• cost of vacancy

The impact of a vacant position

Impact of a Vacant Position

Vacancies have a tremendous impact on your business. In fact, most companies don’t realize their serious effects and how they impact their bottom line – or even threaten their position in the market.

The Ripple Effect

Vacancies, especially excessive ones, can send a message to your customers and suppliers that your organization is weak. This creates a period of confusion; suppliers and customers simply don’t know who to contact, and the stability of the relationship can turn questionable. Even worse, the potential of errors resulting from vacancies might lead to lower sales volume, loss of customers, and loss of market share.

Impact on your Team

Vacancies don’t just affect your bottom line; they affect staff, too. Teams can experience disruption, resulting from a loss of productivity, loss of experience, loss of leadership, and even loss of skill from the employee who left. Co-workers feel frustrated and overworked, potentially increasing errors and decreasing work quality.

Recruiting and your Image

A large number of vacancies sends the wrong message to future recruits – that your organization can’t retain top talent. As a result, your company’s ability to engage and attract the best talent is negatively affected. This also sends a message to existing employees that your organization may be headed downhill.

Avoid the Pitfalls

At CERS, we understand the challenges companies face in today’s quickly evolving business economy. We partner with your company to optimize how you retain and hire top talent across all departments. Our solutions and consulting services are designed to provide an immediate return on investment – in either productivity or profitability…and often both.


Average Revenue Lost per Employee

This simple formula allows you to determine the revenue your company is failing to generate due to a vacant position.

Simple Salary Multiplier

Estimate each employee’s value as a multiplier of their salary.

Direct Revenue Lost

For revenue-generating positions, such as sales or business development roles with specific quotas, this formula helps estimate how the vacancy affects your bottom line.

Budget Expenditure per Employee

This formula is ideal for support positions, such as clerical or administrative, as their productivity contributions are difficult to directly measure.

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