# Human Motivation

'm hoping to get some feedback on how others calculate turnover; mainly what is in the denominator or total headcount part of the equation.   I have seen the total headcount 3 ways:   1) total at end of period (Jan 31 for monthly, Dec 31 for annual), 2) average for the period (headcount on Jan 1 headcount on Dec 31 and divide the total by two), and 3) the headcount in the middle of the period (Jan 15 for monthly or June 30 for annual).

Any other ways to capture total headcount?   What formula is most prevalent?

Thanks!

Private34235

[Send a message]   [Send a personal network invitation]

Posted: 04/22/2010 10:03am   Revised: 06/03/2010 04:42am

[Respond to this post]

Erin,

Some organizations use this procedure: The turnover rate is calculated by dividing the total number of separations by the average annual headcount. To determine the average annual headcount for full-time classified employees for a fiscal year, you would include all employees who worked at any time during the quarter and then average the quarterly headcount totals for an average annual headcount.

Frank

Private14572

[Send a message]   [Send a personal network invitation]

Posted: 04/22/2010 12:44pm

[Respond to this post]

Erin,

I think the best number to use in the denominator is the average headcount for the period ((end of prior period end of current period)/2).   This gives the best idea of what headcount looked like over the entire period.   If you use the headcount from just the last part of the period (or just the first part for that matter), you are not really capturing the entire period in your calculations.

Private10790

[Send a message]   [Send a personal network invitation]