New Hire Turnover Rate Calculator is an excel Template to calculate percentage of new hires who leave company in a given period of time.
We need to understand what is it and how it is calculate.
New Hire Turnover Rate
The turnover rate is proportion employee leaving company for what ever reason, but new hire turnover rate is when your newly recruit workforce leaves the organization.
In simple terms, percentage of newly recruit employees leaving organization against total number of new hires during specific period of time is called New Hire Turnover Rate. According to study conduct, the normal new hire turnover rate is 20%.
So, Lower New Hire Turnover Rate indicates effectiveness of your recruitment process. The newly recruit staff stays with company for longer periods helps you lower recruitment cost.
New Hire Turnover Rate Calculation
To simplify process, we have create a simple and easy New Hire Retention Rate Calculator in Excel with predefine formulas.
Similarly, With the help of this template, you can calculate New Hire Turnover Rate in general if you have a small workforce. But if your company has larger workforce and multiple departments, this template helps you calculate the New Hire Turnover rate department wise.
How To Use New Hire Turnover Rate Calculator Excel Template
Thus, There are 2 sections in this template:
- New Hire Turnover Rate
- Department Wise New Hire Turnover Rate
1. New Hire Turnover Rate
So, Enter 2 following details to derive your New Hire Turnover Rate:
- No of New Hire that left during first 90 Days
- Total No. of New Hires during that period.
Applying the above mentioned formula, the third line will display the new hire turnover rate.
2. Department Wise New Hire Turnover Rate
Moreover, Companies with larger workforce and multiple departments can use this section to calculate department wise New Hire Turnover Rate.
Similar to above section, enter two details pertaining to each department and it will automatically calculate turnover rate for that department as well as for the whole company.
Reasons for New Hire Turnover
However, Some possible reasons are:
- Mismatch in job responsibilities before and after joining.
- The communication gap between candidate and the reporting authority.
- Not Enough Training is provided related to job post.
- Excess workload.
- Colleagues harassment.
- Better Pay and Better benefits from your competitor.
- Remote locations of the company.
How To Reduce New Hire Turnover Rate
- Review and rectify loops in your current hiring process.
- Onboarding programs should be made for newly joined candidates.
- The hiring Manager and reporting managers must coordinate with newly recruit candidates.
- Providing healthy and feasible work environment.
- Provide Proper Training pertaining to job roles.