The biggest asset of any organization is the human resource. A company’s success lies in its strategy of hiring, managing, and retaining the employees. Proper HR policies and reward systems contribute in attracting potential candidates and hiring the best talent. Nevertheless, companies have to face employee turnover; it is inevitable! Employee churning is a major part of the business cycle. Companies have to maintain the balance between the hiring and the employee turnover rates.
Employee turnover can happen due to various reasons; the leaders need to gauge the market forces as well as their business strategies in order to retain the top talent.
Employee turnover refers to the total number of employees that leave the organization within a specific period of time. It includes voluntary exits and involuntary exits e.g lay off / firing. It is different from attrition because attrition does not include involuntary exits.