Hiring Managers Anticipate a Staff Turnover Surge in 2024

The corporate landscape is on alert following a comprehensive report from Express Employment Professionals and Harris Poll, which reveals 33% of US hiring managers are bracing for a surge in employee turnover throughout 2024. This projection raises concerns about potential financial ramifications for companies and the imminent burden it will place on existing staff.

Diving into the intricacies of this anticipated turnover, the report uncovers specific factors contributing to the impending surge. This includes the allure of superior pay or benefits (38%), heightened workplace demands (35%), and voluntary resignations (33%). The outlined challenges paint a comprehensive picture of the complexities hiring managers will be facing in the coming year.

Financial insights gleaned from a November survey featuring 1,007 US hiring decision-makers reveal the tangible costs associated with high turnover. The average annual cost for companies is reported to be US$36,295 in lost productivity and rehiring expenses, with over 20% of respondents indicating figures escalating to US$100,000 or more for their respective companies.

In response to this imminent challenge, Bill Stoller, CEO, Express Employment International, advocates for a proactive approach. Stoller urges companies to capitalize on the current trend of employees staying in place, citing it as an opportunity to implement effective retention tactics and stabilize headcount with top talent.

As the corporate landscape stands at the precipice of change, the report indicates a strategic response from hiring managers. Almost 90% of hiring managers are gearing up to hire in 2024, marking a significant increase from the 81% of hiring managers in 2022. 

To fortify their workforce against the anticipated increase in turnover, human capital management priorities for 2024 underscore a strong focus on employee experience, organizational culture, and the development of leadership and workforce capabilities. This strategic approach aims to proactively address the challenges ahead and foster a more resilient workforce.