Business Mentoring Matters

Some Data on Losing Talent in the Workplace

Posted on Tue, May, 31, 2011

A 2008 study by Deloitte Research found that one in three new hires leave a company within the first year of employment.  The first-year turnover rate grew to 31.7% in 2007.  Although the economic downturn has affected retention, as the economy improves, this statistic will return.

According to Business Performance Management (BPM) and Success Factors, which conducted a survey of over 700 human resource professionals (in cooperation with the Human Capital Institute), 98% of respondents said competition for talent is increasing in their industry, and 65% said it's increasing to a "high" or "very high" degree.

According to "Retaining Talent:  A Benchmark Study" by Paul R. Bernthal, Ph.D. and Paul S. Wellins, Ph.D., "The cost of replacing an employee ranges from 29-46% of the person's annual salary.  Turnover costs the average organization more than $27 million dollars per year."

So you may be asking yourself, "what can we do to retain top talent in our corporation?" The answer:  Implement a corporate mentoring program.  Mentoring translates into talent retention (instead of turnover), happier employees and management, and a healthier bottom line (among other things!).  

Contact us if you would like more information on a corporate mentoring program.

Tags: Talent Development and Retention