The Power of Human Capital Management
The costs of employee departure from the organization can be substantial.
These costs add up when you factor in lost production of the vacant position and even lost production of fellow team members; add in advertising costs and corporate recruiter fees to additional supervision and overtime; also add in the costs from departure of the employee to the interview process and reference checking.
Replacement costs for managers and salaried professionals can be 18 months of that employee’s salary. Replacement costs for hourly employees can be six months their annual salary.
To understand your financial loss from employee departure; complete the questions below.