Employee Tenure is the total length of time an employee works for a particular employer. It is an employment metric showing how long a person has been employed by an organization. Employee tenure can be also regarded as the number of months a worker has spent in every position occupied.
There’re three basic metrics for calculating employee tenure. These metrics are:
- Individual tenure. This metric is important in evaluating employee performance with regard to peers and eligibility for promotion and certain benefits.
- Aggregate tenure. It is a measure of employee satisfaction with the whole company as well as direct supervisors.
- Industry tenure. This metric shows whether an organization is successful in the labor market in terms of job seekers wishing to get employed by that organization. It can be compared to the aggregate tenure to assess the organization’s competitive standing.
Besides these major metrics, there are other ways for calculating tenure, including tenure by age, tenure by occupation, tenure by gender, nationwide tenure, etc. It is the matter of every single company to choose what metrics and methods to use in employee tenure calculation.