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Survey Reveals the Soaring Financial Toll of Employee Departures
As the midpoint of 2025 approaches, many companies are not only focused on hiring but also preparing for a potential rise in employee turnover.
According to a recent Express Employment Professionals-Harris Poll survey, close to 1 in 3 Canadian hiring managers (28%) expect turnover at their company to increase this year.
This growing concern is already impacting company budgets. On average, turnover costs businesses $29,234 annually in expenses like rehiring and lost productivity. For nearly 1 in 5 hiring managers (17%), that number climbs to $100,000 or more each year.
The financial burden of turnover is especially pronounced in larger organizations. Among those who report annual turnover costs of $100,000 or more:
- 34% of companies with at least 500 employees
- 6% of companies with 10–99 employees
- 4% of companies with 2–9 employees
Among those anticipating increased turnover, the most commonly cited reasons include:
- Increased workplace demands (37%)
- Better pay and benefits offered elsewhere (33%)
- Feelings of being overworked (29%)
- A competitive job market (29%)
- Better perks elsewhere (26%)
- Employee retirements (25%)
- Employees looking to switch careers (24%)
- Employees voluntarily resigning (23%)
- Employees being terminated (22%)
- Better company culture elsewhere (22%)
- More advancement opportunities elsewhere (20%)
- No remote work options (19%)
- No flexible work schedules (19%)
In light of these challenges, hiring remains a top priority for Canadian companies. A strong majority (83%) of hiring managers say their companies still plan to hire in 2025, which is in line with last year's figures. Among those, 33% are hiring to increase their overall headcount, while 37% aim to maintain current staffing levels.
Notably, 38% of those planning to hire say the need to replace employees lost to turnover is a key driver behind their plans.
“Employee turnover isn’t just a staffing issue, it’s a financial one,” said Express CEO Bob Funk, Jr. “Companies that want to stay competitive must be intentional about retention. That means building a workplace where people see long-term value — not just in compensation, but in leadership, clarity of direction and the opportunity to contribute meaningfully.”
Survey Methodology
The Job Insights survey was conducted online within Canada by The Harris Poll on behalf of Express Employment Professionals between Nov. 11 – 26, 2024, among 505 Canadian hiring decision-makers.
For full survey methodology, please contact Ana Curic at Ana@MapleLeafStrategies.com.
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If you would like to arrange for an interview to discuss this topic, please contact Ana Curic at (613) 858-2622 or email Ana@MapleLeafStrategies.com.
About Robert (Bob) Funk, Jr.
Robert (Bob) Funk, Jr., is the Chief Executive Officer and Chairman of Express Employment International, a global staffing franchisor founded and headquartered in Oklahoma City, Oklahoma. He leads a portfolio of workforce solution brands, including the flagship Express Employment Professionals franchise, along with several affiliated brands serving specialized markets. The Express franchise brand is an industry-leading, international staffing company with franchise locations across the U.S., Canada, South Africa, Australia and New Zealand.
About Express Employment Professionals
At Express Employment Professionals, we’re in the business of people. From job seekers to client companies, Express helps people thrive and businesses grow. Our international network of franchises offers localized staffing solutions to the communities they serve across the U.S., Canada, South Africa, Australia and New Zealand, employing 427,000 people globally in 2024 and more than 11 million since its inception. For more information, visit ExpressPros.ca.