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Attrition Calculation
Sunil Picture
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Posted 12-04-2017Reply

Dear HR Folks,

Can anybody explain me the attrition rate calculations?

We are following the below formula.


F6 = Left Employees in a month

D6 = Opening Balance (Head count in the start of month)

E6 = New Joinees

G6 = Closing Balance (Head count at the end of month)

Formulas: =((F6*100)/(D6+E6+F6+G6))/100 this is for first month.

= ((F7*100)/(D7+E7))/100 this is for second month.

= ((F8*100)/(D8+E8))/100 continues like this.

My question is why in the first month the calculation is different?

Why we have to add closing balance and resignees in the 1st Month.

Moumita Picture
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  Rated +1 | Posted 07-07-2017

You can calculate Attrition Rate = Number of Employees Left/Average Number of Employees *100.

Take an instance where in total employee strength is 150 as of April 1, 2015. In the same month, 20 employees left the organisation. Also, 25 new employees were hired.

Firstly we need to calculate the average employee strength. Opening balance was 150. If 20 people left and 25 people were hired, then the closing balance was 155.

Average Employee Strength for that month = {(150+155)/2=152.5}.

Finally, we will calculate attrition rate:-{ (20/152.5)*100=.1311*100=13.11}

So, we get the attrition rate for the month of April, 2015 was 13.11 percent.

You can also visit following link to see how to generate https://public.tableau.com/profile/moumitadeshmukh#!/vizhome/attritiondataanalysis/EmployeeAttritionAnalysis">Employee Attrition Report.

Debora Picture
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  Rated 0 | Posted 10-06-2019

Attrition rate is the number of people who move out of a group over time.In business, attrition rate is a measure of employee turnover, and helps you understand how well you are retaining your talent. A high attrition rate means that your employees are leaving frequently, while a low rate indicates that you’re keeping your employees for longer periods of time.
Calculating attrition rate at its most basic level is easy: just divide the number of people who left your company by the average number of employees over a specific period of time.
Let’s say you started the year with 50 employees, and ended the year with 65. And over the course of the year, 13 employees left. Here’s how we’d calculate the attrition rate for this situation:

Annual attrition rate = 13 / ((50+65) / 2)
= 13 / 57.5
= 22.6%

The number of employees that left the company, 13, is divided by the average number of employees across the year (115 / 2, or 57.5).
This is the simplest way to calculate attrition. Of course, it doesn’t have to be annual; you could calculate it on a monthly or quarterly basis, as well. In fact, that may be a better idea.

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