Calculating Employee Turnover
I have Attached Calculating Employee Turnover in Excel Format
Employee Turnover Calculator | |||||||||
Position: Sales Executive | Salary Level: Rs.4000/- | ||||||||
Hiring Costs | |||||||||
Direct Costs to hire 1 new employee | |||||||||
Advertising | 4,400 | ||||||||
Average fee to employment agencies, placement firm | – | ||||||||
Sign-on-bonus | – | ||||||||
Referral bonuses to other employees | – | ||||||||
Travel and Expenses (include yours and money you reimburse to prespective candidate) | – | ||||||||
Other Direct Costs (Uniform Expenses, Name Tag) | 600 | ||||||||
Total Direct Costs to Hire | 5000 | ||||||||
Indirect Costs to hire 1 new employee | |||||||||
Interviewing (costs of current employees at all levels of interviewing, from initial phone call through final interviews) | 12 | ||||||||
Checking References | 10 | ||||||||
Lost Revenue (include costs of time spent away from actual jobs) | 12 | ||||||||
Miscellaneous indirect Costs (phone, copy, fax) | 10 | ||||||||
Total Indirect Costs to Hire | 44 | ||||||||
Training Costs | |||||||||
Direct Costs to train 1 new employee | |||||||||
Time spent by person/people directly responsible for training new hire to do job. | 5000 | ||||||||
(i.e. Cost per hour times number of hours) | |||||||||
Cost per participant of general training programs, training materials, seminars for new hires | 3000 | ||||||||
Travel and expenses per participant for above | – | ||||||||
Other direct costs | – | ||||||||
Total Direct Costs to train | 8000 | ||||||||
Indirect costs to train 1 new employee | |||||||||
General training in Company | – | ||||||||
On-the-job training costs before employee becomes fully productive | 24000 | ||||||||
Total indirect costs to train | 24000 | ||||||||
Estimated Revenue Lost by Vacant Position | 225000 | ||||||||
TOTAL COSTS: SINGLE EMPLOYEE | 37044 | ||||||||
Annual Cost of Employee Turnover | |||||||||
To Calculate the annual cost of employee turnover, multiply the cost of replacing 1 employee times the number of replacements each year. | |||||||||
i.e. 37044 X 4 = Rs. 1,48,176 /- (the amount represents total cost against 4 replacements in a year) |
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