How much does your team appreciation actually cost?
Consider this simple math (all based on the range of Millennials and Gen Z research papers):
Tech company size 100:
- out of those 90 are Millennials and Gen Z
- out of those 10 would leave in a year
- and out of these 6 would leave due to the lack of appreciation and recognition at work – the unappreciated ones.
Hiring costs for ‘the unappreciated’ group
The average turnover cost when hiring in-house ranges from $3,000 to $7,000. When an agency is involved, it jumps to $25,000 and in many organisation the overall costs of a new hire hits $50,000 mark. In our example, the company hires people in-house – it is a lean startup, as you may see.
- 6 × $5,000 (in-house hiring) = $30,000
As you may know, Karma can eliminate the lack of appreciation at work. No one has ever left their job because of too many ‘thank-you’s.
Keeping at least a quarter of previously unappreciated people for longer – is the direct savings on turnover 🥳
Saving with Karma
With these very modest assumptions and the current early-days pricing Karma would save at least $7,242.
Good team leaders have been able to see this in Karma for a years now. More than 1,400 teams use it daily, that means 100,000+ people sending 1M+ of ‘thank-you’s to each other Karma is fun and it helps distributed teams around the globe. It directly affects the costs of turnover, saving money on the turnover costs.
That’s why we have built this interactive, shareable and printable ROI calculator. Try it, show it to your manager. Make your life better and help your company save and grow.