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What is Attrition?

Attrition is the voluntarily or involuntarily exit of an employee for reasons such as retirement, death, resignation or termination. Also, the attrition rate is the rate at which the employees leave the organization.

How do you Calculate the Attrition Rate?

The attrition rate is calculated at the end of the calendar or fiscal year. Attrition rate calculated as, the number of employees left at the end of the year divided by the average number of employees, the company had at the beginning of the year multiplied by 100.

Formula to calculate the Attrition Rate;

Related: Employee Turnover, Turnover RateRetention Strategy