Free tool

Palletizer ROI calculator

Labor, overtime, staff turnover and injuries: enter your numbers and see how quickly a collaborative palletizing cell pays for itself.

Equipment

Installed cell price

Financial assistance

Grants, tax credits (see programs)

Annual maintenance

$/yr

Calculation horizon

years

Current palletizing station

Hourly wage

$/h

Payroll taxes and benefits

Hours per shift

Shifts per day

shifts

Production days

days/yr

People at the station, per shift

people

Today, palletizing by hand

Presence needed with the cell

people

Empty pallets, monitoring (0.1 = 10% of a shift)

Overtime hours per week

h/wk

Per person at the station

Weeks with overtime

wk/yr

Production peaks, catching up on delays

Overtime rate

× wage

Time and a half = 1.5

Count the labor savings. Uncheck if the staff will be reassigned and you want to see the payback from turnover, overtime and injuries only.

Staff turnover

Cost of each departure of someone who quits because the job is too physically demanding.

Departures per year

/yr

All shifts combined

Time to fill the position

From 2 weeks to 6 months in Quebec [2]

Overtime premium

Only the premium is counted [2]

Lost production while vacant

$/wk

Delays, slower line

Recruiting cost per hire

Job ads, agency, interviews [1]

Shadowing with a trainer

Time to reach full productivity

Average productivity during that time

Injuries and workers' compensation

Risk of an injury in the year

20% = one injury every 5 years

Absence per injury

days

Musculoskeletal disorders in Montreal: 104 days on average (2022) [3]

Internal costs per injury

Investigation, modified duty, paperwork [7]

Impact on workers' comp premiums

$/injury

Close to $0 at the industry (unit) rate [4]. With a personalized rate, the CNESST can provide each injury's share [6]. With retrospective rating, costs are adjusted after 24 and 48 months [5].

Reduction with the cell

Fewer departures and injuries at the station

Calculation method

Labor = (people before - presence with the cell) × shifts × hours per shift × days × hourly wage × (1 + payroll taxes and benefits).
Overtime = overtime hours per week × weeks per year × (people before - presence with the cell) × hourly wage × overtime rate × (1 + payroll taxes and benefits). Counted even if regular labor savings are unchecked.
One departure = vacancy + recruiting + shadowing + learning curve [1] [2]
- Vacancy = weeks × 5 days × hours × wage × overtime premium + lost production per week
- Shadowing = weeks × hours × loaded wage (trainer's time)
- Learning curve = weeks × hours × loaded wage × (1 - average productivity)
Turnover avoided = departures per year × cost of one departure × reduction with the cell.
One injury = days absent × hours × wage × overtime premium (replacement) + internal costs + impact on workers' comp premiums [3] [4] [7]
Injuries avoided = annual risk × cost of one injury × reduction with the cell.
Payback = (price - assistance) ÷ (annual savings - maintenance). Return = (net savings × horizon - investment) ÷ investment.

Conservative assumptions: during a vacancy or an absence, only the overtime premium is counted, not the base wage. Human costs (morale, team burnout, further departures) are not quantified. Confirm the workers' comp impact with your prevention group or rating advisor.

References (sources in French)

Replacing an unskilled employee costs 30% to 50% of their annual salary; 50% to 200% depending on the role, according to Gallup and SHRM. Manatal, the real cost of replacing an employee
The cost of a vacant position is estimated at 50% of the salary during the vacancy, which lasts from 2 weeks to over 6 months according to the ISQ. AGRIcarrières, Porc Québec, June 2025
Average absence for work-related musculoskeletal disorders rose from 63 to 104 days between 2010 and 2022. Work-related MSDs in Montreal, 2025
Three rating methods: unit rate, personalized rate and retrospective rating. CNESST, understanding the personalized rate, 2025
Retrospective rating generally applies to premiums over $425,000; adjustments after 24 and 48 months based on injury costs. CNESST, retrospective premium adjustment 2026
On request, the CNESST provides the share of the personalized rate attributable to each injury. CNESST, personalized rate notice
The indirect costs of an injury (wages, administration, lost productivity) are hard to measure and rarely insured. IRSST, costs of occupational injuries

Your report

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The report includes your results, your assumptions and the detailed calculations. It is ready to present to management or to attach to a funding application.