- South Asian Journal of Human Resources Management
One of the most predominant concerns for managers
and executives in the past hundred years and possibly well into the foreseeable
future is retention of employees. According to a report by the Society of Human
Resources Management (2016), 46 per cent of the HR managers consider employee
turnover a significant concern. The renowned industrialist of the nineteenth
century, Andrew Carnegie, quoted ‘Take away my factories, my plants; take away
my railroads, my ships, my transportation, take away my money; strip me of all
of these but leave me my key employees, and in two or three years, I will have
them all again’. Although two centuries have passed since those words, they
continue to ring true in the current age of Information Technology (IT).
Retaining key employees is and will always be an essential competitive
advantage for any organisation. According to a report by Gallup (2017), 51 per
cent of US employees claim to be actively looking for a new job. Losing good employees
can affect the morale of existing employees and have negative impact on productivity
and quality of work. A global survey conducted by Deloitte (2014) with 2,500
business leaders has shown employee turnover to be one of the most alarming
challenges faced by businesses today. Despite the increasing attention to employee
turnover by both researchers and practitioners, there still exists a dearth of
understanding of the factors that impact the employee’s intention to stay with their
current organisation.
Studies have shown that organisations
experience lower voluntary turnover when employees are engaged in their work
(Bailey et al., 2017). Work engagement has been defined as ‘a positive,
fulfilling, work-related state of mind characterized by vigour, dedication, and
absorption’. Employees who are highly engaged exhibit high-quality performance
and positive work behaviours such as leadership, organisational citizenship
behaviour and commitment. There is strong evidence that engaged employees
contribute to productivity, profitability, customer satisfaction and
shareholder returns. On the other hand, low levels of engagement result in
billions of dollar losses (Albrecht et al., 2015). Hence, it is important to
understand the factors affecting work engagement.
The Job
Demands-Resources (JD-R) theory provides the theoretical background for
understanding the antecedents and outcomes of work engagement. Based on the
JD-R theory, this study proposes that job resources (i.e., goal clarity and
trust in management) are the core drivers of work engagement and job demands
(i.e., work–family conflict) are the stressors that reduce engagement levels.
Work engagement is considered as a critical mediator between job resources and
the organisational outcomes. In this study, we posit work engagement as a mediator,
in the relationship between goal clarity, trust in management, work–family conflict
and intention to stay. Studies by Alfes et al. (2013) and Saks (2006) have
shown that an increase in work engagement decreases voluntary turnover and enhances
the intention to stay.
Read the complete article- “Goal
Clarity, Trust in Management and Intention to Stay: The Mediating Role of Work
Engagement by Neha
Bellamkonda, Nivethitha
Santhanam, Murugan Pattusamy”
.
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