1 . Determine the number of agents who left during a specific period ( e . g ., monthly , quarterly , or annually ).
2 . Add the total number of agents at the beginning and end of your chosen period , and then divide by two .
3 . Divide the number of agents who left ( from # 1 ) by the average total number of agents ( from # 2 ).
4 . Multiply the result by 100 to arrive at a percentage .
For example , if your contact center had 232 agents at the beginning of the quarter and 189 agents at the end , and 45 agents left during that period , the attrition rate would be calculated as follows :
• Limited opportunities for advancement . With low attrition comes limited opportunities for career advancement within the center . If agents perceive a lack of growth potential , they may be less motivated and engaged , resulting in reduced productivity and performance .
• Skill gaps and lack of professional development . When an agent remains in the same position for an extended period , there is a risk of skill stagnation . Organizations may struggle to address skill gaps and provide necessary professional growth opportunities without turnover .
Companies need to strike a balance in employee attrition rates . While excessive attrition can lead to instability and increased recruitment costs , very low attrition rates can hinder growth , innovation , and employee development .
3 . WHAT ARE THE COSTS ASSOCIATED WITH ATTRITION ?
For every agent that leaves , some substantial costs are involved in replacing them . Hard costs ( direct expenses ) and soft costs ( indirect expenses ) may include :
HARD COSTS
2 . WHEN LOW ATTRITION BECOMES A PROBLEM
While low agent attrition is generally seen as a positive indicator , attrition can be too low .
We often see this in large corporations or government organizations where employee benefits act as “ golden handcuffs .”
Agents tell us that , while they may want to leave , they feel they can ' t abandon the goodwill they have earned in terms of benefits and job security . This can result in extremely low attrition rates , which can create potential issues that hinder success , including :
• Lack of diversity and fresh perspectives . When agents rarely leave the organization , the result can be a stagnant workforce with limited diversity of thought and experiences . Agents become complacent , bored , and passive , translating into an underwhelming customer experience .
• Complacency and resistance to change . A critical behavior we see in contact centers with low turnover is resistance to change . Employees have seen new ideas come and go and may be slow to adapt to fresh approaches or points of view . Agents become comfortable with the status quo , hindering adaptability and agility .
• Advertising / Recruitment Agencies . The cost of advertising the position across various platforms , including job boards , social media , recruiting websites , and industry-specific websites . If your organization utilizes the services of recruitment agencies to source and screen candidates , there may be fees or commissions associated with their services .
• Background checks . The cost of conducting background checks , including criminal record checks , employment verification , and reference checks .
• Skills assessments . If skills assessments or tests are administered to evaluate candidates ' suitability for the role , fees may be associated with using assessment tools or external providers .
• Hiring bonuses or referral fees . In some cases , organizations may offer hiring bonuses or referral fees to incentivize employee referrals .
SOFT COSTS
• HR staff time . The time spent by HR personnel or management on activities such as posting job ads , reviewing resumes , scheduling , and conducting interviews , and coordinating the hiring process .
• Training and onboarding . The cost of training materials , software licenses , and time spent by trainers or managers to onboard the new customer service agent and familiarize them with company policies , systems , and processes .
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