Reducing Voluntary Turnover by 30% Across 23 Markets
A global organisation was experiencing 19% voluntary turnover. That figure alone did not trigger alarm. But when the data was segmented by priority growth markets, the picture changed completely.
In seven of the organisation’s 23 markets, voluntary turnover was running at 28% or higher. In three of those markets, the business was actively trying to scale headcount. The result was a treadmill – hiring to replace leavers rather than hiring to grow.
The Diagnosis
The interim COO engaged by the private equity owner conducted a structured diagnostic across the seven high-turnover markets within the first 30 days. The findings pointed to three consistent root causes:
| Manager quality | First-line managers in high-turnover markets had been promoted on technical performance, not people leadership capability. No structured onboarding or management development had been provided. |
| Compensation positioning | Salary benchmarking had not been updated in three years. In four markets the business was paying below the 40th percentile for comparable roles. |
| Career visibility | Employees in growth markets could not see a clear path forward. Internal mobility was low and informal. High performers were leaving for organisations that offered visible progression. |
The Intervention
The interim COO designed and delivered a 90-day intervention programme focused on the seven priority markets. The programme had three workstreams running in parallel.
Manager capability: A structured management development programme was introduced for all first-line managers in the target markets. The programme focused on practical people leadership skills – onboarding, performance conversations, recognition, and retention. Completion was tracked and linked to manager performance objectives.
Compensation correction: A market benchmarking exercise was completed for all roles in the seven markets. Where salaries were below the 50th percentile, corrections were made in the next pay cycle. The cost of the corrections was significantly lower than the cost of continued replacement hiring.
Career framework: A transparent internal mobility framework was introduced, with defined progression criteria for each role family. Open roles were posted internally before going external. A quarterly talent review process was established to identify and develop high-potential employees.
The Results
At the 6-month review, voluntary turnover in the seven target markets had fallen from an average of 28% to 19%. At 12 months, the aggregate voluntary turnover rate across all 23 markets had reduced from 19% to 13% – a 30% reduction.
Recruitment costs in the target markets fell by 41% year on year. Time to productivity for new hires improved as manager capability increased. Three of the seven markets met their headcount growth targets for the first time in two years.
The private equity owner noted the improvement in people metrics at the annual portfolio review as a direct indicator of operational health improvement ahead of a planned exit process.
By Ingmar Booij | 10.03.26