Understand the relationship between turnover and employee benefits

It is practically a consensus in the market that it is more worthwhile to create actions to maintain employee engagement than to create a vicious turnover cycle. For this reason, many companies are taking into account the turnover relationship and employee benefits .

Not surprisingly, a study by Kronos and Future Workplace showed that 87% of HR leaders recognize that talent retention is a top priority for companies. This is because the continuity of an employee is synonymous with results .

Therefore, there is a great turnover and employee benefits. Since employees are the company’s cogs and the happier and more motivated they are, the greater the chances of delivering good results to the organization.

Currently, salary is no longer sufficient to attract or retain talent.

A good benefit package is indeed a differentiator. Even for 90% of people it is he who makes them decide whether or not to stay in a certain company, revealed a survey by Insper .

Want to know more about the turnover relationship and employee benefits? How, for example, the costs between the two, benefit options and how to reduce turnover? Follow this article and learn how to keep your employees happy and motivated.

The turnover rate

The turnover or turnover rate indicates the length of time employees are in the company. If the value is high, the tendency is that the company has been spending excessive time and resources for new recruits and training.

To calculate this index, just list admissions and dismissals, according to the formula below.

However, it is necessary that the value is below 5% . If he is bigger than that, you need to understand what is preventing his employees from engaging with the company. In many situations there is a turnover relationship and benefits for employees.

The lack of benefits can encourage employees to seek new air or an environment where they can feel good and valued.

Turnover costs

According to the Work Institute by 2020, more than 47 million employees will voluntarily leave work. In the US, more than $ 2.9 million a day is spent searching for new employees.

Turnover costs around a third of a professional’s annual earnings, according to the American Labor Institute, and 33% is spent on temporary workers and recruitment processes.

In Brazil the reality is no different, since the country is the champion of turnover, with an increase of 82% since 2010 , revealed a Global survey by Robert Half . We can highlight among the main problems caused by turnover:

  • dismissal costs;
  • new admission costs;
  • spending on new training;
  • reduced productivity;
  • decreased results.

That is why it is so important to understand the turnover relationship and employee benefits. Every strategic action can make the employee feel satisfied in the work environment and give up leaving a company.

The use of talent retention benefits

To understand the relationship between turnover and employee benefits, it is necessary to know the employees’ desire. In the current market, more than 40% of professionals value and say they are attracted to a good package of benefits, according to a survey by Catho .

In other words, there is a turnover relationship and employee benefits that must be considered in the strategic plans for attracting and retaining talent .

This is because when a professional is valued, he tends to increase his productivity and satisfaction with the company. Even because a happy employee raises his productivity by 31%, revealed a study by the University of California .

With a good benefits package the company tends to:

  • enhance team productivity ;
  • increase results;
  • increase employee satisfaction;
  • reduce the turnover rate;
  • attract and retain talent.

But what benefits can I offer my employees? Meet some of them below.

Benefits tips: what can I use 

The turnover and employee benefits ratio can also be seen in a survey conducted by Ziegler Investment Banking , where for 79% of executives, talent recruitment and retention is the biggest concern.

In this sense, some strategies can help in the relationship between turnover and employee benefits. Where an attractive package can be a differentiator to create a fair and friendly relationship between employee and employer.

Discover some of the most attractive benefits on the market.



Facilities at the home office can remedy possible friction in the turnover ratio and employee benefits. Since this type of advantage is extremely attractive in the market.

81% of the country’s professionals would like to have this flexibility at work, to work from home or in another external environment, according to a survey by the National Confederation of Industry (CNI).



“Recognition is the best way to stimulate someone” – Mário Sérgio Cortella

Training, encouragement to study and much more. The turnover and employee benefits ratio necessarily requires a thorough analysis of the valuation of its employees.

And so, it is essential to take into account benefits such as education and training.

When the employee recognizes that the company is betting and believes in their professional growth, they tend to work more motivated. However, in Brazil the scenario of investment in benefits directed to training is very low.

A recent survey by the Brazilian Training Association indicated that companies in the country invest only R $ 788 per employee per year, while in the US the average investment per employee is US $ 1,200, more than R $ 4,000.


Health insurance

The health system in the country is not good, so medical plans are seen as one of the main benefits in the market.

Approximately 74% of employees, according to a survey by Catho , see the agreement as a motivating item within a good benefit plan, becoming a differential and determining factor in hiring and retaining talent.


Job and salary policy

Any employee wants not only to be valued by the company he works for, but also to have a career plan in which he can have the necessary direction to evolve in the company.

This can even be a great incentive to maintain your high productivity. In this turnover and employee benefits relationship, a good job and salary plan can therefore contribute to retaining talent.

Since the employee will know exactly which path he must take in the short, medium and long term. Having an exact notion of what you need to go through to ascend in the company and how long it should take.


Salary On Demand

The on-demand salary is the newest benefit that reduces turnover and benefits the employee, because there are few companies that care about the financial well-being of their employees.

The benefit allows employees to advance their wages whenever and wherever they want , avoiding abusive overdraft interest or revolving credit card interest.

Therefore, Xerpay is the platform that allows a company’s employees to advance their salary at a price much more affordable than interest .

The importance of investing in a benefit plan 

A study at the University of Warwick found that happy and satisfied employees work about 12% more than those who are dissatisfied.

Part of this satisfaction, in the current market, has to do with a good package of benefits that companies offer.

92% of employees put benefits as determinants for job satisfaction, a survey by the Society for Human Resource Management (SHRM) showed .

Therefore, it is essential that companies pay great attention to the turnover and employee benefits. Because the happier employees are, the greater the chances of retaining them in the organization.

And not only that, with the decrease in turnover, the chances of results and growth of the professional and the company itself increase. Since this way she will have a more experienced and engaged team.

In the current market, benefits have not only become an important and complementary part of the salary, but an almost mandatory advantage for companies that want to beat the competition.


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