Increased staff turnover costs Kazakhstani companies billions

According to the annual PwC salary and benefit review, Kazakhstani companies continued to improve business efficiency in 2018. The rate of return per employee (Human Capital ROI) grew 14% and reached USD 198,000. The share of labor costs also grew, on average, from 12% to 13%. This can be seen in increases in both average wage (10%) and average cost of benefits (3%). At the same time, results also demonstrated an increased rate of staff turnover, growing from 20% in 2017 to 25% in 2018 across all sectors. This growth was most pronounced, however, in the banking and financial sector, which saw staff turnover rate grow from 19% in 2017 to 32% in 2018. This should be an alarming figure for companies to examine closely as an increase of 1% in staff turnover leads to additional costs of 0.25% of payroll funds.