Revelations from Workforce Turnover. A Closer Look Through Predictive Analytics
Addressing workforce turnover has long been more of an art than a science. The real drivers that cause employees to leave one company for another have remained elusive despite years of study. That is changing.
Leveraging "Big Data" makes a difference - a transformational difference. Today, data consisting of millions of actual employee experiences is the foundation for usable, factual information:
- Suppositions can be tested
- Correlations can be compared
- Drivers can be evaluated, weighed and given relative value
- More importantly, models – actionable models – can be built
In lieu of big data capabilities, HR professionals historically relied on employee surveys and the expert opinions of colleagues. These sources are subjective and prone to preconceived notions. Now there is a better way.
ADP Research Institute® (ADP RI) has published a new study where we compare turnover within specific industries to the national experience and explore how predictive models help determine the likelihood of turnover in a company, an office, even for a specific employee.
About this report: For this study, ADP RI looked at monthly anonymized payroll data for companies with 25 or more employees for a two-year period from January 2015 through December 2016. This sample of 41,000 companies and 12.5 million employees was used for describing the overall turnover landscape and determining benchmarks by industry. To develop an additional model for predicting voluntary turnover, a subset of the above sample selected 1900 companies with 1000 or more employees. This provided a sample of 7 million employees.