We work on a return on investment ratio of 10:1
Studies now consistently show that employee engagement and profitability are directly linked. Organisations with an engagement score of 60% or higher have an average five-year shareholder return of more than 20%, while companies with engagement scores of less than 40% usually have a negative return of 10% to shareholders.
Analysts have identified that staff turnover can cost your organisation between one and two times an employee’s salary in lost productivity, advertising, recruiting and retraining costs. For an average company of 1000 employees, assuming an average salary of $60,000 with 20% turnover, this equates to over $14 million dollars annually in lost productivity.
Return On Investment: Turnover Calculator
Our aim is for organisations to always get a return on investment of atleast 10 times more than they invest in any employee engagement initiatives.