Employee turnover refers to the rate at which employees leave a company and are replaced by new hires. It is often expressed as a percentage, calculated by dividing the number of employees who leave during a specific period by the average number of employees during that same period. High turnover can indicate issues within the workplace, such as low job satisfaction or poor management practices. Managing turnover is crucial for organizations, as it can lead to increased costs related to hiring and training new staff. Companies often analyze turnover rates to identify trends and implement strategies to improve employee retention, fostering a more stable and productive workforce.