At NextPosition Recruiting Inc, we work with firms and financial institutions every day that are feeling the pressure of turnover—some more than they realize. Let’s break down what high turnover really costs and how a targeted hiring strategy can help.
1. Recruitment & Training Costs Add Up
Replacing a mid-to-senior legal or finance professional can cost anywhere from 50% to over 150% of their annual salary when you account for:
- Time spent recruiting and interviewing
- Onboarding and training new hires
- Temporary coverage or overtime for existing staff
Hiring mistakes—often made in haste—can multiply those expenses quickly.
2. Loss of Institutional Knowledge
Legal associates who understand your clients, or finance staff who manage key accounts, don’t just walk out the door—they take critical knowledge with them. For firms dealing with complex regulations, transactions, or legacy systems, this can mean significant delays, errors, or compliance risks.
3. Declining Morale and Productivity
High turnover affects the employees who stay behind, too. Increased workloads, shifting team dynamics, and uncertainty can lead to burnout, disengagement, and—you guessed it—more resignations.
4. Client and Stakeholder Confidence
In legal and finance, stability and trust are everything. Clients notice when their point of contact changes frequently, and internal turnover can cause concern among stakeholders or board members.
How to Reduce Turnover: Start With Smarter Hiring
Turnover isn’t just a retention issue—it often starts with recruitment. Hiring the wrong fit, even if they’re technically qualified, often leads to early exits.
At NextPosition Recruiting Inc, we specialize in matching legal and financial talent not just by credentials, but by culture, goals, and long-term potential. The result? Lower turnover, stronger teams, and fewer costly disruptions. Contact us to find out how we can help you!