ASE in Troy, one of the nation’s oldest and largest employer associations, has released its 2024 Employee Turnover Survey for Michigan.
The survey captures both voluntary and involuntary turnover for the 2023 calendar year. It also examines other workforce metrics of Michigan employers.
Highlights of the ASE 2024 Employee Turnover Survey include:
- Total voluntary employee turnover decreased from 20.1 percent in 2022 to 10.1 percent in 2023, signaling a sharp decline in the quit rate experienced by Michigan employers.
- Consistent with last year’s data, the most common reason for employee turnover was better salary/compensation (Hourly, 67 percent, Exempt, 56 percent, and Non-Exempt, Salaried, 53 percent). The subsequent most common reasons were personal problems (family, health, etc.) and retirement.
- According to participants, 2024 hiring will remain steady with nearly 51 percent keeping hiring activity similar to that of the previous year, while 21 percent plan to increase hiring compared to the previous year. The number of companies planning to decrease hiring in 2024 has increased slightly compared to 16 percent last year.
- Conducting exit interviews (78 percent), improving onboarding experience (63 percent), and compensation and benefit reviews (63 percent) were the most common steps taken to reduce turnover.
- According to recent data, 67 percent of companies encountered difficulties sourcing professional (technical) applicants, with 29 percent reporting it as ‘Very Difficult’, and an additional 38 percent labeling it as ‘Somewhat Difficult’.
“With voluntary employee turnover dropping significantly from 20.1 percent in 2022 to just 10.1 percent in 2023, Michigan employers are observing a marked decline in the quit rate, signaling a shift towards greater employment stability post-pandemic,” said Mary Corrado, president and CEO of ASE.
“However, the data also indicates that certain challenges will persist, notably a labor supply shortage in specific segments of our workforce, particularly among technical staff, likely exacerbated by continued retirements.”
According to ASE, 201 organizations from across Michigan participated in the survey. Organizations with 150 employees or fewer made up 57.7 percent of the survey sample, while organizations with between 151-300 employees represented 22.4 percent of the sample.
The remaining 19.9 percent of the sample came from organizations with more than 300 employees. A variety of industries have been represented in the survey, with durable goods manufacturing (43.8 percent) leading the pack. Education and health services (18.4 percent) were the second-largest industry representation.
To access the full report (the cost is $825), visit here.
