What is Employee Attrition? | Meaning & Definition | Akrivia HCM

Employee attrition is the voluntary departure rate of employees from a company or organization.This can happen for various reasons, including finding a better job opportunity, personal reasons, retirement, or dissatisfaction with the work environment. High levels of employee turnover can have a negative impact on the organization, resulting in increased recruitment and training costs, reduced productivity, and decreased morale among remaining employees. Organizations may reduce employee attrition by improving employee engagement and job satisfaction, offering competitive salaries and benefits, and providing professional development and growth opportunities.

What are the reasons for employee attrition?

Here are the common reasons for employee attrition:

1. Lack of opportunities for career growth and development
2. Poor management or leadership
3. Inadequate compensation and benefits
4. A toxic work culture, including harassment, discrimination, or bullying
5. Burnout or stress from overwork or a lack of work-life balance
6. A mismatch between the employee’s skills and the job requirements
7. Unfulfilling work or lack of job satisfaction
8. Commute or relocation issues
9. Personal reasons, such as health, family, or other life changes