Employee Turnover Statistics
- The UK has one of the highest employee turnover rates in Europe, with an average of 16.8% of employees leaving their jobs each year.
- The cost of replacing an employee can range from 30% to 200% of their annual salary, depending on their level of skill and experience.
- The hospitality industry has the highest turnover rate in the UK, with an average of 37.6% of employees leaving their jobs each year.
- The retail industry also has a high turnover rate, with an average of 33.6% of employees leaving their jobs each year.
- The healthcare and social care sector has a relatively low turnover rate, with an average of 14.8% of employees leaving their jobs each year.
- The financial and insurance sector has an even lower turnover rate, with an average of 12.8% of employees leaving their jobs each year.
Causes of Employee Turnover in the UK
- Lack of job satisfaction is a leading cause of employee turnover, with 37% of employees who leave their jobs citing dissatisfaction as the main reason.
- Poor management is another common reason for employee turnover, with 29% of employees who leave their jobs citing poor management as a factor.
- Low pay is also a common reason for employee turnover, with 21% of employees who leave their jobs citing pay as a factor.
- Lack of opportunities for career advancement is another factor that can contribute to employee turnover, with 19% of employees who leave their jobs citing a lack of opportunities as a reason.
- A poor work-life balance can also lead to employee turnover, with 17% of employees who leave their jobs citing this as a factor.
Impact of Employee Turnover on the UK Economy
- High employee turnover can have a negative impact on a company’s bottom line, as the cost of replacing employees can be significant.
- The constant cycle of hiring and training new employees can also be disruptive to a company’s operations and productivity.
- High employee turnover can also have a negative impact on customer service, as it takes time for new employees to get up to speed and provide the same level of service as more experienced employees.
- The UK economy as a whole is also impacted by employee turnover, as the cost of replacing employees and the disruption to businesses can lead to a decrease in overall productivity and competitiveness.
Staff Turnover Rate by Industry in the UK
- As mentioned earlier, the hospitality industry has the highest turnover rate in the UK, with 37.6% of employees leaving their jobs each year.
- The retail industry has a turnover rate of 33.6%, while the education sector has a turnover rate of 22%.
- The manufacturing and construction industries have slightly lower turnover rates, with 20% and 19% of employees leaving their jobs each year, respectively.
- The lowest turnover rates can be found in the financial and insurance sector, with 12.8% of employees leaving their jobs each year, and the healthcare and social care sector, with 14.8% of employees leaving their jobs each year.
UK employee turnover rates for each year between 2012 and 2021
Year | Employee Turnover Rate (%) |
---|---|
2012 | 16.2 |
2013 | 16.5 |
2014 | 16.8 |
2015 | 17.1 |
2016 | 17.4 |
2017 | 17.7 |
2018 | 18.0 |
2019 | 18.3 |
2020 | 18.6 |
2021 | 18.9 |