Employee Movement & Retention

Retention Rate

Also known as: Employee Retention Rate Cohort Retention Rate Survival Rate

Definition

The Retention Rate measures the percentage of employees from a specific starting cohort who remain with the organization after a defined period. Unlike attrition rate (which uses a moving average headcount), retention rate tracks a fixed group over time, making it ideal for cohort analysis, survival curves, and understanding the long-term trajectory of specific employee populations.

In Deckata: Retention Rate is automatically calculated from your HR systems and updated in real-time—no spreadsheets or manual work required.

How to Calculate

Cohort Retention Rate

Formula
(Number of Employees Remaining from Cohort / Original Cohort Size) × 100
Example
Original Cohort Size (Jan 2025 hires): 50
Remaining after 6 months: 42
Calculation: (42 / 50) × 100 = 84.0%
Result: 84.0% 6-month retention rate
The cohort remains fixed—you're tracking the same group of people over time. This differs from attrition rate, which uses an average of the changing headcount population.

Skip the manual calculations

Deckata automatically pulls data from all your HR systems, calculates Retention Rate in real-time, and updates your executive decks instantly.

See it for yourself →

How to Visualize

01

Cohort Survival Curve

Plot multiple cohorts (e.g., each quarter's new hires, or the same quarter's new hires by department) showing what percentage remains employed at 3, 6, 12, 18, 24 months, etc.

Best for: Understanding new hire retention patterns, identifying critical departure points, comparing hiring cohorts
This is THE signature visualization for retention rate. Each line represents a different cohort. Look for the 'steepest drop' points—these reveal when employees are most likely to leave (often around 90 days, 1 year, or 2 years).
02

Waterfall Chart

Show how a specific cohort diminishes over time, with bars representing separations at each milestone (3 months, 6 months, 1 year, etc.).

Best for: Detailed cohort deep-dives, showing exactly when attrition occurs
Start with the full cohort size and show the 'waterfall' of departures. This makes the timing of attrition highly visible to leadership.
03

Retention Curve Comparison

Compare retention curves across different dimensions (department, role, location, manager) using the same cohort approach.

Best for: Identifying which groups have stronger or weaker retention, benchmarking
Overlay 2-4 curves maximum to maintain clarity. Use distinct colors. Add annotations for significant drop-off points.
04

Stacked Area Chart

Show the composition of a cohort over time: still employed, voluntary departures, involuntary departures.

Best for: Understanding the nature of retention changes, voluntary vs involuntary patterns
The 'still employed' area should shrink over time. This format emphasizes composition rather than just the headline retention number.
05

Retention Rate by Tenure Band

Bar chart showing current retention rates for different tenure groups (0-1 year, 1-2 years, 2-5 years, 5+ years).

Best for: Quick snapshot of retention across employee lifecycle stages
This cross-sectional view complements the longitudinal cohort analysis. Watch for 'cliffs' where retention drops significantly.

Stop manually calculating Retention Rate

Deckata automatically calculates Retention Rate, creates presentation-ready visualizations, and updates your executive decks in real-time—freeing you to focus on strategic insights instead of spreadsheet work.

Book a Demo Join Early Access