Employee retention statistics for 2026

The latest turnover, quits and tenure numbers from the BLS, Gallup and Pew, each linked to its source.

KraftyLab TeamUpdated 8 min read
Teammates clap and laugh around a longtime colleague holding a small cake with one lit candle in an office break room

These employee retention statistics come from the people who collect the data: the US Bureau of Labor Statistics for quits, turnover and tenure, Gallup for job seeking and why people leave, plus Pew Research Center and two peer-reviewed studies. Each number names its publisher and date, from the newest edition we could check. BLS rates are monthly unless we say otherwise.

Key employee retention statistics

Six numbers worth knowing before you plan anything.

  • 1.9%

    US quits rate in August 2026, or 3.1 million quits in one month.

    BLS JOLTS, Aug 2026
  • 38.0 million

    quits in 2025, 60.6% of the year's 62.8 million job separations.

    BLS JOLTS, 2025 annual
  • 20.6%

    of US workers had been with their employer a year or less in January 2026, down from 22.2% in 2024.

    BLS Employee Tenure, 2026
  • 52%

    of US employees were watching for or actively seeking a new job as of May 2026.

    Gallup, May 2026
  • 42%

    of people who quit say their manager or organization could have done something to keep them.

    Gallup, 2024
  • 45%

    less likely to have left two years later: well-recognized employees, compared with the rest.

    Gallup and Workhuman, 2024

Employee turnover statistics: quits, layoffs and hires

From the BLS Job Openings and Labor Turnover Survey (JOLTS): August 2026 data, released September 29, 2026, and the 2025 annual totals.

  • 5.1 million total separations in August 2026, 3.2% of employment, counting quits, layoffs and other exits. BLS JOLTS, Aug 2026
  • 1.6 million layoffs and discharges in August 2026, a rate of 1.0%. BLS JOLTS, Aug 2026
  • 5.2 million hires in August 2026, a hires rate of 3.3%, a little above separations. BLS JOLTS, Aug 2026
  • 2.0% the 2025 annual average quits rate; layoffs and discharges averaged 1.1%. BLS JOLTS, 2025 annual
  • 3.0% the highest quits rate since the series began in December 2000, in November 2021 and April 2022; 2019 ran at 2.3% to 2.4%. BLS JOLTS quits series
  • 28% of US employees said in May 2026 that now is a good time to find a quality job. Gallup, May 2026

Quits are the number to watch for retention: JOLTS counts them as separations the employee chose. A monthly rate times 12 gives a rough yearly turnover rate. To calculate your own, with the formula and worked examples, use our turnover rate calculator.

Turnover rate by industry

Monthly quits rates by industry, seasonally adjusted. The August 2026 figures are preliminary.

Monthly quits rate by industry, August 2026 and August 2025
IndustryAug 2026Aug 2025
Accommodation and food services3.5%3.9%
Retail trade3.0%2.4%
Professional and business services2.1%2.5%
Health care and social assistance2.0%2.2%
Construction1.8%1.8%
Manufacturing1.6%1.3%
Information1.1%1.2%
Financial activities1.0%1.3%
Government0.7%0.8%
All industries1.9%2.0%

Source: BLS JOLTS, Aug 2026, table 4.

Employee tenure statistics

How long people stay, from the BLS tenure survey. It runs every two years; January 2026 is the latest.

  • 4.1 years median time US wage and salary workers had been with their employer in January 2026, up from 3.9 in 2024. BLS Employee Tenure, 2026
  • 9.6 vs 3.0 years median tenure of workers aged 55 to 64 compared with workers aged 25 to 34. BLS Employee Tenure, 2026
  • 5.6 vs 3.9 years median tenure in the public sector compared with the private sector; federal employees led at 7.0. BLS Employee Tenure, 2026
  • 2.4 years median tenure in leisure and hospitality, the lowest of the major private industries; financial activities was highest at 5.0. BLS Employee Tenure, 2026
  • 2.2 years median tenure in food preparation and serving jobs, against 6.1 years in management jobs. BLS Employee Tenure, 2026
  • 52.6% of workers aged 60 to 64 had 10 or more years with their employer, against 20.3% of those aged 35 to 39. BLS Employee Tenure, 2026
  • 12.9 jobs held on average from ages 18 to 58 by people born from 1957 to 1964, including 5.6 from ages 18 to 24. BLS NLSY79, 2025
A team lead shakes hands with a new hire at a desk while two teammates smile and a welcome tote sits on the desk

Why employees leave, and how many could have stayed

What people who quit say about their reasons and their last months in the job.

  • 16% of US employees who left a job in 2024 named pay or benefits, the most common single reason. Gallup, 2024 exits
  • 68% of exits fell under two themes in 2024: engagement and culture (37%), and wellbeing and work-life balance (31%). Gallup, 2024 exits
  • 70% of preventable leavers named a fix in how they were managed day to day, such as more positive interactions with their manager. Gallup, 2024
  • 45% of people who quit say no manager or leader asked about their satisfaction, performance or future in their last three months. Gallup, 2024
  • 36% of people who quit talked to no one before deciding to resign. Gallup, 2024
  • 77% of people who quit left within three months of starting a job search, or never searched at all. Gallup, 2024
  • 63%, 63% and 57% of people who quit a job in 2021 cited low pay, no chance to advance and feeling disrespected. Pew Research Center, 2022

Pay matters, but it is rarely the whole story. For the warning signs before someone hands in notice, see our guide to disengaged employees.

What the research says keeps people

Two retention drivers with good evidence: a randomized trial on hybrid work and a two-year study of recognition.

  • One third fewer quits with two work-from-home days a week, in a six-month randomized trial of 1,612 employees at a Chinese tech company. Nature, 2024
  • No difference in performance grades or promotions over the next two years for those hybrid workers. Nature, 2024
  • 22% of employees say they get the right amount of recognition for the work they do. Gallup and Workhuman, 2024
  • 65% less likely to be looking or watching for a new job: employees whose recognition meets at least four of Gallup's five pillars. Gallup and Workhuman, 2024

What employee turnover costs

Gallup's replacement cost estimates, as a share of the leaver's annual salary, and what turnover does to results.

  • 200% of salary to replace a leader or manager, by Gallup's estimate. Gallup, 2024
  • 80% of salary to replace a professional in a technical role. Gallup, 2024
  • 40% of salary to replace a frontline employee. Gallup, 2024
  • −0.15 meta-analytic correlation between turnover rates and organizational performance across 110 independent correlations: more turnover went with weaker results. Journal of Applied Psychology, 2013

Estimate your own. Enter your headcount, annual turnover rate and the average salary of people who leave, then pick the Gallup estimate that fits the roles.

Replacement cost as a share of salary: Gallup’s estimates for frontline employees, professionals in technical roles, and leaders and managers. Source: Gallup, 2024

Estimated turnover cost a year

$432,000

  • 18 people leave a year
  • $24,000 to replace each one (40% of salary)
  • $28,800 saved a year for each point of turnover you cut

A rough guide, not an audit: real costs depend on the role, how long the seat stays empty and how fast the new hire gets up to speed.

What to do with these numbers

National figures tell you where you stand. These are the moves they point to.

  • Compare like with like. Put your monthly quits rate next to your industry's row above, not the national 1.9%. Our turnover rate calculator turns your headcount into a monthly and annual rate.
  • Ask before people decide. Nearly half of leavers say no one asked how the job was going in their last three months. Stay interviews and a 90-day plan are in our employee retention ideas.
  • Make the first year count. One in five workers has been in their job a year or less, so onboarding reaches a big share of your team. Hosted new hire events mix newcomers with everyone else.
  • Recognize the work, and the years. Few employees feel recognized enough. Mark milestones with work anniversary gifts and say thanks with employee appreciation gifts.
  • Give people reasons to know each other. A shared hour of games or a hands-on class is a simple way to say thanks to the whole team. Our employee appreciation events run live on Zoom by default.

Two easy thank-yous for the whole team, with today’s prices.

Browse 115+ virtual events, or send your date and headcount and get a free quote within 24 hours. The statistics above are national surveys, not results from KraftyLab events.

Sources

Opened and read at each publisher in October 2026.

  1. US Bureau of Labor Statistics, Job Openings and Labor Turnover, August 2026, released September 29, 2026.
  2. US Bureau of Labor Statistics, Job Openings and Labor Turnover, January 2026 (2025 annual estimates), released March 13, 2026.
  3. US Bureau of Labor Statistics, JOLTS quits rate, total nonfarm, seasonally adjusted (series JTS000000000000000QUR), data through August 2026.
  4. US Bureau of Labor Statistics, Employee Tenure in 2026, released September 24, 2026 (January 2026 data).
  5. US Bureau of Labor Statistics, Number of Jobs, Labor Market Experience, Marital Status, and Health for those Born 1957-1964, released August 26, 2025.
  6. Gallup, Employee Retention & Attraction indicator, figures as of May 2026.
  7. Gallup, Employee Retention & Attraction indicator: primary reasons U.S. employees voluntarily left, 2024 data.
  8. Gallup, 42% of Employee Turnover Is Preventable but Often Ignored, July 9, 2024, updated February 16, 2026.
  9. Gallup and Workhuman, Employee Retention Depends on Getting Recognition Right, September 18, 2024.
  10. Pew Research Center, Majority of workers who quit a job in 2021 cite low pay, no opportunities for advancement, feeling disrespected, March 9, 2022.
  11. Nicholas Bloom, Ruobing Han and James Liang, Nature, Hybrid working from home improves retention without damaging performance, June 2024.
  12. Tae-Youn Park and Jason D. Shaw, Journal of Applied Psychology, Turnover rates and organizational performance: a meta-analysis, 2013.

Employee retention statistics FAQ

What is the average employee turnover rate?

In August 2026, US total separations ran at 3.2% of employment for the month and quits at 1.9%, according to the Bureau of Labor Statistics JOLTS survey. Across 2025, employers recorded 62.8 million separations, 38.0 million of them quits. Rates vary widely by industry, so compare yours with your own industry's row. To work out your own rate, use our turnover rate calculator.

Which industries have the highest turnover?

Accommodation and food services had the highest quits rate in the August 2026 JOLTS data at 3.5% for the month, followed by retail trade at 3.0%. Government had the lowest of the major sectors at 0.7%, and financial activities was at 1.0%.

How long do employees stay with one employer?

The median US wage and salary worker had been with their current employer for 4.1 years in January 2026, according to the BLS. Tenure rises with age: 3.0 years for workers aged 25 to 34 and 9.6 years for workers aged 55 to 64.

What percentage of employees are looking for a new job?

As of May 2026, 52% of US employees told Gallup they were watching for or actively seeking a new job. Only 28% said it was a good time to find a quality job, which helps explain why actual quits stay low.

How much does employee turnover cost?

Gallup estimates that replacing a frontline employee costs about 40% of their salary, a professional in a technical role about 80% and a leader or manager about 200%. The estimator on this page multiplies those shares by your headcount, turnover rate and average salary.

What are the top reasons employees quit?

In Gallup's 2024 data, pay and benefits was the most common single reason, named by 16% of leavers, but most exits fell under engagement and culture or wellbeing and work-life balance. Pew Research Center found that 63% of people who quit a job in 2021 cited low pay and 63% cited no chance to advance.

How much employee turnover is preventable?

In Gallup's study of people who had quit, 42% said their manager or organization could have done something to keep them, and 45% said no manager or leader had asked about their satisfaction, performance or future in their last three months.

Give your team a reason to stay together

Hosted games and hands-on classes your whole team can join. Share a date and a rough headcount, and a plan comes back within 24 hours.