Attrition Rate Calculation

Attrition calculation

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ATTRITION Price CALCULATION

(The formula and correct logic behind calculation of Attrition Price)

((no. Of attritions x one hundred) / (Actual Workers + New Joined)) /one hundred.

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Examples:

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1) Actual Employees          No. Of individuals left     No. Of Joined        Total Staff

(Opening BAL)                    (Attritions)                                        (Present Headcount)

         150                                     20                             25                        155

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So according to the formula: ((20 x one hundred) / (150 + 25)) / 100

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Which comes to .1142 i.e. 11%

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Now as you had 150 previously and now 25 joined so it tends to make 150 + 25 =175

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Now if you calculate 11.42% of 175 i.e. 175 x .1142 = 20

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Which clearly shows that 175 – 20 = 155, which is your present headcount and at the same time you can say my attrition is 11.42% that shows you lost 20 workers of 150 and 25 far more joined which makes count to 175.

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two) Actual Employees          No. Of men and women left     No. Of  Joined        Total Workers

(Opening BAL)                    (Attritions)                                        (Current Headcount)

         100                                     50                             0                           50

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This is the particular case where we are contemplating attritions only keeping into thoughts that no one has joined in particular month.

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So according to the formula: ((50 x one hundred) / (100)) / one hundred

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Which comes to .five i.e. 50%

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Now as you had 100 previously and now joined so it makes one hundred + =one hundred

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Now if you calculate 50% of one hundred i.e. one hundred x .5 = 50

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Which clearly shows that 100 – 50 = 50, which is your current headcount and at the same time you can say my attrition is 50% that shows you lost 50 employees of 100 and joined which tends to make count to 50.

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3) Actual Employees          No. Of men and women left     No. Of Joined        Total Employees

(Opening BAL)                    (Attritions)                                        (Present Headcount)

         500                                     200                            100                        400

So according to the formula: ((200 x one hundred) / (500 +one hundred)) / one hundred

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Which comes to .3333 i.e. 33.33%

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Now as you had 500 previously and now one hundred joined so it tends to make 500 + one hundred =600

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Now if you calculate 33.33% of 600 i.e. 600 x .3333 = 200

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Which clearly shows that 600 – 200 = 400, which is your current headcount and at the same time you can say my attrition is 33.33% that shows you lost 200 staff of 500 and 100 far more joined which tends to make count to 400.

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4) Actual Employees          No. Of people left     No. Of Joined        Total Staff

(Opening BAL)                    (Attritions)                                        (Existing Headcount)

         8000                                  5000                        500                          3500

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So according to the formula: ((5000 x one hundred) / (8000 +500)) / one hundred

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Which comes to .5882 i.e. 58.82%

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Now as you had 8000 previously and now 500 joined so it tends to make 8000 + 500 =8500

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Now if you calculate 58.82% of 8500 i.e. 8500 x .5882 = 5000

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Which clearly shows that 8500 – 5000 = 3500, which is your current headcount and at the exact same time you can say my attrition is 58.82% that shows you lost 5000 staff of 8000 and 500 more joined which tends to make count to 3500.

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