What is the formula of Shrinkage in bpo industry?

In the BPO (Business Process Outsourcing) industry, shrinkage is calculated using the formula:

Shrinkage (%) = (Total Shrinkage Hours / Total Scheduled Hours) x 100.

Total shrinkage hours include time lost due to absenteeism, breaks, training, and other non-productive time, while total scheduled hours represent the total hours employees are scheduled to work. This metric helps assess workforce efficiency and manage staffing needs effectively.