Costs
When accounting for the costs (both real costs, such as time taken to select and recruit a replacement, and also opportunity costs, such as lost productivity), the cost of employee turnover to for-profit organizations has been estimated to be up to 150% of the employees' remuneration package. There are both direct and indirect costs. Direct costs relate to the leaving costs, replacement costs and transitions costs, and indirect costs relate to the loss of production, reduced performance levels, unnecessary overtime and low morale.
In a healthcare context, staff turnover has been associated with worse patient outcomes.
Read more about this topic: Turnover (employment)
Famous quotes containing the word costs:
“That which costs little is less valued.”
—Miguel De Cervantes (1547–1616)
“The real price of everything, what everything really costs to the man who wants to acquire it, is the toil and trouble of acquiring it.”
—Adam Smith (1723–1790)
“When over Catholics the ocean rolls,
They must wait several weeks before a mass
Takes off one peck of purgatorial coals,
Because, till people know what’s come to pass,
They won’t lay out their money on the dead—
It costs three francs for every mass that’s said.”
—George Gordon Noel Byron (1788–1824)