The turnover rate is a measure used to indicate how frequently employees leave a company and are replaced by new hires. It is typically expressed as a percentage and calculated by dividing the number of employees who leave during a specific period by the average number of employees during that same period. A high turnover rate may suggest issues within the workplace, such as low job satisfaction or poor management. Understanding the turnover rate is important for businesses, as it can impact productivity and morale. Companies often analyze this metric to identify trends and implement strategies to improve employee retention, ultimately fostering a more stable and engaged workforce.