Workforce Cost Calculator
Use this calculator to figure out the cost of your turnover -- download and do in Excel.
Helpful Background Information:
- Rule of thumb: the cost of replacing any employee is 25% of the salary amount
- Average turnover for home care agencies is between 40-60%
- Average turnover in nursing home for certified nursing assistants is between 40-70%
- The minimum direct cost of replacing a direct care workers is individual to each organization, but includes exit interviews, use of temps, training, etc. equals $2,500
- Indirect costs are individual to each organization, but include lost productivity, lost clients, etc. Minimum amount is $2,000
- Minimum total direct and indirect costs equal $4,500
- Example: An organization that averages 40 terminations per year is spending at least $180,000 (40 x $4,500= $180,000)
For more information, please see "The Business Case for Investing in Staff Retention: Can you afford not to?