Business - Employees - Formulas

The formulas for any employee issues eg abesenteeism.

HideShow resource information

Labour Turnover -

Labour turnover: the proportion of employees leaving a business over a period of time - usually a year. It is seen as a percentage.

Formula -

Number leaving a business over a given period / average number employed over a given period

x 100

1 of 6

Causes of high labour turnover -

- Ineffective leadership and management techniques

- poor communications

- low wadges/salary

- boring and unchallenging

- poor work conditions

- better jobs available

2 of 6

Problems of high labour turnover -

- high recruitment and selection costs

- high induction and training costs

- loss of essential skills

- low morale

3 of 6

Absenteeism -

Absenteeism - The proportion of employees not at work on a given day.

Formula -

Total no. of days lost due to absence during the year / (Total no. of days that could have been worked x no. of employees)

x 100

4 of 6

Causes of absenteeism -

- High levels often indicate demotivation, low morale, low commitment, poor management and communication. Often it is genuine illness.

- Top causes of absenteeism include stress (41.5%)

- Problems include - cost of covering the worker, reduced output, missed deadlines, poor reputation.

5 of 6

Heath & Safety absenteeism -

Rate of absenteeism lost for h&s reasons

Formlua -

No. of working days lost for health and sefety reasons / (the no. of days possibly could have worked x no. of employees )

x 100

6 of 6


No comments have yet been made

Similar Business Studies resources:

See all Business Studies resources »