Troy, MI – April 29, 2026 --- ASE, Michigan’s largest employer association, has released its 2026 Employee Turnover Survey. The survey captures both voluntary and involuntary turnover for the 2025 calendar year and examines other key workforce metrics of Michigan employers.
Highlights of the ASE 2026 Employee Turnover Survey include:
- Total voluntary employee turnover reached 17.6% in 2025, a slight increase from the 16% recorded in 2024. Hourly employees experienced the highest voluntary turnover rate at 25.1%, compared to 9.9% for exempt employees and 5.5% for non-exempt salaried employees.
- The leading reasons for voluntary turnover among hourly employees were better salary/compensation (57%), personal issues such as family or health concerns (56%), and retirement (36%). Among non-exempt, salaried employees, the primary drivers were better salary/compensation (53%), retirement (28%), and personal problems (28%). For exempt employees, compensation (57%), retirement (51%), and personal issues (36%) topped the list.
- Looking ahead to 2026, the majority of participating organizations (59%) anticipate hiring levels will remain the same as the previous year. Eighteen percent plan to increase hiring, while 16% expect to decrease hiring, and 7% foresee a hiring freeze.
- The most common steps employers took to reduce turnover in the past 12 months were conducting exit surveys (77%), conducting a compensation and/or benefits review (63%), and improving new hire orientation and onboarding (62%).
- Sourcing qualified professional (technical) applicants remained the most significant recruitment challenge, with 63% of companies reporting at least some difficulty — 22% rated it as “Very Difficult” and an additional 41% as “Somewhat Difficult.”
“The 2026 Employee Turnover Survey reflects a workforce landscape where compensation, personal circumstances, and retirement are continuing to drive voluntary separations across all employee categories. The increase in voluntary turnover reinforces the importance of proactive retention strategies, including exit interviews, onboarding improvements, and ongoing compensation reviews. These actions are key to ensuring organizations stay competitive and keep their best people engaged and growing,” said Mary Corrado, President & CEO of ASE.
ASE members can access the full survey report in the ASE Survey Library. Non-members may request to purchase the report through the ASE website.
Background Information on the ASE 2026 Employee Turnover Survey
204 organizations from across Michigan participated in the survey, which captures data for the 2025 calendar year. Organizations with 150 employees or fewer made up 64.7% of the survey sample, while companies with 151–300 employees represented 16.7%, and those with more than 300 employees accounted for 18.6%. A wide range of industries are represented, with durable goods manufacturing (42.6%) leading participation. Trades and services (18.1%) and education and health services (16.2%) were the next largest industry segments. Geographically, 62.7% of respondents are located in the Detroit Metro/Ann Arbor/Flint area, with 24.0% in the Grand Rapids/Muskegon/Holland region.
About ASE
ASE is employers’ trusted partner for Everything HR. ASE is a non-profit, membership organization — everything we do is based on the needs of members and to drive the success of their organizations and help them THRIVE. ASE strengthens organizations’ HR departments by offering member benefits and discounted services that span the entire employee lifecycle, including recruitment, development, and retention, while minimizing compliance risk. We provide members guidance through new legislation and workplace issues. ASE has offices throughout Michigan in Grand Rapids, Macomb, Muskegon, Novi, and Troy. Learn more about ASE at www.aseonline.org.