Fifty employees of GlowFax Inc. quit the company this year. Thirty-five of the employees left by choice, while the rest were asked to leave either because of poor performance or high absenteeism. The total number of employees in the company was 270 in January. The midyear employee count was 250, and the number became 220 at the end of the year. What is GlowFax's turnover rate for this year?

Question

Quizplus · Accepted Answer

The turnover rate is calculated as the number of separations during the year divided by the average number of employees during the year. The average number of employees = (270 + 220) / 2 = 245. The number of separations = 50. Thus, the turnover rate = (50 / 245) * 100 = 20.41%, which rounds to 20 percent.

Fifty Employees of GlowFax Inc