1 Employee T urnover:
Better Data and Guidance on Succession Planning Can
Enhance Workforce Planning Efforts
A Report from the City Auditor
Issued August 2026
http://www.sanjoseca.gov/auditor
Presenters: Joe Rois, City Auditor
Gitanjali Mandrekar, Assistant City Auditor
Michelle Mallari, Program Performance Auditor
Public Safety, Finance, & Strategic Support Committee
Agenda Item (d)2
Background
2 • Employee turnover is the rate that
employees move out of an
organization.
• From fiscal years 2022-23 to 2024-25,
the City’s average annual turnover
rate for staff was 6.5 percent
excluding retirements, and 8.7
percent including retirements.
• T urnover rates have varied by
department.
9.7%
12.2%
7.2%
9.7%
6.2%
7.9%
6.1%
8.4%
0%
2%
4%
6%
8%
10%
12%
14%
Excluding
Retirement
Including
Retirement
Excluding
Retirement
Including
Retirement
Excluding
Retirement
Including
Retirement
Excluding
Retirement
Including
Retirement
2021-22 2022-23 2023-24 2024-25
T urnover Rate
Non-Sworn Employee T urnover Rate
Over Four Y ears
3 Finding I: Better Employee Sentiment Data Can Enhance the City’s Employee Retention Efforts
• Employee feedback throughout the
employee lifecycle can help the City
understand factors affecting turnover.
• Additional guidance would help
departments respond to stay and exit
interviews and address potential causes
of turnover.
• The City last conducted an employee
engagement survey in 2019.
Recommendation: the
Administration should:
→Provide guidance for
conducting stay and exit
interviews.
→Consider re-establishing a
Citywide employee survey.
4 Finding 2: Workforce Analytics and Succession Planning Guidance Can Help Address Staffing Changes
Recommendation: the Human
Resources Department should:
→Share workforce analytics with
departments.
→Develop guidance on
succession planning tools.
• Succession planning relies on identifying
positions at risk of turnover and
preparing staff for future responsibilities.
• While departments use several methods
to prepare existing staff to take on
critical positions, implementation varies.
• Some departments did not know how
to access information on retirement
eligibility or did not calculate turnover.
Conclusion
The report has four recommendations to improve the City’s workforce planning efforts.
We would like to thank the Human Resources Department for their time and insight during the audit process.
The audit report is available at www.sanjoseca.gov/auditor Audit staff: Gitanjali Mandrekar, Michelle Mallari, Katrina Gutierrez 5