Employee Turnover Statistics
- The average employee turnover rate in the UK is 35%.
- Replacing an employee can cost between 75% and 200% of the worker’s annual pay, depending on their level of skill and experience.
- For jobs that pay between £30,000 to £50,000 annually, replacing an employee will cost around 20% of their salary.
- For executive positions, replacing an employee could cost up to 213% of their annual salary.
- The hospitality industry continues to experience high turnover rates, with the leisure and hospitality sector reporting an 82% turnover rate in 2022
- The retail industry has experienced a decrease in the number of employees, with a reduction of 40,100 employees (1.5%) between 2022 and 2023.
- The healthcare sector saw an increase of 181,000 employees (4.3%) between 2022 and 2023, indicating changes in employment dynamics within the sector.
- The financial activities sector reported a 29% turnover rate in 2022.
UK employee turnover rates for each year between 2012 and 2025
| 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% |
| 2022 | 19.6% |
| 2023 | 18.0% |
| 2024 | 16.0% |
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.
Hospitality Turnover Rate and Statistics
- The staff turnover rate throughout 2022 was around 6%.
- 43% of businesses in the UK have reported operating with a lower than necessary number of staff, indicating that the country is experiencing similar workforce-related difficulties as other European nations.
- 90% of hospitality business leaders anticipate exper