How Much is Employee Turnover Costing You?

Cathie Leimbach • January 14, 2025

Employee turnover is more expensive than you might think. Replacing a worker can cost between 40% of annual pay for entry-level positions and 200% of a senior executive’s salary. These costs include recruiting new hires, lost company knowledge, training and time for the new hire to get up to speed, and the ripple effects of leaving customers underserved.


Shockingly, about half of the workforce is quietly looking for new jobs. Why do they leave? Poor leadership is the top reason—70% of employees who quit cite negative experiences with their managers. 40% of the employees who quit said that with better support from and communication with their manager, and more action on their concerns, they likely would have stayed. Meanwhile, only 30% leave primarily because of pay or benefits.



Turnover doesn’t just hurt morale; it impacts your bottom line. Imagine the cost of losing even one college-educated employee. Investing in leadership development could not only improve retention but also pay for itself by keeping key talent on board.

How much is turnover costing your organization? If you’re curious, try our free Cost of Turnover Calculator. Chances are that reducing turnover by providing highly effective leadership training could be the smartest investment you make this year—one that pays off big time by keeping your best employees engaged, committed, and productive.

By Cathie Leimbach June 17, 2025
Herminia Ibarra’s research offers compelling insight into why leadership development should be viewed as a strategic priority. Her work shows that helping leaders grow isn’t just beneficial for individuals—it significantly improves how organizations operate and perform. Ibarra explores how leadership identity evolves over time. When managers step back from daily tasks and begin thinking and acting more strategically, it creates ripple effects across the organization. Teams become more engaged, decision-making improves, and execution becomes more effective. These shifts enhance productivity, innovation, and retention—key drivers of long-term success. Her research also highlights the value of building strong leadership pipelines. Companies that invest in leaders who are adaptable, self-aware, and skilled at big-picture thinking tend to be more agile and resilient. These organizations are better equipped to respond to change and seize new opportunities. By reframing leadership development as a strategic investment rather than a soft skill, Ibarra shows how it creates measurable improvements in performance across the organization. Growth in leadership capacity leads to smarter decisions, healthier cultures, and stronger overall results. 👉 For a deeper dive into the data, click here to view Insights from Herminia Ibarra’s Research on Leadership Development and its Measurable Impact.
By Cathie Leimbach June 10, 2025
In today’s evolving workplace, one constant remains: employees want to feel valued. Interestingly, research comparing data from before and after COVID-19 shows that employees' preferred languages of appreciation have remained remarkably consistent over time. However, age and gender differences reveal important nuances leaders shouldn’t ignore. Gender differences are clear. Men more frequently chose Acts of Service as their preferred form of appreciation (26%), while women gravitated toward Words of Affirmation (46%). When asked about their least preferred language, women were more likely to rank Acts of Service at the bottom, while men showed a strong dislike for Tangible Gifts. Age also matters. Employees over 60 overwhelmingly preferred Words of Affirmation (48%), while the youngest generation (under 20) leaned toward Quality Time (33%). These trends suggest that life stage and workplace experience shape what appreciation feels most meaningful.  The takeaway? While core preferences haven't shifted dramatically post-COVID, effective leaders need to understand and respond to individual differences. Avoid blanket strategies and invest in knowing how each team member feels most valued. Personalized appreciation builds stronger teams—across every generation and gender. For further details, see Dr. Paul White’s article on gender differences in appreciation preference.
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