Staff turnover is a significant concern for organisations for several reasons. Firstly, it can incur substantial costs associated with recruitment, training, and onboarding of new personnel. This financial aspect is particularly pertinent as it can impact the overall budget and resources of a company.

Moreover, high staff turnover can disrupt the workflow and productivity of a team. Constantly having to integrate new members and adapt to changes in personnel can lead to a decline in team cohesion and efficiency. This can, in turn, affect the quality of work and the attainment of organisational goals.

Employee morale and engagement are also crucial factors. High turnover rates may create a sense of instability and uncertainty among remaining staff, leading to lower morale and a decreased commitment to the organisation. This can have a detrimental effect on the overall workplace culture and employee satisfaction.

Additionally, the loss of experienced and knowledgeable employees can result in a decline in institutional knowledge within the company.
This knowledge is often vital for maintaining effective processes and problem-solving. High turnover can, therefore, hinder a company's ability to innovate and adapt to changing circumstances.