International Journal of Business Ethics in Developing Economies

Open Access Open Access  Restricted Access Subscription Access
Open Access Open Access Open Access  Restricted Access Restricted Access Subscription Access

Factors Influencing Retention of Manufacturing Industry Employees in Tamimil Nadu and Puducherry


Affiliations
1 Assistant Professor of Commerce and Principal Investigator - UGC's Major Research Project, Pondicherry University Community College, Puducherry
2 Research Assistant, Department of Management Studies, Pondicherry University Community College, Puducherry, India
     

   Subscribe/Renew Journal


The process of retaining the best human resources within a organisation is known as employee retention. Such employee retention is induced by many factors, which change from individual to individual depending upon various reasons. So, for this purpose, this study has tried to identify the factors influencing the retention of 250 employees working in different manufacturing firms in Tamil Nadu and Puducherry. For this purpose, the factors such as financial and non-financial benefits, organisation’s sense of belongingness, occupational relationships, organisational policies, professional environment, employee empowerment, work-life balance and quality of life are considered as the influencers of employee retention in this study. Collected data are analysed using reliability and validity analysis, Pearson correlation and multiple regression analysis. Pearson correlation showed that except occupational relationships and the quality of life, all other influencers are significantly associated with employee retention. Multiple regression analysis projected that the quality of life is the highest influencer and the organisational policies are the lowest inducing construct of the employee’s retention. Suggestions such as flexi-time, better pay, proper allowances, alternative work timings and employees grievance redressal are provided.

Keywords

Employees Retention, Influencers of Retention, Manufacturing Industry Workers, Tamil Nadu, Puducherry.
Subscription Login to verify subscription
User
Notifications
Font Size


  • Adzei, F. A., & Atinga, R. A. (2012). Motivation and retention of health workers in Ghana’s district hospitals: Addressing the critical issues. Journal of Health Organisation and Management, 26(4), 467-485. doi: 10.1108/14777261211251535

  • Agbenyiga, D. L. (2009). Child welfare employee recruitment and retention: An organisational culture perspective. Child Welfare, 88(6), 85-108.

  • Aguenza, B. B., & Som, A. P. M. (2012). Motivational factors of employee retention and engagement in organisations. International Journal of Advances in Management and Economics, 1(6), 88-95.

  • Ahmad, N., Tariq, M. S., & Hussain, A. (2015). Human resources practices and employee retention, evidences from banking sector of Pakistan. Journal of Business and Management Research, 7, 186-188.

  • Akhtar, C. S., Aamir, A., Khurshid, M. A., Abro, M. M. Q., & Hussain, J. (2015). Total rewards and retention: Case study of higher education institutions in Pakistan. Procedia-Social and Behavioral Sciences, 210(2015), 251-259. doi:10.1016/j.sbspro.2015.11.365

  • Aminudin, N. (2013). Corporate social responsibility and employee retention of ‘green’ hotels. Procedia-Social and Behavioral Sciences, 105(2013), 763-771. doi:10.1016/j.sbspro.2013.11.079

  • Andersen, E. (2009). Working in long-term residential care: A qualitative metasummary encompassing roles, workingvenvironments, work satisfaction, and factors affecting recruitment and retention of nurse aides. Global Journal of Health Science, 1(2).

  • Anis, A., Rehman, I. U., Nasir, A., & Safwan, N. (2011). Employee retention relationship to training and development: A compensation perspective. African Journal of Business Management, 5(7), 2679-2685. doi:10.5897/AJBM10.1036

  • Ankit, S. (2011). Factors influencing online banking customer satisfaction and their importance in improving overall retention levels: An Indian banking perspective. Information and Knowledge Management, 1(1), 45-54.

  • Bajpai, N., Prasad, A., & Pandey, P. N. (2013). Work-life balance retention (WLBR) model - A weapon to retain hi-tech employees. International Journal of Computational Engineering & Management, 16(5), 27-30.

  • Bakar, J. A., & Mohamad, Z. Z. (2015). Factors affecting female lecturer retention in private higher institution in Perak. International Journal of Academic Research in Business and Social Sciences, 5(1), 137-146. doi: 10.6007/IJARBSS/v5-i1/1410

  • Borstorff, P. C., & Marker, M. B. (2007). Turnover drivers and retention factors affecting hourly workers: What is important? Management Review: An International Journal, 2(1), 14-27.

  • Brunetto, Y., Xerri, M., Shriberg, A., Wharton, R. F., Shacklock, K., Newman, S., & Dienger, J. (2013). The impact of workplace relationships on engagement, well-being, commitment and turnover for nurses in Australia and the USA. Journal of Advanced Nursing, 69(12), 2786-99. doi:10.1111/jan.12165

  • Chan, C. C. A., McBey, K., Basset, M., O’Donnell, M., & Winter, R. (2004). Nursing crisis: Retention strategies for hospital administrators. Research and Practice in Human Resource Management, 12(2), 31-56.

  • Chew, J., & Entrekin, L. (2011). Retention management of critical (Core) employees - A challenging issue confronting organisations in the 21st century. International Business & Economics Journal, 3(2), 19-36.

  • Chitra, K. (2013). Role of leaders in employee retention - A pragmatic study with reference to private sector bank employees. International Research Journal of Business and Management, 6, 65-74.

  • Cloutier, O., Felusiak, L., Hill, C., & Jones, E. J. P. (2015). The importance of developing strategies for employee retention. Journal of Leadership, Accountability and Ethics, 12(2), 119-129.

  • Crockatt, S. Y., Targett, P., Cifu, D., & Wehman, P. (2009). Return to work of individuals with arthritis: A review of job performance and retention. Journal of Vocational Rehabilitation, 30, 121-131. doi:10.3233/JVR-2009-0458

  • Durow, W. P., & Brock, B. L. (2004). The retention and attrition of catholic school principals. Catholic Education: A Journal of Enquiry and Practice, 8(2), 194-207.

  • Ellet, A. J., Ellis, J. I., Westbrook, T. M., & Dews, D. (2007). A qualitative study of 369 child welfare professionals’ perspectives about factors contributing to employee retention and turnover. Children and Youth Services Review, 29, 264-281. doi:10.1016/j.childyouth.2006.07.005

  • Fauzi, N. F. B., Ahmad, F., & Gelaidan, H. M. (2013). The employee retention status in paddy and rice industry in Malaysia. World Applied Sciences Journal, 25(4), 644-652. doi:10.5829/idosi.wasj.2013.25.04.13311.

  • Fukofuka, S. (2014). Factors that predict employee retention in profit and not-for-profit organisations. Global Journal of Human Resource Management, 2(4), 1-8.

  • Gani, A. M. O., & Paik, Y. (2016). Factors influencing the retention of international IT talent: An empirical investigation in Singapore. International Journal of Human Resources Development and Management, 16(1/2).

  • Gharib, M. N., Kahwaji, A. T., & Elrasheed, M. O. (2017). Factors affecting staff retention strategies used in private Syrian companies during the crisis. International Review of Management and Marketing, 7(2), 202-206.

  • Ghosh, P., Satyawadi, R., Joshi, J. P., & Shadman, M. (2012). Who stays with you? Factors predicting employees’ intention to stay. International Journal of Organisational Analysis, 21(3), 288-312. doi: 10.1108/IJOA-Sep-2011-0511

  • Gow, K., Warren, C., Anthony, D., & Hinschen, C. (2008). Retentions and intentions to quit among Australian male apprentices. Education + Training, 50(3), 216-230. doi: 10.1108/00400910810873991

  • Gurudatt, K., & Gazal, Y. (2015). Role of (QWL) quality of work-life on employee retention in private sector companies. International Journal of Engineering and Management Sciences, 6(1), 11-15.

  • Habeck, R., Kregel, J., Head, C., & Yasuda, S. (2007). Salient and subtle aspects of demand side approaches for employment retention: Lessons for public policymakers. Journal of Vocational Rehabilitation, 26, 21-27.

  • Haider, M., Rasli, A., Akhtar, C. S., Yusoff, R. B. M., Malik, O. M., Aamir, A., Arif, A., Shaheryar, N., & Tariq, F. (2015). The impact of human resource practices on employee retention in the telecom sector. International Journal of Economics and Financial Issues, 5(1S), 63-69.

  • Hashim, A., Azman, N. S., Ghani, M. A., & Sabri, M. F. M. (2016). The relationship between work-life balance and employee retention. Proceedings of the 3rd International Conference on Management & Muamalah (pp. 316-322).

  • Hong, E. N. C., Hao, L. Z., Kumar, R., Ramendran, C., & Kadiresan, V. (2012). An effectiveness of human resource management practices on employee retention in institute of higher learning: A regression analysis. International Journal of Business Research and Management, 3(2), 60-79.

  • Hsieh, P. C., & Su, H. F. (2007). Retention and attrition of certified care assistants in the long-term care industry from the Taipei area: An interview survey. International Journal of Nursing Studies, 44, 93-104.

  • Hughes, J. C., & Rog, E. (2008). Talent management a strategy for improving employee recruitment, retention and engagement within hospitality organisations. International Journal of Contemporary Hospitality Management, 20(7), 743-757.

  • Hutchings, K., Ceiri, H. D., & Shea, T. (2013). Employee attraction and retention in the Australian resources sector. Journal of Industrial Relations, 53(1), 83-101. doi: 10.1177/0022185610390299

  • Imna, M., & Hassan, Z. (2015). Influence of human resource management practices on employee retention in Maldives retail industry. International Journal of Accounting & Business Management, 3(1), 50-80. doi:10.24924/ijabm/2015.04/v3.iss1/50.80

  • Iqbal, S., Guohao, L., & Akhtar, S. (2017). Effects of job organisational culture, benefits, salary on job satisfaction ultimately affecting employee retention. Review of Public Administration and Management, 5(3). doi: 10.4172/2315-7844.1000229

  • Irshad, M. (2005). Factors affecting employee retention: evidence from literature review. Abasyn Journal of Social Sciences, 4(1), 84-102.

  • Irshad, M., & Afiridi, F. (2006). Factors affecting employee retention: Evidence from literature. Abasyn Journal of Social Sciences, 4(2).

  • Kang, C., Huh, S., Cho, S., & Auh, E. Y. (2014). Turnover and retention in nonprofit employment: The Korean college graduates’ experience. Nonprofit and Voluntary Sector Quarterly, 1-24. doi:10.1177/0899764014553032.

  • Khan, A. A., Mahmood, B., Ayoub, M., & Hussain, S. (2011). An empirical study of retention issues in hotel industry: A case study of Serena hotel, Faisalabad, Pakistan. European Journal of Economics, Finance and Administrative Services, 29, 8-18.

  • Kotze, K., & Roodt, G. (2005). Factors that affect the retention of managerial and specialist staff: An exploratory study of an employee commitment model. SA Journal of Human Resource Management, 3(2), 48-55.

  • Kraimer, M. L., Shaffer, M. A., & Bolino, M. C. (2009). The influence of expatriate and repatriate experiences on career advancement and repatriate retention. Human Resource Management, 48(1), 27-47. doi:10.1002/hrm.20265

  • Kumudha, A., & Harsha, K. J. (2016). The relationship between human resources practices and employee retention in private organisations with special reference to Jebel Ali international hospital in Dubai. International Journal of Applied Research, 2(5), 961-966.

  • Kundu, S. C., & Lata, K. (2017). Effects of supportive work environment on employee retention: Mediating role of organisational engagement. International Journal of Organisational Analysis, 25(4), 703-722. doi:10.1108/IJOA-12-2016-1100

  • Laschinger, H. K. S., Leiter, M., Day, A., & Gilin, D. (2009). Workplace empowerment, incivility, and burnout: Impact on staff nurse recruitment and retention outcomes. Journal of Nursing Management, 17, 302-311.

  • Leiva, D. C., Vidal, M. E. S., & Cegarra, J. G. (2012). Work-life balance and the retention of managers in Spanish SMEs. The International Journal of Human Resource Management, 23(1), 91-108. doi: 10.1080/ 09585192.2011.610955

  • Mak, B. L., & Sockel, H. (2001). A confirmatory factor analysis of IS employee motivation and retention. Information & Management, 38, 265-276.

  • Malik, M. F., Akhtar, S., & Ghafoor, I. (2018). Supervisor support, co-worker support and employee retention: Developing and testing of an integrative model. International Journal of Modern Social Sciences, 7(1), 1-24.

  • Masibigiri, V., & Nienaber, H. (2011). Factors affecting the retention of generation X public servants: An exploratory study. SA Journal of Human Resource Management, 9(1). doi:10.4102/sajhrm.v9i1.318

  • Masood, A. (2013). Effects of job stress on employee retention: A study on banking sector of Pakistan. International Journal of Scientific and Research Publications, 3(9).

  • Mathimaran, K. B., & Kumar, A. A. (2017). Employee retention strategies - An empirical research. Global Journal of Management and Business Research: E Marketing, 17(1:1), 17-22.

  • Mbah, S. E., & Ikemefuna, C. O. (2012). Job satisfaction and employees’ turnover intentions in total Nigeria PLC in Lagos State. International Journal of Humanities and Social Science, 2(14), 275-287.

  • McKay, P. F., Avery, D. P., Tonidandel, S., Morris, M. A., Hernandez, M., & Hebl, M. R. (2007). Racial differences in employee retention: Are diversity climate perceptions the key? Personnel Psychology, 60, 35-62.

  • Mishra, S., & Mishra, D. (2013). Review of literature on factors influencing attrition and retention. International Journal of Organisational Behaviour & Management Perspectives, 2(3), 435-444.

  • Mohammad, A. Q. (2015). Employee recruitment, selection and retention in Saudi Arabian family owned small and medium scale enterprises (SME’s). Kuwait Chapter of Arabian Journal of Business and Management Review, 4(6), 30-45.

  • Mosadeghrad, A. M. (2013). Quality of working life: An antecedent to employee turnover intention. International Journal of Health Policy & Management, 1(1), 49-58.

  • Msengeti, D. M., & Obwogi, J. (2015). Effects of pay and work environment on employee retention: A study of hotel industry in Mombasa county. International Journal of Scientific and Research Publications, 5(4).

  • Oladapo, V. (2014). The impact of talent management on retention. Journal of Business Studies Quarterly, 5(3), 19-36.

  • Onah, F. O., & Anikwe, O. S. (2016). The task of attraction and retention of academic staff in Nigeria universities. Journal of Management and Strategy, 7(2), 9-20.

  • Osibanjo, O. A., Adeniji, A. A., Falola, H. O., & Heirsmac, P. T. (2014). Compensation packages: A strategic tool for employees’ performance and retention. Leonardo Journal of Sciences, 25, 65-84.

  • Patra, S., & Singh, V. P. (2012). The challenge of retaining employees: Employee engagement, reducing cynicism and determinants of employees retention. Global Journal of Arts & Management, 2(1), 53-60.

  • Qadri, U. A., & Khan, M. M. S. (2014). Factors affecting on customer retention: A case study of cellular industry of Pakistan. International Journal of Recent Research in Commerce Economics and Management, 1(1), 1-22.

  • Ramlall, S. (2003). Organisational application managing employee retention as a strategy for increasing organisational competitiveness. Applied H.R.M. Research, 8(2), 63-72.

  • Reiche, B. S. (2006). The effect of international staffing practices on subsidiary staff retention in multinational corporations. International Journal of Human Resource Management, 18(4), 523-536.

  • Salman, S., Mahmood, A., Aftab, F., & Mahmood, A. (2016). Impact of safety health environment on employee retention in pharmaceutical industry: Mediating role of job satisfaction and motivation. Journal of Business Studies, 12(1), 185-197.

  • Samuel, M. O., & Chipunza, C. (2009). Employee retention and turnover: Using motivational variables as a panacea. African Journal of Business Management, 3(8), 410-415. doi:10.5897/AJBM09.15

  • Saari, L. M., & Judge, T. A. (2004). Employee attitudes and job satisfaction. Human Resource Management, 43(4), 395-407. doi:10.1002/hrm.20032.

  • Schoo, A. M., Stagnitti, K. E., Mercer, C., & Dunbar, J. (2005). A conceptual model for recruitment and retention: Allied health workforce enhancement in Western Victoria, Australia. Rural and Remote Health, 5(477), 1-18.

  • Sharma, M., Gupta, S., & Sharma, P. (2018). Impact of employee empowerment on retention of knowledge workers in higher education sector. IMPACT: International Journal of Research in Humanities, Arts and Literature, 6(4), 1-6.

  • Shetty, R., & Shetty, S. (2015). Retention of employee by empowerment. Paripex-Indian Journal of Research, 4(12), 67-90.

  • Sinha, C., & Sinha, S. (2012). Factors affecting employee retention: A comparative analysis of two organisations from heavy engineering industry. European Journal of Business and Management, 4(3), 145-162.

  • Steel, R. P., Griffeth, R. W., & Hom, P. W. (2002). Practical retention policy for the practical manager. Academy of Management Executive, 16(2), 149-164.

  • Sutanto, E. M., & Kurniawan, M. (2016). The impact of recruitment, employee retention and labor relations to employee performance on batik industry in solo city, Indonesia. International Journal of Business and Society, 17(2), 375-390.

  • Vijayakumar, J. (2012). The retention strategies of employees of IT industries. International Journal of Research in Social Sciences, 2(4), 98-131.

  • WeiBo, Z., Kaur, S., & Zhi, T. (2010). A critical review of employee turnover model (1938-2009) and development in perspective of performance. African Journal of Business Management, 4(19), 4146-4158.

  • Wood, M. E., Mansoor, G. F., Hashemy, P., Namey, E., Gohar, F., Ayoubi, S. F., & Todd, C. S. (2013). Factors influencing the retention of midwives in the public sector in Afghanistan: A qualitative assessment of midwives in eight provinces. Midwifery, 29(2013), 1137-1144.


Abstract Views: 550

PDF Views: 1




  • Factors Influencing Retention of Manufacturing Industry Employees in Tamimil Nadu and Puducherry

Abstract Views: 550  |  PDF Views: 1

Authors

Gangan Aranjan Pandu
Assistant Professor of Commerce and Principal Investigator - UGC's Major Research Project, Pondicherry University Community College, Puducherry
R. Sankar
Research Assistant, Department of Management Studies, Pondicherry University Community College, Puducherry, India

Abstract


The process of retaining the best human resources within a organisation is known as employee retention. Such employee retention is induced by many factors, which change from individual to individual depending upon various reasons. So, for this purpose, this study has tried to identify the factors influencing the retention of 250 employees working in different manufacturing firms in Tamil Nadu and Puducherry. For this purpose, the factors such as financial and non-financial benefits, organisation’s sense of belongingness, occupational relationships, organisational policies, professional environment, employee empowerment, work-life balance and quality of life are considered as the influencers of employee retention in this study. Collected data are analysed using reliability and validity analysis, Pearson correlation and multiple regression analysis. Pearson correlation showed that except occupational relationships and the quality of life, all other influencers are significantly associated with employee retention. Multiple regression analysis projected that the quality of life is the highest influencer and the organisational policies are the lowest inducing construct of the employee’s retention. Suggestions such as flexi-time, better pay, proper allowances, alternative work timings and employees grievance redressal are provided.

Keywords


Employees Retention, Influencers of Retention, Manufacturing Industry Workers, Tamil Nadu, Puducherry.

References