NEWS & INSIGHTS

Customer Service Turnover Rate | Latest Industry Data

Jun 15

Key Takeaways

  • Call center turnover rates average 30-45%, with some sources reporting over 50%.
  • The average customer service agent lasts just 13-15 months in their role.
  • Replacing a single call center employee costs between $10,000-$20,000.
  • The top drivers of turnover include low pay, high stress, poor company culture, and lack of growth.
  • Turnover costs for a 100-agent team can reach $1.7 million/year.

Call centers are under more pressure than ever to retain staff. Even as AI and automation streamline operations, customer service still depends on real people, and those people are leaving customer service jobs faster than most industries can keep up with. 

According to multiple studies, annual turnover rates for customer service and call center roles remain very high, hovering somewhere between 30% and 45%. That means nearly half of your team could walk out the door this year. This page looks into the data behind this trend, what’s driving it, and what it costs your business.

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Estimated Call Center Turnover Rates by Year (2020-2025)

Customer service turnover hit its highest point in 2022, driven by pandemic stress, worker shortages, and rising costs. While things have improved slightly, 2025 rates still show that the customer support job market remains highly unstable.

Using reported data and past trends, the table below shows estimated yearly turnover rates for U.S. call centers from 2020 to 2025.

Year Estimated Turnover Rate
2017 31%
2018 32%
2019 33%
2020 35%
2021 42%
2022 44%
2023 41%
2024 39%
2025 38% (projected)

 

What Customer Service Turnover Costs

Turnover doesn’t just impact human resources departments. When people leave their positions often, it makes daily work harder, slows down service, and brings down team spirit. It also causes hidden problems like losing important company knowledge, longer training times for new hires, lower productivity, and a drop in customer experience.

This chart shows the estimated annual turnover costs for a 100-agent call center:

Role Type Cost to Replace One Agent Total Annual Cost (Avg. Churn)
Customer Support $10,000–$15,000 $900K–$1.35M
Sales $10,000–$20,000 $800K–$1.6M
All Roles $10,000–$17,000 $800K–$1.7M

 

The Top 6 Drivers of Customer Service Turnover

In 2022, only 38% of call center employees reported being satisfied with their jobs. That number hasn’t changed much in 2025, and it points to a bigger issue than just one single factor. Understanding why customer service turnover is high is essential to improving long-term retention.

Based on industry-wide data and employer surveys, these are the most commonly cited drivers of turnover:

1. Low pay relative to stress

Many customer service agents earn close to minimum wage while handling complex, emotionally draining calls. Competing employers in warehousing, delivery, or retail now offer similar pay with less stress.

2. Repetitive or emotionally taxing work

Daily exposure to complaints, high call volumes, and frustrated customers creates emotional exhaustion. Over time, this can lead to burnout, even for experienced customer service agents.

3. Lack of career progression

Many call centers lack clear career advancement paths. When employees don’t see future opportunities, they often start looking elsewhere.

4. Rigid schedules and poor flexibility

Nights, weekends, and mandatory overtime make it hard for agents to maintain a work-life balance. In an era where flexible remote work is more common, inflexible shifts are a major disadvantage.

5. Weak or toxic culture

Lack of recognition, poor communication, and unclear expectations often contribute to disengagement. Toxic leadership or inconsistent support can make employees feel undervalued.

6. Unrealistic Performance Expectations

Strict performance expectations can make customer service agents feel overwhelmed without the right support. When agents are pushed to hit numbers but don’t get coaching or help, stress goes up and satisfaction goes down.

 

Tenure Trends: How Long Do Customer Service Agents Stay?

The average call center employee stays on the job for just 14.3 months. For customer support roles specifically, the number drops even lower to 13.7 months, while sales reps average 15 months before moving on.

When customer service agents leave their positions often, it drives up hiring costs and disrupts day-to-day operations. Teams spend more time training replacements than improving processes, and valuable knowledge is lost before it can be passed on. That leads to more customer issues, slower resolutions, and added pressure on managers to constantly fill the gaps.

Role Type Avg. Tenure (Months)
All Call Center Roles 14.3
Sales 15.0
Customer Support 13.7

 

Even modest improvements, like boosting tenure from 13 to 18 months, can significantly lower costs and improve service consistency. The takeaway? Reducing turnover starts with creating roles within companies that people want to grow in. 

Some turnover is normal in call centers, but ignoring it can get expensive fast. Strong service teams keep a close eye on it: measuring, understanding, and working to stop the cycle. With the right tools and clear communication, companies can lower churn and protect both team morale and their bottom line.

 

Proven Strategies to Reduce Turnover

Reducing churn takes more than one quick fix. To slow turnover rates, use a layered strategy focused on training, communication, and long-term engagement. Consider these ideas:

  • Onboard thoroughly: Avoid throwing agents into calls unprepared.
  • Offer flexible scheduling: Cater to work-life balance when possible.
  • Recognize and reward effort: Public and private recognition builds company morale.
  • Promote internally: Show agents a long-term path inside the company.
  • Invest in training: Make room for regular performance feedback.
  • Enable remote work: Allow for more flexibility.
  • Monitor burnout signs: Multiple missed work days can be an early sign that an employee is unhappy.
  • Involve managers: Empower them with decision-making tools and training.
  • Ask and listen: Use exit interviews to figure out what’s not working.

 

Lower Turnover and Improve Retention

If you’re seeing high churn or rising costs in your support team, it’s time to rework the system. Insignia Resources helps businesses build smarter, more stable customer service operations, whether you’re scaling, outsourcing, or optimizing what you already have.

Contact Insignia Resources today to get started

 

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