Turnover rate isn’t just about who leaves, it’s a mirror of how well a company is managed and led. When we analyze global voluntary turnover across sectors, clear patterns emerge.
High-turnover sectors face retention challenges
📈 The services and consumer sectors struggle most with retention:
- Retail tops the list, with about a quarter of employees leaving annually.
- Hospitality, consumer services, and consumer goods follow, though their turnover is roughly half of retail’s.
Stable sectors have stronger retention
📉 Technical and industrial sectors show better stability:
- Utilities experience the strongest retention, with voluntary turnover near 5%. Notably, retail turnover is approximately 400% higher than that of utilities, and nearly double that of hospitality.
Why voluntary turnover matters
Voluntary exits reveal more than surface-level churn. According to Moody’s Ratings’ human capital report, a company’s ability to manage its workforce, through effective labor relations, talent retention strategies, and adaptability during economic shifts, directly affects its productivity, profitability, and ultimately, its credit quality.
Conclusion: turnover is a leadership test
Voluntary turnover is a strategic signal. Leaders in high-turnover industries must strengthen engagement and workforce management. Having the right data isn’t just informative, it’s essential for building resilient organizations with sustainable performance.
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