Citing some leaked documents, it’s revealed that Amazon has some of the worst attrition rates ever in the history of corporates.
Engadget reported that only a third of Amazon’s new hires from last year have remained with the company for more than 90 days, while others were laid off or resigned. This has cost the company around $8 billion and triggered the fear of running out of the workforce in the near future!
Amazon Workforce Attrition Rate
Warehouse jobs are one of the worst, but people still do it for the sake of money. And this costs both their lives and even the company if they’re improper. Amazon is the best example of this, as some leaked documents revealed how the company is losing billions of dollars every year due to high employee turnover.
Citing internal research papers, slide decks, and spreadsheets from Amazon, Engadget reported that only a third of Amazon’s new hires stayed with the company for more than 90 days last year – before getting fired, laid off, or resigning. And this cost the company almost $8 billion!
The report further claims that workers are twice as likely to leave by choice rather than being laid off. And it’s not an issue that’s prevalent with the low-level workers, but with the managerial staff too. Amazon had the lowest attrition rate of 70% for one of the company’s 10 tiers of employees, while the highest at 81.3%.
One other report stated that around 3% of Amazon’s hourly employees left the company each week, worrying that it may not be left with any workforce in some areas soon.
While the floor workers cite obvious reasons for leaving the company, the managerial workers cite “development and promotions” as the reasons for ditching the company. Some pointed at the disorganized training programs that are unhelpful and potentially in wasteful manner as the reasons for slacked development.