Which metric indicates how motivated the workforce is by measuring turnover?

• A. Retention rate
• B. Labor turnover
• C. Attrition rate
• D. Absenteeism rate

Answer: (B)

Turnover is a direct signal of how engaged and motivated the workforce is, because it tracks how many employees choose to leave the company over a period. The best metric for this is labor turnover, which measures the rate at which staff leave during a given period (often calculated as the number of leavers divided by the average number of employees, times 100). A high rate suggests lower motivation or satisfaction, while a lower rate points to a more stable, motivated workforce. Retention rate focuses on how many stay rather than how many leave, absenteeism looks at days off rather than departures, and attrition rate is a similar concept but can be used differently in some contexts.