What is attrition?
Attrition is when a company’s head count reduces over time because people leave and their roles aren’t filled. It can be voluntary, such as when someone resigns or retires, or involuntary, such as when a role ends and isn’t replaced.
Many organisations track attrition as a rate to understand retention trends and overall workforce health. When attrition is unplanned or consistently high, it can create skills gaps and increase workloads for the people who stay. Monitoring attrition helps employers plan hiring, support their teams and spot issues early.
Things to know
- Attrition differs from turnover because turnover typically involves backfilling leavers, whereas attrition usually means positions remain unfilled
- Attrition can be voluntary (an employee resigns) or involuntary (for example, retirement or dismissal)
- A moderate level of attrition can be normal, but sustained high attrition may signal issues with pay, workload, culture or management
- Measuring attrition over time can help identify patterns across teams, locations, or job types
FAQs
What does attrition mean in HR?
Attrition is when employees leave an organisation over time and their roles are not replaced, reducing headcount.
What’s the difference between attrition and turnover?
Turnover typically means employees leave and are replaced. Attrition means positions stay vacant and headcount decreases.
Is attrition always a bad thing?
Not necessarily. Planned attrition can help organisations reduce costs or reshape teams. Unplanned attrition can create gaps and affect performance.
How do you calculate attrition?
A common approach is: (number of employees who left in a period ÷ average number of employees in that period) x 100.
How can employers reduce attrition?
Improving pay and benefits, supporting wellbeing, offering development opportunities, and strengthening management practices can all help.
