What is Attrition?

Attrition has the following two meanings:


  • In business, it’s the process through which companies will reduce the size of their staff by not hiring new employees when the previous ones voluntarily leave their job. This is known as employee attrition.
  • This term can also refer to the reduction of a client/customer base of a business when there are clients that leave, but there aren’t enough new customers replacing them.

What are the reasons that lead to attrition?

There are many reasons why an employee leaves a company, such as:


  • The employee finds a better job position in another company
  • The employee moves to another city
  • The employee retires
  • The employee can’t work because of some illness
  • Death

When these employees leave the company, attrition occurs when:


  • Their job role has become obsolete
  • The organisation faces economical difficulties and has to reduce costs by reducing the number of employees

In general terms, employee attrition is a less aggressive and more humane way of reducing a workforce’s size than it would be making employees redundant.

document verification

Document Verification

Fully automated. No Human-in-the-loop.

Learn more
1 Platform 8 checks

1 Platform - 8 Checks

Innovative Platform For Employment Vetting

Learn More
Tier 2 Sponsor Mock Audit

Tier 2 Sponsor: Mock Audit

Immigration compliance and right to work checks

Learn More

Use Complygate to increase confidence in decision making.

Learn more

Blog

Check our blog for latest industry news and update about new releases.

Complygate is the best HR software for SMEs.

image
16 Apr 2021

21 Future HR Jobs

There has been a considerably great difference in the way we work, where we work, and most important the use of technologies to keep in touch with each other. This has had a prompt impact around the g

Read More
image
12 Apr 2021

Agile High Potential Employees (HIPO): The Future of Fashion

One trendy area for HR practitioners concerns the management of so-called ‘high potential employees’ or ‘HiPo’ or ‘HIPO’. Is this the future of fashion for Employee Resourcing?

Read More
image
08 Apr 2021

Are Employees Working Harder in Lockdown?

Work outside the normal working hours during the lockdown has contributed to serious health issues amongst the remotely-working workforce.

Read More