What is Attrition?
Attrition refers to the gradual reduction in the number of employees within a company over time. This can occur due to a variety of factors, including retirement, resignation, termination, and death. Attrition can also refer to the loss of customers or clients over time.
In the context of human resources, attrition can be a significant concern for companies, as it can lead to a loss of knowledge, experience, and institutional memory. To mitigate the negative impact of attrition, companies may implement retention strategies, such as training and development programs, employee engagement initiatives, and competitive compensation packages.
Attrition can also be a useful measure of the health and stability of a company. A high rate of attrition may be a sign of poor employee morale, a toxic work environment, or other underlying issues that need to be addressed. On the other hand, a low rate of attrition can be an indicator of a positive and supportive work culture.