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 August 18, 2026
An empty workstation gets your attention. What caused it should keep your attention. When attendance becomes a problem, the first response is often to review the policy, document the absence, or find someone to cover the shift. Those things may be necessary. But they don't tell you why the problem is happening. A conversation might. Instead of starting with “Why do you keep calling off?” try “I've noticed you've missed several days recently. What’s going on?” Then listen. You may hear about something outside of work. But you may also discover frustration with a supervisor, conflict with a coworker, unclear expectations, scheduling difficulties, or an employee who no longer feels valued. Understanding the reason doesn't mean ignoring attendance expectations. It means you know what you're actually dealing with. Also, look for patterns. Is absenteeism higher on one shift? In one department? Under one supervisor? Did it increase after a schedule or leadership change? Those patterns may tell you where another conversation needs to happen. Most importantly, don't wait until attendance becomes a disciplinary issue to start talking. Check in with employees. Ask what's making their work harder. Ask what they need from their supervisor. And when someone raises a concern or makes a suggestion, be sure to tell them what action you are taking or why their idea won’t be implemented. The goal isn't to eliminate accountability. It's to address problems before accountability is the only conversation left. Conversation is Where Leadership Happens™ You Don't Need to Go It Alone. Bring your workplace people challenges to the FREE Workplace Conversations Clinic on September 21. Gain insights from Cathie Leimbach and other attendees. Register here for the FREE Workplace Conversations Clinic 
By Cathie Leimbach August 10, 2026
Absenteeism is expensive. Every unexpected absence costs more than a day's wages. Someone else may need to work overtime. Priorities get reshuffled, service slows, projects fall behind, and customers notice. Before long, absenteeism starts taking money right out of your pocket. That's why many organizations turn to attendance policies, incentives, disciplinary action, or tighter oversight. But what if those approaches are addressing the symptom rather than what's really going on? Most people don't wake up one morning and suddenly decide they don't care about their work. Disengagement usually happens gradually. People stop sharing ideas. They stop feeling heard. They begin doing only what's required. Eventually, some stop showing up. By the time absenteeism is brought to your attention, the real issue may have been growing for weeks—or even months. If absenteeism has become a recurring challenge, don't just ask, "How do we reduce call-offs?" Instead, ask "What happened before people stopped wanting to show up?" That question may lead you somewhere an attendance report never will—and may ultimately save far more than overtime costs. Attendance problems. Accountability. Difficult conversations. Team conflict. Every leader faces workplace people challenges, and few have been taught exactly what to do when they arise.  Talking through your challenges with others can be helpful. Ask questions of your network. Get some ideas online. Sometimes another perspective is exactly what you need to see the situation differently. You Don't Need to Go It Alone. Bring your workplace people challenges to the FREE Workplace Conversations Clinic on August 17. Gain insights from Cathie Leimbach and other attendees as you explore practical ways to handle the situations you're facing. Register here for the FREE Workplace Conversations Clinic