How long does it take for them to perform enough to replace the ones that left?
The average is between 6 and 9 months' salary. In average 45-50K investment upfront!
There are various sources, that gives a good description of this cost: Employee's retention: The real cost of losing an employee (peoplekeep.com)
When you lose people this cost increases - snow ball effect guaranteed!
When your attrition is above 20%, your company loses money.
Everyones knows the impact.It affects directly your top line and your bottom line. Margin gets diluted in the cost of hire, and you slow down your growth.
How much is your attrition?
The longer your people stay, the more you earn. the more they learn...
It does sound obvious.
However, how do you increase this famous retention rate?
This HBR article explains that Professional Service firms are struggling to retain enough professionals to service existing clients.
Increasing salaries and putting a ping-pong table in the office are not the only solutions.
Studies have shown that corporations that offer mentoring to their employees have a lower turnover rate.
We are convinced that Mentoring is a key to both attracting talents and keeping them longer.