To calculate the turnover rate, you should follow these steps:

1. Add up how many employees left the company during a specific period (like a year).

   Say 40.

2. Calculate the average number of employees during that period. You can find this by adding the number of employees at the start and end of the period and dividing by 2.

   (120 + 80)/2 = 100

3. Divide the number of employees who left by the average number of employees, then multiply by 100 to get the percentage.

   40/100 × 100

4. This percentage is your turnover rate:

   40%

A good turnover rate varies by industry, but a lower rate is generally seen as better. A turnover rate of around 10% or less is often considered good. This indicates that employees tend to stay with the company, suggesting a positive work environment and good employee satisfaction.

In 2022, the average turnover rate across various industries was approximately 47%. The rate varied significantly between sectors, with Leisure and Hospitality at the high end with 82% and Government at the low end with 20%.

It's important to compare turnover rates within the specific context of an industry to understand whether a rate is high or low.