By Rose O. Sherman, EdD, RN, NEA-BC, FAAN
A CNO recently reached out to ask me what I was seeing in nursing recruitment and retention. She had just reviewed the nurse turnover for the previous quarter in her large hospital and was surprised to see that it was now trending upward. I assured her that she is not alone. The recently released 2026 National Health Care Retention and RN Staffing Report indicates that turnover is now once again on the increase.
After a drop to 16.4% last year, current RN turnover averages 17.6%. This 1.2% increase in RN turnover has already cost the average hospital an additional $360,000. This increase was in contrast to the average US hospital’s overall 2025 goal of reducing turnover by 2.6%. The report indicates that the healthcare landscape now faces a deteriorating national crisis in which demand for care significantly outstrips the supply of labor. While hospitals have successfully lowered vacancy rates to their lowest levels this decade at 8.6%, the RN labor shortage could increase to 250,000 by 2028.
Regional RN turnover was mixed in 2025. The South-East saw the high end of the average (18.7%) while the North-Central region saw the low end (16.2%). All regions except South-Central recorded increases, with the North-East posting the biggest jump (+3.3 points). Behavioral health nurses continue to lead all specialties in turnover at 22.5%, followed by emergency (20.7%), telemetry (19.5%), and step down (19%), all above the national RN average. Departments like Telemetry and ER are projected to replace their entire staff within less than 4.5 years. Interestingly, Magnet facilities did not, on average, beat the national benchmark of 17.6% annual turnover despite considerable efforts to improve work environments.
Close to 30% (29.5%) of all new hospital hires leave within their first year. For RNs specifically, 22.7% of new hires exit within 12 months. First- and second-year retention has improved among novice nurses, with most now leaving employers between years two and three. Residency programs are effective in first-year retention, though ROI declines over time. The report notes that the “Baby Boomer” retirement surge is no longer a future threat—it is a current driver of turnover with retirement now surfacing as the third most likely reason why RNs are leaving their organizations.
To effectively lead through these challenges and others, nurse leaders need new tools and strategies. Let me help you as I have helped hundreds of organizations over the past five years. Book a workshop or keynote for your team by contacting me at roseosherman@outlook.com
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