Annualised rate = 14.3% × 12 ÷ 6 = 28.6% (using the unrounded period rate)
What the rate cannot see
The CIPD's 34% is average annual churn for UK workers from ONS survey data (January 2022 to December 2023). It counts every kind of leaver, and industries ranged from 25% in public administration and defence to 52% in hospitality. Your own trend over time is the more useful comparison.
The annualised rate assumes the next 6 months look like this one. A seasonal peak or one-off restructure in a short period will overstate the year.
Whether a leaver counts as voluntary or involuntary is a judgement. Retirement, the end of a fixed-term contract and leaving by mutual agreement can sit on either side, so record the reason and apply one rule consistently.
If headcount rose or fell sharply during the period, monthly headcounts give a fairer average than the start and end figures.
Basis: Crude turnover rate = leavers ÷ average headcount × 100. Average headcount = (start + end) ÷ 2, or the mean of monthly headcounts. Annualised rate = period rate × 12 ÷ months. UK law does not define staff turnover, so this is a management measure rather than a legal rule. The 34% UK figure is the CIPD's analysis of ONS Annual Population Survey data for January 2022 to December 2023, published 11 June 2024. Rules checked 8 November 2026. Rules checked .
This is the crude turnover rate, the measure most UK employers report. The calculation keeps full precision and rounds only the rates shown.
1
Find the average headcount
Add the headcount at the start and end of the period and divide by two. If numbers moved a lot during the period, average the month-end figures instead.
2
Divide leavers by the average
Count everyone who left the organisation in the period, divide by the average headcount and multiply by 100. Voluntary and involuntary rates use the same average.
3
Annualise a shorter period
Multiply the period rate by 12 and divide by the number of months, so a quarter or a half-year can sit beside an annual figure.
Worked example
Worked example: six months in a growing team
A team grows from 40 to 44 people over six months. Six people leave: four resign and two leave through dismissal or redundancy.
Annualised rate = 14.3% × 12 ÷ 6 = 28.6% (using the unrounded period rate)
Turnover is 14.3% for the six months, or 28.6% annualised, below the CIPD UK average of 34%.
Use it with context
A consistent measure, not a verdict
Use the rate to track change over time and to compare like with like. Why people leave tells you more than the percentage alone.
This calculator covers
Crude turnover from leavers and average headcount
A start-and-end or monthly average headcount
Voluntary and involuntary rates from your own counts
An annualised rate for periods from 1 to 24 months
Check the full guidance for
How to class retirement, fixed-term and mutual-agreement leavers
Turnover by team, role or length of service
Early-leaver measures, such as people who leave in their first year
Any dismissal, redundancy or other decision about a person
From calculation to record
Let the record count the leavers
HollyHR's turnover report uses the start and leaving dates you record to show turnover for the last three, six or twelve months, with a breakdown by department.
Divide the number of leavers in a period by the average headcount for the same period, then multiply by 100. Average headcount is usually the start and end figures added together and halved.
What is the average staff turnover rate in the UK?
The CIPD's analysis of ONS Annual Population Survey data puts average UK churn at 34% a year for January 2022 to December 2023: 27.4% moved to a new employer and 6.6% were not working a year later. Industries ranged from 25% in public administration and defence to 52% in hospitality. Your own trend over time is the better guide.
Who counts as a leaver?
Count everyone whose employment with the organisation ended in the period, including people who joined and left within it. Do not count moves between teams. Decide how to treat fixed-term contracts that end and staff who transfer to another employer, then apply that rule every time.
What is the difference between voluntary and involuntary turnover?
Voluntary turnover is people who chose to leave, mainly resignations. Involuntary turnover is employment the employer ended, such as dismissals and redundancies. Retirement, the end of a fixed-term contract and leaving by mutual agreement need a judgement, so set a rule and keep to it.
How do I annualise turnover for a quarter?
Multiply the period rate by 12 and divide by the number of months, which for a quarter means multiplying by four. This assumes the rest of the year looks the same, so a seasonal peak or a one-off restructure will overstate the annual figure.
Is there a legal definition of staff turnover?
No. UK employment law does not define or require a turnover rate, so methods vary between organisations and surveys. State the method beside the figure whenever you compare it with someone else's.