Employee Turnover
Purpose: To show analytics available to you in the Employee Turnover report and help you understand how BambooHR calculates employee turnover. This report will provide an overall picture of turnover within your company and peer companies with the ability to dig deeper and discover specific areas of improvement.
Employee Turnover
One of the key metrics that your company tracks is likely Turnover, and it is not just HR who tracks it. Executives understand that turnover is expensive and may indicate that there are issues at the company. In the Employee Turnover report, we share the turnover data that will help executives see an overall picture of turnover with the ability to dive deep and discover specific areas for improvement.
If you share this report with a custom access level user, they will only be able to see the total turnover for the employees they have access to see. Please note that you will also need to grant access via Access Levels Settings to the regrettable/non-regrettable data with the person who you would like to share the report with.
If the user does not have access to their own employment status information (Date, Employment Status, and Comments), they will not be included in the turnover calculation.
Turnover Details
You can access the Employee Turnover report by going to the Reports tab and selecting Standard Reports. Then, locate and select Employee Turnover.
- Select the date range.* Since we calculate turnover with a month as the lowest unit, we do not allow the selection of the day of the month—just the month.
- Filter the report by the standard filters in BambooHR. Additionally, you have the option to filter by a manager and termination type.
- Total Turnover: This section shows the total turnover rate for the selected period. For example, if the period is one year, the report will include the total number of terminations during the year divided by the average number of employees.
- Average Monthly Turnover: This section averages the number of terminations per month divided by the average number of employees per month.
- Total Turnover - 30 days: Regardless of filter or timeline, this section displays total turnover within the past 30 days.
- These insight widgets break down the turnover data by other information to create a better picture of company turnover. You can show three widgets at a time, and you can select from the following options: Termination Reason, Manager, Department, Length of Service, Age, Gender, and Termination Type. Additionally, if you are utilizing BambooHR® Performance Management, you will see a widget option for Performance Engagement and Performance Value. These widgets display up to seven values (six plus other if there are more than seven) sorted by largest to smallest.
- Hovering over a section of the donut chart will show you the percentage of turnovers and details under the filter type. If you click View Details, you will see the percent of turnovers, turnover rate (if applicable), and the number of terminations for that group.
- Report results: This table will show the employee's name, termination date, and location, along with the data in the three insight widgets you have selected.
- Length of Service: This column is calculated by looking at the Employment Status table and calculating the length of service between the first status and the termination date. If there is no first row in the table, it is calculated based on the hire date.
- Graph key: The bar graph percentages include the total number of terminations that month. The color of the graph is determined by if the termination was voluntary or involuntary. If you select Seasonal Leave or Death as the Termination Type, it will not be included in the voluntary or involuntary color results. If you select Resignation (Voluntary) as the Termination Type, you can select whether it is Regrettable or Non-Regrettable. If you don't select one, it will show as unspecified in the graph results.
*In the chart, the bars appear for each month when the selected range is 13 or fewer months. Once that is exceeded, the chart displays a bar for each quarter. Once 14 or more quarters are included in the range, it switches to years. If the chart displays each bar by quarter or by year, then we will display the average monthly turnover for the time period in each bar.
Multiple Terminations: In the case that an employee was terminated twice in the selected range/filter of the report, the employee will appear twice in the list. Once for each termination with the length of service for each row.
Please note: This tab is only available with our Core and Pro packages. Contact our expansion team to upgrade your account and access this feature!
Compare to Peer Companies
The Compare to Peer Companies tab is a way to help discern if the turnover trends are company-specific or if they are consistent with current industry trends. This tab is only accessible to Full Admin users. You can see this information by navigating to Reports and selecting Standard Reports. Then, select Employee Turnover and choose the Compare to Peer Companies tab.
- Filtering the report: You can select different industries (see complete list below) and/or employee counts to filter the turnover data you are comparing yours against. As you select filters, you will see the gray line change on the chart to reflect your selections.
- Specific month breakdowns: Hover on any point on the graph to see the exact turnover percentages for that month.
- Turnover rate
- Timeline: To provide the most accurate comparison, this report will always show the data for the last 12 months.
- My Company & Peer Companies: When you first open this tab, you will see a green line indicating your average monthly turnover rate and a gray line indicating the average turnover rate for all companies using BambooHR (who have not opted out of sharing their turnover data).
At least 5 companies have to be included in the sample size to show data. If there are not at least 5 companies for each month, the chart will not return any data.
| Agriculture | Construction | Finance | Machinery | Religious |
|---|---|---|---|---|
| Apparel | Consulting | Food & Beverage | Manufacturing | Retail |
| Architecture | Education | Footwear | Marketing/Advertising | Security |
| Automotive | Electronics | Government | Media | Shipping |
|
Banking |
Employment services/Staffing | Healthcare | Not For Profit | Software |
| Beauty | Energy | Hospitality | Other | Technology |
| Biotechnology | Engineering | Human Services | Publishing | Telecommunications |
| Chemicals | Entertainment | Insurance | Real Estate | Transportation |
| Communications | Environmental | Legal | Recreation | Utilities |
Employee turnover is one of the biggest expenses of running a business. Understanding and monitoring your turnover numbers will help you to alleviate many of those expenses. Here's the formula that BambooHR uses to calculate employee turnover rate.
Number of Employees that Left: This includes any terminations that occurred within the selected time frame including, voluntary, involuntary, and death.
Average Total Employee Count: The average count of total employees over the selected date range. This can be calculated with the following equation:
(Employee count at the first of each month + Short Term Turnover* for the month)/Total Number of months
*Short Term Turnover is the number of employees who were hired AND terminated in that same month or other time frame.
A couple of things to keep in mind about how we calculate our averages:
- We collect a list of all the employees on the first day of the month and compare it to all employees who were terminated at any point during the month (all employees terminated during the month in question). We then count all the employees who were terminated and hired in that same month and average that number with the number from the following month.
- Averages for time ranges greater than a month are calculated by averaging the average number of employees from each month.
- If you include a filter, the average will be calculated based on the total number of people selected by the filter and not the total number of people in the company.
Example A: Suppose in July you start with 150 employees, 10 employees leave and you don't hire anybody during the month. Your calculation would look like this:
Example B: Suppose in July you start with 150 employees, you hire 5 employees and 3 of those employees leave during the month. Your calculation would look like this:
This calculation will work the same way if you have multiple months included for calculating the turnover. It will take the total number of employees who left during the time frame and divide it by the average total employee count for all of the months included. So you will have the average employee count for each month and divide that number by the the total number of months to get the true average over the timespan.