Minimize Costs of Change
- actionpotentialcon

- Feb 22
- 1 min read
Updated: 3 days ago
Turnover costs are often more detrimental than organization estimate. Turnover cost fall into two main categories:
Direct Costs
Recruiting & job advertising
Recruiter time or agency fees
Background checks & assessments
Interview time (hiring managers + HR)
Signing bonuses
Onboarding & training costs
Indirect Costs (Often Larger)
Lost productivity during vacancy
Reduced team productivity
Knowledge drain
Customer service disruption
Lower morale
Mistakes from new hires learning the role
Indirect costs are frequently underestimated but can exceed direct hiring costs.
High turnover doesn’t just increase hiring costs — it:
Reduces institutional knowledge
Increases burnout among remaining employees
Impacts revenue and customer retention
Damages employer brand
Not every employee is going to reach their potential in every role or organization. However, using a coaching model to support employees in their transition to a better working context will reduce the costs of turnover.
Using a coaching model to support outgoing employees may also provide new opportunities for the agency through new partnerships and maintaining positive relationships.


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