Imagine two scenarios:
- Between calls, contact center agents frequently take breaks or get distracted by personal matters.
- Throughout their shift, agents don’t even have time to take a lunch break.
Both cases relate to occupancy—one of the most critical metrics in an outsourced contact center. An occupancy rate that is too low means resources are being used inefficiently, while one that is too high suggests agents are overworked, leading to service errors or burnout.
In this article, we will explore what Occupancy Rate is, why it is crucial for contact centers, how to calculate it correctly, and how it differs from other productivity metrics. We will also discuss practical strategies for maintaining an optimal occupancy level, helping to balance contact center efficiency with agent well-being.
What Is Occupancy Rate? Definition
Occupancy Rate in a contact center, is the percentage of Productive Time that agents spend interacting with customers, including talk time, hold time, and after-call work (ACW), relative to their total logged-in (Paid Time) in the system.
Simply put, the Occupancy Rate metric indicates how much of their working time agents are actively engaged in customer interactions or performing related tasks, compared to the time they are available but not handling service requests.
What Are Productive Time and Paid Time?
Productive Time, or total call-handling time, is the time an agent spends directly performing customer service tasks. This includes phone conversations, After Call Work (ACW), responding to chats, processing emails, or handling inquiries through other channels in an omnichannel contact center.
Paid Time refers to the entire paid working time of an agent, starting from logging into the contact center system—including training sessions or work-related meetings—until logging out at the end of the shift.
What Is the Difference Between Occupancy and Utilization?
Agent occupancy is sometimes confused with utilization, the agent workload ratio. While both terms relate to work efficiency, they have distinct meanings:
Occupancy measures how much of an agent’s time is occupied when they are available to handle customer interactions.
Utilization is a broader metric that reflects how effectively an agent’s working hours are used. It includes not only time spent directly assisting customers but also time allocated for training, breaks, call preparation, and other work-related tasks.
Occupancy Formula and Example of Calculation
The formula for calculating agent occupancy is as follows:
Example Calculation of Contact Center Agent Occupancy
Suppose an agent works five eight-hour shifts per week. Therefore, their total paid working time (Paid Time) is 40 hours. Of those, 20 hours are spent processing customer inquiries, 5 hours are spent on After-call work. Breaks (including waiting for calls, lunch breaks, work meetings, and training) account for 10 hours. Then, according to the formula, the agent’s occupancy is:
Agent Occupancy Standards in a Contact Center
The optimal occupancy rate for contact centers typically ranges between 70–80%, depending on the priority of the service line and its availability targets. If agents are overburdened, they experience fatigue, lose focus, and feel increased stress. This negatively affects their productivity and reduces customer satisfaction, as they have less time to process requests between calls.
Recommended reading: How to Overcome Stress in a Contact Center?
Occupancy is generally measured at the team level, rather than for individual agents. It serves as a key contact center efficiency metric, used for resource planning, workload management, and strategy development. The larger the team, the higher the occupancy, as workload distribution becomes more balanced.
Managing large-scale projects with hundreds of agents in a contact center requires continuous monitoring of occupancy levels. During peak periods, the Occupancy Rate may exceed the recommended threshold, potentially impacting service quality. In such cases, staff expansion may be necessary. For example, increasing the number of agents can help handle inquiries more efficiently.
However, team expansion is not the only solution. Process optimization, automation of routine tasks, and modern technologies—such as IVR voice menus and automatic call distribution (ACD)—help maintain a balance between agent workload and service quality.
How to Maintain the Optimal Occupancy Level for Agents?
Want to enhance your contact center’s productivity and ensure a high level of customer service? Then you need to maintain an optimal workload for your agents. Below, we’ll discuss how to optimize the Occupancy metric and achieve maximum efficiency in your contact center.
Forecasting Workload and Adjusting Schedules
Monitoring historical data and real-time project trends in the contact center helps prevent overloading or idle time. This allows for accurate forecasting of peak hours, seasonal fluctuations, and unusual situations that impact call volumes. Using analytics, a company can plan the optimal number of agents per shift and distribute workloads evenly.
Flexible shift planning helps balance service levels and employee well-being. For example, during peak hours, additional agents can be brought in, while in low-traffic periods, the number of active agents can be reduced. Implementing flexible shifts and part-time agents enables an efficient response to fluctuating call volumes and helps prevent burnout.
Using AI and Automation to Reduce ACW
Reducing After-Call Work (ACW) time directly impacts Occupancy, as agents can transition more quickly to the next interaction. AI-powered automation in contact centers helps auto-fill customer records, generate case notes, and suggest response templates. This reduces workload and significantly speeds up processes.
AI can also analyze conversations in real time and recommend optimal response scripts to agents for faster resolution. AI-driven call transcription and contextual analysis help minimize post-call processing time, boosting overall team productivity.
Balancing Operational Efficiency and Agent Well-being
High Occupancy should not mean constant overload for agents. The optimal Occupancy level is achieved through proper workload distribution and the creation of comfortable working conditions. Regular breaks, task variety, and alternating between calls and chat support help reduce stress and maintain high performance.
It is also essential to review workflows and eliminate unnecessary steps that increase agent workload. For instance, automating routine inquiries with chatbots can free up agents for handling more complex customer requests.
Engaging Blended Agents
Blended agents enable efficient workload distribution while ensuring seamless customer support. By handling multiple tasks, such as inbound inquiries, outbound calls, and chat interactions, blended agents help optimize Occupancy. Additionally, their ability to work across various projects increases engagement and motivation.
Using an Omnichannel Approach for Even Workload Distribution
Diversifying communication channels helps optimize Occupancy. Combining voice calls, chats, emails, and social media ensures a more balanced workload and prevents overload on specific channels. For example, during peak hours, some customers can be redirected to chat or messaging platforms, reducing phone line congestion.
Integrating all channels into a unified system provides flexibility for agents, allowing them to switch between channels based on demand. This maintains a stable workload without excessive stress. An omnichannel strategy also enhances customer experience by allowing clients to receive support through their preferred channel without long wait times.
Contact Center Agent Occupancy: Key Takeaways
Optimizing agent occupancy in a contact center is crucial for customer-focused businesses. A well-calculated Occupancy metric not only prevents agent overload but also ensures efficient resource utilization.
To maintain optimal occupancy, continuous monitoring and adjustments are necessary. This includes workload forecasting, flexible scheduling, task automation, and the implementation of advanced technologies.
By balancing agent workload and service quality, a company can achieve significant success—boosting productivity, reducing costs, improving customer satisfaction, and strengthening its market reputation.
