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:
“Like cellulite creams or hair-loss tonics, capital punishment is one of those panaceas that isn’t. Only it costs a whole lot more.”
—Anna Quindlen (b. 1952)
“It costs you something to do good!”
—Zora Neale Hurston (1891–1960)
“Pride can go without domestics, without fine clothes, can live in a house with two rooms, can eat potato, purslain, beans, lyed corn, can work on the soil, can travel afoot, can talk with poor men, or sit silent well contented with fine saloons. But vanity costs money, labor, horses, men, women, health and peace, and is still nothing at last; a long way leading nowhere.—Only one drawback; proud people are intolerably selfish, and the vain are gentle and giving.”
—Ralph Waldo Emerson (1803–1882)