This is the first line in an article about the fast food industry: “With the fast-food industry facing 150% annual turnover rates, brands are turning to Miso’s AI-powered kitchen robot, Flippy, to help increase profits…” How can you have more than 100% turnover? Thank you.
In: Economics
Because you can go through more than one employee per position in a year.
Might help to imagine a just single position. If you have to replace that employee in a year, then you have 1 hire for 1 position. 1/1 = 100% annual turnover for the year. If you have to replace that employee twice, that’s 2 hires for 1 position. 2/1 = 200% annual turnover.
If you look over multiple years, e.g. 3 years and you replaced that position 4 times, that’s 4/3 = 133% turnover.
If you look at a single year again, but the entire sales team of 6 employees, and you had to hire 8 replacements throughout the year, that’s 8/6 = 133% turnover.
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