Employee Turnover on the Rise in the UK
A startling 23 percent of UK workers are considering leaving their jobs in the short term, marking a 3 percent increase compared to 2023, according to recent research from employee experience specialists, Culture Amp. An additional 13 percent of employees see their current roles as untenable in the long term, projecting departures by 2026.
These figures put the UK ahead of other Western economies, with attrition rates exceeding those in the United States (19 percent) and Australia (18 percent). Only Germany surpasses the UK, where 24 percent of employees anticipate moving on by 2025.
The True Cost of Employee Turnover
Culture Amp highlights the financial strain of employee turnover, estimating that the cost of replacing a worker begins at 30 percent of their salary and escalates to 200 percent for high performers. With the UK’s 2024 average salary pegged at £37,430, organisations face replacement costs ranging from £11,229 to an eye-watering £74,860 per employee.
These figures underscore the significant economic impact of a mobile workforce and the urgent need for organisations to prioritise employee retention strategies.
Leadership’s Role in Employee Retention
Culture Amp’s research identifies leadership quality as the most critical factor influencing employee loyalty. Employees closely link strong leadership to an organisation’s health and performance, making it a more significant determinant of retention than direct management or poor management.
Key findings include:
- Employees with strong leaders and great managers report a 94 percent commitment to stay.
- When leadership is poor, even with strong managers, workers vote with their feet and commitment plummets to 35 percent.
- A combination of poor leadership and weak management sees commitment nosedive to just 19 percent with quiet quitting not being included in these figures.
Leadership transitions are particularly disruptive, with teams experiencing a 40 percent higher attrition rate within six months of a leader’s departure. By contrast, managerial changes increase attrition by only 16 percent.
Navigating Workforce Challenges in 2025
Nick Matthews, Culture Amp’s General Manager for EMEA, notes the critical importance of aligning leadership and management efforts to bolster employee experience amid ongoing workplace uncertainties.
“Our research challenges the traditional notion that employees simply leave bad managers,” Matthews said. “Organisations must leverage their leadership layer alongside frontline managers to create a coherent, strategic focus on employee retention and engagement. As Europe faces ongoing political, economic, and social uncertainties, prioritising workforce strategies is essential for navigating 2025’s challenges.”
The Workers Union Says…
“With nearly one in four UK workers eyeing the exit door, the findings spotlight the need for organisations to refine their leadership approaches and invest in retention strategies. The cost of turnover and the impact on team performance make addressing this trend not just a business imperative but a strategic necessity.”
