\u00a0<\/b><\/h3>\n
11. 80% or more of people with full-time jobs are either looking for a new job or would be happy to consider a new job.\u00a0<\/b><\/h3>\n
12. A quarter of the workforce will only move to a new company if it comes with at least a 20% increase in income.\u00a0<\/b><\/h3>\n
Cost of Employee Retention<\/b><\/h2>\n
\n13. Replacing an employee could cost as much as a third of their yearly income.\u00a0<\/b><\/h3>\n
14. Businesses in the United States are making a loss of around $1 trillion annually because of employees leaving.\u00a0<\/b><\/h3>\n
15. Employee retention can save businesses more money than they might think.<\/b><\/h3>\n
Employment Retention Rates<\/b> by Gender<\/b><\/h2>\n
\n16. Only 55% of women say that a boss has taken an interest in their career plans.\u00a0<\/b><\/h3>\n
17. Men who don\u2019t receive a promotion are more likely to quit than women in the same position.\u00a0<\/b><\/h3>\n
18. 6% of employees have quit their job due to a failed office romance.\u00a0<\/b><\/h3>\n
19. In the retail and consumer goods industry, the rate of turnover is far higher for women.\u00a0<\/b><\/h3>\n
Employment Retention Rate<\/b> Among Millennials<\/b><\/h2>\n
\n20. 44% of Millennials say that they want a flexible work environment.\u00a0<\/b><\/h3>\n
21. Millennials have the largest numbers in the workforce.\u00a0<\/b><\/h3>\n
22. <\/b>Employee engagement statistics<\/b> from <\/b>2018<\/b> show that 59% of Millennials in the workplace had been in their jobs for three years or longer.\u00a0<\/b><\/h3>\n
23. Millennials quit their jobs more often than any other generation.\u00a0<\/b><\/h3>\n
Job Retention Rates<\/b> in Healthcare<\/b><\/h2>\n
\n24. In 2018, the healthcare profession staff turnover rate had increased by 5% since 2010.\u00a0<\/b><\/h3>\n
25. Certified Nursing Assistants had a high turnover of 27.7% in 2017.\u00a0<\/b><\/h3>\n
26. According to <\/b>employee retention statistics<\/b> from <\/b>2018<\/b>, the hospital turnover rate was 19.1%.<\/b><\/h3>\n
27. From 2014 to 2019, 87.8% of the workforce of the average hospital left and was replaced by new employees.\u00a0<\/b><\/h3>\n
28. Industry consolidation, more competition in the market, and retiring executives are among some of the reasons why the turnover rate is so high in the healthcare industry.<\/b>\u00a0<\/span><\/h3>\n
29. It is estimated that the total cost of employee turnover in the healthcare industry is $27 million.\u00a0<\/b><\/h3>\n
30. In 2016, the staff turnover rate for registered nurses was as high as 14.5%.\u00a0<\/b><\/h3>\n
\nFAQ<\/b><\/h2>\n
What is a good employee retention rate?<\/b><\/h3>\n
What are the <\/b>employee turnover rates by industry<\/b>?<\/b><\/h3>\n
Why is employee retention important?<\/b><\/h3>\n
What is the definition of employee retention?<\/b>\u00a0<\/span><\/h3>\n
How do you ensure employee retention?<\/b><\/h3>\n
\nConclusion<\/b><\/h2>\n
Sources:<\/b><\/h3>\n
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