2017 WORKFORCE TURNOVER AROUND THE WORLD

1 2017 SAMPLEWORKFORCE TURNOVER AROUND THE WORLDSAMPLETABLE OF CONTENTS4 MERCER'S GLOBAL PUBLICATIONS 5 INTRODUCTION 7 Report Structure8 Reading the Report12 summary OF KEY FINDINGS1060 ABOUT THIS REPORT1061 Methodology1081 Glossary1093 ABOUT MERCER40 AMERICAS 41 Argentina49 Bolivia57 Brazil65 Canada73 Chile81 Colombia89 Dominican Republic97 Ecuador105El Salvador113 Guatemala121 Honduras129 Mexico137 Mexico-Monterrey/Saltillo145 Nicaragua153 Panama161 Paraguay169 Peru177 Puerto Rico185 United States193 Uruguay201 Venezuela491 EUROPE 499 Austria507 Azerbaijan515 Belarus523 Belgium531 Bulgaria539 Croatia547 Czech Republic555 Denmark563 Estonia571 Finland579 France587 Germany595 Greece603 Hungary611 Ireland619 Italy627 Kazakhstan635 Latvia643 Lithuania651 Luxembourg659 Netherlands667 Norway675 Poland683 Portugal691 Romania699 Russia707 Serbia715 Slovakia723 Slovenia731 Spain739 Sweden747 Switzerland755Tu r key763 Ukraine771 United Kingdom209 ASIA PACIFIC 210 Australia218 Bangladesh226 Cambodia234 China242 China-Beijing250 China-Changzhou258 China-Chengdu266 China-Dalian274 China-Guangdong282 China-Hangzhou/Ningbo290 China-Hefei/Wuhu298 China-Nanjing306 China-Qingdao314 China-Shanghai322 China-Shenyang/Changchun330 China-Suzhou/Kunshan338 China-Tianjin346 China-Wuhan354 China-Wuxi362 China-Xiamen/Fuzhou370

2 China-Xi'an378 Hong Kong386 India394 Indonesia402 Japan410 Malaysia418 Myanmar426 New Zealand434 Pakistan442 Philippines450 Singapore458 South Korea466 Sri Lanka474 Taiwan482 Thailand490 Vietnam772 MIDDLE EAST AND AFRICA780 Algeria788 Angola796 Bahrain804 Benin812 Botswana820 Cameroon828 Democratic Republic of Congo836 Egypt844 Ethiopia852 Gabon860 Ghana868 Iran876 Ivory Coast884 Jordan892 Kenya900 Kuwait908 Lebanon916 Malawi924 Mauritius932 Morocco940 Mozambique948 Nigeria956 Qatar964 Republic of Congo972 Rwanda980 Saudi Arabia988 Senegal996 South Africa1004 Tanzania1012 Tunisia1020 Uganda1028 United Arab Emirates1036 Uzbekistan1044 Zambia1052 ZimbabweSAMPLEHR Atlas Latin AmericaHEALTH & BENEFITSWORKFORCE & CAREERSHANDBOOKS & GUIDESCar Benefit Policies AROUND the WorldGlobal Parental LeaveGlobal Parental Leave Industry ScorecardLGBT benefits AROUND The WorldGlobal Compensation Planning ReportGlobal Compensation Planning Report 20 Year Look BackShort-Term Incentives AROUND the WorldHR Guide to Doing BusinessHR Atlas Asia PacificWorldwide Benefit & Employment GuidelinesGlobal Pay SummaryInternational Geographic Salary DifferentialsTotal Employment Costs AROUND the WorldWorkforce TURNOVER AROUND the WorldCompensation HandbookGlobal Mobility HandbookHR Management TermsVacation and Other Leave AROUND the WorldSeverance Pay Policies AROUND the WorldORDER ONLINEGLOBAL PUBLICATIONSFULL ACCESS TO ALL GLOBAL PUBLICATIONSS ubscribe to our Talent All Access PortalTM for exclusive online access to our entire suite of publications

3 And today s competitive race to attract and retain highly skilled global talent, organizations require current, in-depth information on everything from local statutory benefits , to salary trends, to managing a diverse WORKFORCE . Through Mercer s own extensive global presence, we collect and analyze data and insights that help companies take the actions necessary to support their human capital strategies. You can order any of the publications below by clicking on the title links or by visiting TURNOVER AROUND THE WORLD SAMPLE 2017 Mercer WORKFORCE TURNOVER is critical to the long-term health and success of any company. Whereas HR professionals historically have regarded TURNOVER as a drain on company resources, industry leaders now recognize that TURNOVER within a company can bring a mixed bag of positive and negative impacts.

4 Although some TURNOVER may be beneficial by way of revitalizing or fine tuning the WORKFORCE , others bring unexpected interruption to ongoing projects and costly recruiting cycles. In either case, it is imperative that managers and HR professionals prepare for TURNOVER in their specific industry, and are able recognize and identify good versus bad TURNOVER . BAD TURNOVER VS. GOOD TURNOVERW orkforce TURNOVER presents a dilemma to all companies AROUND the WORLD . Some estimate that the cost of losing and replacing a single employee can equal more than twice that employee's salary, with costs increasing further based on the departing employee s seniority. Constant TURNOVER can leave companies perpetually shorthanded or disrupt client expectations and deadlines, thus posing an existential threat to any , not all TURNOVER is bad.

5 Many managers recognize that the retention of employees that are poor fits for their position can cause decreased productivity and morale throughout the workplace. In these situations, employers may welcome the costs of recruitment and replacement in order to improve the efficacy of their staff. Similarly, companies undergoing a strategic pivot or encountering market changes may need to reconfigure their staff. By encouraging or promoting TURNOVER in these circumstances, employers can streamline their operations so as to meet new challenges. E VA LUAT IN G RI S KWhile workplace TURNOVER is a universal challenge for employers, some industries and regions are more exposed than others. For instance, many employers in the highly-competitive technology or hospitality industries suffer from staff TURNOVER as employees are poached by nearby firms, while companies in some WORLD markets see high rates of TURNOVER due to migration.

6 Moreover, factors like employee age or function greatly affect the likelihood of TURNOVER , as Millennials and sales staff tend to change employers more frequently than other demographics. Given these variations, it is critical that employers recognize and account for the specific factors affecting TURNOVER in their TURNOVER AROUND THE WORLD SAMPLE 2017 Mercer confronted with WORKFORCE TURNOVER , HR professionals should consider the following questions: What level of TURNOVER is right for our business? What policies can we adopt to encourage or discourage TURNOVER ? What factors contribute to the current TURNOVER ? What events might be on the horizon that will affect TURNOVER in the future? SAMPLEWORKFORCE TURNOVER AROUND THE WORLD SAMPLE 2017 Mercer STRUCTUREINTRODUCTIONThe 2017 WORKFORCE TURNOVER AROUND the WORLD publication provides actionable information on employee TURNOVER across major WORLD markets.

7 Created with the human resources professional in mind, this report offers critical, up-to-date data to assist companies interested in forecasting, preparing for, and managing the revolving door of talent AROUND the WORLD . Countries are organized into four regions: Americas, Asia Pacific, Europe, and Middle East and report includes the following sections: summary OF KEY FINDINGSThis section serves as an executive summary for those looking for Mercer s insights and observations; it provides high level trends, market comparisons and other analysis. The following topics are included: Economic Market Trends Voluntary and Involuntary TURNOVER Trends WORKFORCE Change TrendsCOUNTRY RESULTS This section includes country-specific data for those HR professionals looking for targeted data on an individual country includes the following content: Economic and labour market data, including GDP growth, inflation, unemployment, total population, working age population, and economically active population.

8 Voluntary and involuntary TURNOVER by employee level and by industry. WORKFORCE changes such as hiring intentions for this year and next year, as well as the average increase and decrease in the WORKFORCE . Data sources indicate all sources used for the country. ABOUT THIS REPORTThis section delineates the methods used in the report and lists key definitions. Methodology includes data sources used to compile this report, currency conversion rates, and other details on calculations and assumptions. Glossary provides definitions for many of the terms used throughout this report, as well as other HR related AND LABOUR MARKETTOTAL POPULATION, 2017 WORKING AGE RANGE POPULATION(15-64), 2016 ECONOMICALLY ACTIVE POPULATION (15-64), 2016 TOTAL POPULATION GENDER RATIO, 2016 WORKING AGE (15-64) GENDER R AT I O, 2016 ECONOMICALLY ACTIVE (15-64) GENDER RATIO, 20161,000,0001,000,0001,000,000 USD1 = = rate as of Nov 4, 2016 Note.

9 Population size is in TURNOVER AROUND THE WORLD SAMPLE 2017 Mercer THIS REPORTThe exchange rate can be found here, as well as in the About this Report , inflation, and unemployment rates can be found on the first page of each set of country following pages provide tips and guidelines to help navigate the report is provided for three categories, as well as the proportion of males and females within each group. Population numbers are in thousands. The data sources for all content can be found on the last page of each country, and in the About this Report section. SAMPLEWORKFORCE TURNOVER AROUND THE WORLD SAMPLE 2017 Mercer TURNOVER INVOLUNTARY TURNOVERP25P50P75 AVER AG EN=P25P50P75 AVER AG EN= & HEAD OF WHITE BLUE AND INVOLUNTARY TURNOVERAVERAGE TURNOVER BY CAREER LEVEL, 2015 VOLUNTARY AND INVOLUNTARY TURNOVER BY CAREER LEVEL, 2015 VOLUNTARY TURNOVER (%)INVOLUNTARY TURNOVER (%)INTRODUCTIONA company may have provided an overall figure only, or employee level figures only; as a result, TURNOVER percentages and sample sizes will vary.

10 More information on the Methodology can be found the About this Report P refers to percentile, the P50 or 50th percentile is also known as the N= column provides the number of companies included in data : A indicates insufficient data to report the & HEAD OFORGANISATIONMANAGEMENTPROFESSIONAL SALESPROFESSIONAL NONSALESPARA-PROFESSIONAL WHITE COLLARPARA-PROFESSIONAL BLUE OVERALLEXECUTIVES & HEAD OFORGANIZATIONMANAGEMENTPROFESSIONAL SALES PROFESSIONAL NONSALES PARA-PROFESSIONAL WHITE COLLAR PARA-PROFESSIONAL BLUE COLLAR Throughout the report, voluntary TURNOVER is shaded blue, and involuntary TURNOVER is shaded INTENTIONS FOR 2016 PROJECTED HIRING INTENTIONS FOR 2017 ADD STAFFREDUCE STA FFNO CHANGEN=ADD STAFFREDUCE STA FFNO CHANGEN=BANKING/FINANCIAL SERVICES 2 CHEMICALS10%10%10%210%10%10%2 CONSUMER GOODS10%10%10%210%10%10%2 ENERGY10%10%10%210%10%10%2 HIGH TECH10%10%10%210%10%10%2 INSURANCE/REINSURANCE10%10%10%210%10%10% 2 LIFE SCIENCES10%10%10%210%10%10%2 LOGISTICS10%10%10%210%10%10%2 MINING & METALS10%10%10%210%10%10%2 OTHER MANUFACTURING10%10%10%210%10%10%2 OTHER NONMANUFACTURING10%10%10%210%10%10%2 RETAIL & WHOLESALE10%10%10%210%10%10%2 SERVICES (NONFINANCIAL)