As companies in traditional industries rapidly develop and advance their technology offerings, the hiring market for tech employees continues to get tighter. Mercer data shows 8.2% turnover in 2023 in the United States — already higher than the global average of 6.4% — and one quarter of US technology companies have reported turnover rates of nearly 12%.
There are a lot of anecdotes and theories floating around about what makes people leave their jobs in tech, so we wanted to contribute to the conversation in a data-driven way. We analyzed turnover rates in high tech by applying the deep analytical work we do for our clients to a broad dataset. Our goal is to help leaders think more critically about why tech employees leave, so they can create better retention strategies.
The insights from our research will help you identify groups of employees with a higher likelihood of quitting, so you know where to focus when making changes to your talent strategy, location strategy, hiring, compensation and benefits, and skill-based development. That said, not everything about turnover can, or will, have a specific solution.
Let’s find out who, why, and where people are quitting right now in the world of high tech.