The Cost of a New Employee Can Shock: It May Reach Nine Months’ Salary

Training a new employee can cost an employer as much as nine months of salary, according to the article. That price makes the decision to invest in existing staff look increasingly important.

In today’s dynamic labor market, workers may be less concerned about losing their jobs because they can probably find new employment without much difficulty. Employers face a different calculation: bringing in and preparing a new person can become a major expense.

The dilemma is that an employer can invest time and money in an employee who later leaves for a competitor. Even so, the article suggests that this risk does not remove the value of continuing to train people already on staff.