ROI Calculator Data Sources
| Cost to replace an employee | 30% | Cost to Replace: Industry research shows it costs at least 6-9 months of an employee's average salary to replace (30%), with Gallup reporting 40-200% depending on role. https://www.gallup.com/workplace/646538/employee-turnover-preventable-often-ignored.aspx For employees earning $25,000 or more, the average turnover cost is approximately $30,614, according to Oxford Economics. This cost includes recruitment expenses, training, and the loss of productivity during the transition. For executive roles, the cost can be even higher, reaching up to 213% of annual salary (https://www.brighthr.com/articles/culture-and-performance/staff-turnover/employee-turnover-costs/) |
|---|---|---|
| Reduction in turnover (impact of recognition & appreciation) | 10% | Research published by Bersin by Deloitte found that companies with effective recognition and appreciation programs experience a 31% lower voluntary turnover rate. Using a conservative baselined of 10% here |
| Revenue Generated Factor per Employee | 0.25 | General business economics. Companies need to generate at least 2-3x the salary of an employee to cover salary, overhead, benefits, and profit. |
| Minimum Boost in Productivity | 0.50% | The Haas School of Business, UC Berkeley found that people who are recognized are 23% more effective and productive. Using a conservative minimum boost estimate of 0.5% |
| Average Absenteeism Rate % (US) | 2.00% | Bureau of Labor Statistics (BLS) shows an average absenteeism rate of 3.2% in 2025. (https://www.bls.gov/cps/cpsaat46.pdf) Conservative 2% rate applied. |
| Reduction % in Absenteeism from Recognition | 3.0% | Based on Gallup's State of the Global Workplace 2024 report, recognition or praise for doing good work can lead to 27% reduction in absenteeism amongst other significant statistics / impact. Using a conservative baseline of 3% reduction across organizations |
| Improvement in eNPS | 10% | For every 10-point increase in eNPS, a reduction in employee turnover of approximately 10-15% can be expected. This scales to a potential reduction of up to 70% when achieving a positive eNPS of 20 or higher, reflecting the findings from Bain & Company. |
| Time saved in HR admin | avg 50 hours per HR team member | The monetary saving can be calculated by multiplying the hours saved by the fully burdened hourly rate of the HR employee (salary, benefits, taxes, etc.). Average salary for an HR Manager in the US is $140K annually per BLS (https://www.bls.gov/ooh/management/human-resources-managers.htm). A conservative salary of $100K or $48/hour was used for these calculations. |
| IRS Qualified Transportation Fringe Benefit | Up to $340 annually | Up to $340 annually per 2026 US IRS tax guidelines (https://www.irs.gov/pub/irs-drop/rp-25-32.pdf) |