Employee Attrition: Strategize to Minimise

January 29, 2022

It isn’t easy to lose people, let alone the talent that has fetched good business to our organization. But this is something that cannot be avoided; or maybe it can be, sometimes. The idea is to work towards the benefit of the company and the employees. Employee attrition is the result of a number of reasons. These make 65% of the annual employee exits on an average, costing the company about 33% of the annual salary.

What is Employee Attrition?

Let’s start with a basic answer.

It is the drop in the number of employees in a company due to certain reasons. These reasons maybe as simple as leave or a little more complex in the form of resignations, layoffs, intercity transfers or sadly even death at times.

Once such an event occurs, the company requires time to fill up the vacant positions. And this is the main significance of Employee Attrition.

There are Two types of attrition. Voluntary Attrition is when the employee decides to leave the company as a personal decision as opposed to Involuntary Attrition where the company unfortunately has to terminate an employment.

It is confused with employee turnover where the company looks for a new candidate to fill up the vacancy. And that is where a thin line is to be drawn.

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Why does Employee Attrition take place?

It is healthy for any company to take employee exit as an opportunity for growth; both for the company and the employee. But the focus of is on the reason employee leaving the organization. In other words; WHY did it happen?

The Why of attrition is an open debate. There are several factors which might lead to increased employee attrition. Work pressure, inadequate salary and benefits, limited exposure, limited career growth, dissatisfaction with the company and work culture and few others.

Moreover, many-a-times personal situations too play spoilt-sport in the company-employee relationship. Ailments, family issues, sudden relocations are some to list.

During the current age of the pandemic, most of the companies have seen a boom in attrition. Employees were laid off, few of them resigned, few went on sick leave and never joined, whereas unfortunately a few of them died.

How can companies reduce Employee Attrition?

A lack of workforce, voluntary or involuntary; affects the work balance in the company. This may be a driving factor for the rest of the employees to find their environment unproductive.

Taking a step towards reducing attrition, companies can start with identifying areas that affect the productivity and work satisfaction of employees. Better onboarding and orientation practices, mentorship programs, better compensation, flexible working hours, well-thought perks and open communication channels can be a few initiatives towards employee retention.

As challenging as work can be, a little extra help in the form of cultural, spiritual, phycological and physical health offerings will also give the employees a holistic environment.


As healthy as it may be, attrition should be given equal attention as a company does to hiring talented people. While the companies celebrate each of its milestones, it should proactively acknowledge employee milestones. The company and the employees are a team and an emphasis on teamwork is what makes them a Company. A well worked policy for the employees and the company will be extremely helpful to reduce employee attrition, turning success rate of the company to a high.

To learn more write to us at connect@kernculture.com

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