Employee retention and organizational performance: Evidence from banking industry
Barween Al Kurdi, Muhammad Turki Alshurideh, Tayseer AL Afaishat
Abstract
It may be queried why highly-qualified and skilled employees are allowed to leave their organizations. This study aims to determine the main factors affecting employee retention and how employee retention affects organizational performance in the commercial banking sector in Jordan. The employee retention drivers that are discussed in this study include economic security, psychological security, affiliation, and self-actualization factors. The researchers use a questionnaire as a research instrument to collect the primary data from employees using the simple random sampling technique. SEM-SPLS is used to analyze the collected data, to test the study model and the proposed hypotheses. The findings reveal that economic, psychological, affiliation, and self-actualization factors affected employee retention. The paper also discusses the study's theoretical and practical implications.