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What Is Turnover Rate?

Turnover rate expresses separations during a period as a percentage of average headcount for that period.

An educational definition from the HR glossary. Explore related terms below, or jump into the resource center to go deeper.

Definition

Turnover rate expresses separations during a period as a percentage of average headcount for that period.

Why it matters

It makes departures comparable across teams of different sizes and over time.

Examples

Illustrative example. If [8] people leave when average headcount is [100], turnover rate is 8% for that period.

For the practical detail behind this term, follow the related metric, template and resources below.

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For informational purposes only. This is an educational, plain-language definition — not legal, tax, financial or compliance advice and not an official definition. Terms and obligations vary by organisation and jurisdiction. Numeric examples are simple, placeholder-based illustrations, not data. Confirm specifics with qualified professionals.
Related concepts

Related glossary terms

Keep exploring the HR vocabulary.

Glossary

Employee Turnover

Employee turnover is the movement of people out of an organisation over a period — the rate at which employees leave and need replacing.

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Employee Attrition

Attrition is the reduction of the workforce through departures, often emphasising roles that are not backfilled.

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Retention Rate

Retention rate is the share of a starting group of employees still employed at the end of a period.

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HR metric

Employee Turnover Rate

Employee turnover rate measures how many people left over a period relative to the average number employed.

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FAQ

Frequently asked questions

What is Turnover Rate?

Turnover rate expresses separations during a period as a percentage of average headcount for that period.

Why does Turnover Rate matter?

It makes departures comparable across teams of different sizes and over time.

How is Turnover Rate measured?

It connects to the HR metric linked on this page, where you can find the formula and how to read it. This glossary entry is an educational definition, not a data source.