What are the downsides of companies that are constantly replacing staff?
The major downsides to constantly replacing staff are: replacement costs; morale problems; and loss of institutional knowledge. We know that it costs between 40-60% of one’s salary to replace an employee, so it’s expensive to constantly replace talent.
Because we operate in a “work community,” the loss of a community member can be traumatic and affect productivity to those who remain. While some turnover is normal and unavoidable, too much can take a toll on the organization.
Every time someone leaves the organization, it loses some knowledge that must be replaced (and in some cases can’t be). There is a cost in real dollars to the organization. Again, some turnover is normal, but too much will hurt the bottom line.
Johnny C. Taylor, Jr. is quickly becoming one of the most sought after keynote speakers in the world. Audiences from the United States to Australia all agree that his speeches are deeply inspirational. His enthusiasm is contagious, and his delivery is dynamic.