Faculty & Research
The Cost of Turnover: Putting a Price on the Learning Curve
| View subscription information. |
Vol 41 No 3
By: Timothy R. Hinkin Ph.D. and J. Bruce Tracey Ph.D.
Executive Summary: Using past studies as a starting point, the authors developed a computer program for assessing the cost of employee turnover. The program consists of a number of algorithms to calculate total turnover costs including not only the direct costs, such as advertising, signing bonuses and formal training, but also indirect costs, such as reduced productivity of new hires and disruption to the work effort of existing employees. Different jobs and differing labor rates create substantial variance in turnover costs; the results of the study, however, showed costs to be higher than estimates found in previous studies.
Your Comments Please
If this Cornell Hotel and Restaurant Administration Quarterly Article made a positive impact on your management approach or business operations, we welcome your commentary. We would like to post your comments on our website. Submit your comments to mlp1@sha.cornell.edu.
To view the whole article, please click on the link below.
- The Cost of Turnover: Putting a Price on the Learning Curve By: Timothy R. Hinkin Ph.D. and J. Bruce Tracey Ph.D.
| If you have trouble downloading a report, and are able to install software on your computer, try upgrading to the latest version of Adobe Acrobat Reader to see if that allows you to read it. |