Factors Influencing Employee Retention in 3-Star Hotels: Evidence from New Juaben North Municipality, Ghana

Authors

  • Dr. Gladys Apreh Siaw
  • Lucy Eyram Agbenyeke
  • Grace Owusu Gyasi
  •  Beatrice Afari

DOI:

https://doi.org/10.47672/jht.1085

Keywords:

Employee retention, job satisfaction, job security, work-life balance, training and development, wages and compensation

Abstract

Purpose: Hotels spend millions of dollars every year on recruitment processes. Nevertheless, employee retention rate has not been encouraging among hotels in Ghana. This paper therefore assessed the factors influencing employee retention in 3-star hotels in New Juaben North Municipality of Ghana.

Methodology: The explanatory research design was employed, and a representative sample of 102 employees were randomly selected and included in this study. A structured questionnaire was used to collect data for the analysis. Multiple regression models were used to estimate hypothesised unadjusted and adjusted relationships between employee retention and potential retention factors - training and development, wages and compensation, performance appraisal, work-life balance, job satisfaction and job security.

Findings: First, adjustment with the factors showed significant effects of training and development, wages and compensation, performance appraisal, work-life balance, job satisfaction and job security on employee retention. Next, control for employees' characteristics revealed significant relationships of training and development, wages and compensation, performance appraisal, work-life balance, job satisfaction and job security with employee retention.

Recommendation: The findings suggested that improvement in these explanatory factors would result in high employee retention rate in 3-star hotels in the New Juaben North Municipality. Thus, managements of these hotels should channel efforts into improving work conditions of their employees.

Downloads

Download data is not yet available.

Author Biographies

Dr. Gladys Apreh Siaw

Lecturer, Hospitality Department, Koforidua Technical University, Ghana

Lucy Eyram Agbenyeke

Assistant Lecturer, Hospitality Department, Koforidua Technical University, Ghana,

Grace Owusu Gyasi

Technician, Hospitality Department, Koforidua Technical University, Ghana

 Beatrice Afari

Technician, Hospitality Department, Koforidua Technical University, Ghana

References

Adam, A.M. (2020). Sample size determination in survey research. J. Sci. Res. Rep., 26, 90-97. https://doi.org/10.9734/jsrr/2020/v26i530263

Adams, J. S. (1963). Towards an understanding of inequity. The Journal of Abnormal and Social Psychology, 67(5), 422-436. https://doi.org/10.1037/h0040968

Akila, R. (2012). A Study on employee retention among executives at BGR Energy systems LTD, Chennai. International Journal of Marketing, Financial Services & Management Research, 1(9), 18-32.

Al Mamun, M., Sohag, K., & Hassan, M. K. (2017). Governance, resources and growth. Economic Modelling, 63, 238-261.

Alterman, T., Luckhaupt, S. E., Dahlhamer, J. M., Ward, B. W., & Calvert, G. M. (2010). Job insecurity, work-family imbalance, and hostile work environment: Prevalence data from the 2010 National Health Interview Survey. American Journal of Industrial Medicine. 56(6): 660-669.

Anis, A., Nasir, A., & Safwan, N. (2011). Employee retention relationship to training and development: A compensation perspective. African Journal of Business Management, 5(7), 2679-2685.

Asif, R., & Nisar, S. (2021). Exploring the relationship between employees turnover and corporate social responsibility: A case study of banking sector in Pakistan. Academy of Accounting and Financial Studies Journal, 25, 1-14.

Bajpai, N., Prasad, A., & Pandey, P. N. (2016). Work life balance retention (WLBR) model - A weapon too. IJCEM International Journal of Computational Engineering & Management., 16(5), 27-30.

Balamurugan, G., & Pasupathi, P. (2018). A study on effect of work-life balance on productivity. International Journal of Emerging Research and Development, 1(7), 1-4.

Barnes, W. F., & Jones, E. B. (1974). Differences in male and female quitting. Journal of Human Resources, 439-451.

Bell, E. (2022). Business research methods. Oxford university press.

Dwomoh, G., & Frempong, E. O. (2017). Factors influencing employees' retention in the banking industry of Ghana. Review Pub Administration Manag., 5(223), 1-6.

Garg, P., & Yajurvedi, N. (2016). Impact of work-life balance practices on employees retention and organizational performance-A study on IT industry. Indian Journal of Applied Research, 6(8), 105-108.

Glass, J. L., & Riley, L. (1998). Family responsive policies and employee retention following childbirth. Social Forces, 76(4), 1401-1435.

Gruman, J. A., & Saks, A. M. (2011). Performance management and employee engagement. Human Resource Management Review, 21(2), 123-136.

Herzberg, F. (2005). Motivation-hygiene theory. Organizational behavior one: Essential theories of motivation and leadership, eds JB Miner, ME Sharpe Inc, New York, 2(4), 61-74.

Holtom, B. C., & Darabi, T. (2018). Job embeddedness theory as a tool for improving employee retention. In Psychology of retention (pp. 95-117). Springer, Cham.

Iqbal, S., Guohao, L., & Akhtar, S. (2017). Effects of job organizational culture, benefits, salary on job satisfaction ultimately affecting employee retention. Review of Public Administration and Management, 5(3), 1-7.

Janjhua, Y., Chaudhary, R., & Sharma, R. (2016). An empirical study on antecedents of employee retention and turnover intentions of employees. International Journal of Research in Business Management, 4(5), 1-10.

Karatepe, O. M. (2013). High-performance work practices and hotel employee performance: The mediation of work engagement. International Journal of Hospitality Management, 32, 132-140.

Keith, K., & McWilliams, A. (1995). The wage effects of cumulative job mobility. ILR Review, 49(1), 121-137.

KPMG. (2007). Retail customers satisfaction survey, Ghana banking industry. Accra, Ghana. https://assets.kpmg/content/dam/kpmg/gh/pdf/2016-Africa-Banking-Industry-Customer-Satisfaction-Survey.pdf

Kwakye, E. O. (2018). Organisational culture and employee turnover. Journal of Economics, Management and Trade, 21(2), 1-11.

Lam, C. L., Law, S. F., Loo, Y. J., Ng, W. Y., & Ooi, S. L. (2015). A study on factors affecting employee retention in nursing industry at Klang Valley. [Doctoral dissertation, UTAR].

Ldama, J., & Bazza, M. I. (2015). Effect of training and development on employees' retention in selected commercial banks in Adamawa State-Nigeria. European Journal of Business and Management, 7(36), 96-101.

Magaisa, G. M., & Musundire, A. (2022). Factors affecting employee retention in Zimbabwean companies. International Journal of Applied Management Theory and Research (IJAMTR), 4(1), 1-20.

Mahan, T. H., Nelms, D., & Bearden, C. R. (2018). 2018 retention report: Truth and trends in turnover. Franklin, TN: Work Institute. https://cdn2.hubspot.net/hubfs/478187/2018%20Retention%20Report/Work%20Institute%202018%20Retention%20Report%20043018%20-%20Final.pdf

Makokha, N. (2019). Factors influencing employee turnover intentions in three star rated hotels in Kisumu, Kenya. [Research project, United States International University - Africa].

Malek, K., Kline, S. F., & DiPietro, R. (2018). The impact of manager training on employee turnover intentions. Journal of Hospitality and Tourism Insights, 1(3), 203-219.

Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), 370-396. https://doi.org/10.1037/h0054346

Muir, M. R., & Li, L. (2014). What are the top factors that drive employee retention and are there demographic (gender, generation, ethnicity, geography, etc.) differences in these factors?https://ecommons.cornell.edu/bitstream/handle/1813/74526/What_Are_the_To_Factors_That_Drive_Employee_Retention_and_Are_there_Demographic_Differences_in_These_Factors.pdf?sequence=1

Nasir, F., Ashraf, M., & Riaz, M. (2019). The role of gender in employee retention: A study of private hospitals in Karachi. International Journal of Experiential Learning & Case Studies, 4(1), 157-171.

Nasir, S. Z., & Mahmood, N. (2018). A study of effect of employee retention on organizational competence. International Journal of Academic Research in Business & Social Sciences, 8(4), 408-415. doi:10.6007/IJARBSS/v8-i4/4022

Neely, C. J. (2010). Okun's law: Output and unemployment. Economic synopses. Federal Reserve Bank of St. Louis. https://ideas.repec.org/a/fip/fedles/y2010n4.html

Njoroge, C. N., & Yazdanifard, R. (2014). The impact of social and emotional intelligence on employee motivation in a multigenerational workplace. International Journal of Information, Business and Management, 6(4), 163. 381-392.

Nyanjom, C. R. (2013). Factors influencing employee retention in the state corporations in Kenya. [Research project, University of Nairobi].

Oki, E. U. (2014). The impact of employee retention on customer satisfaction in the Nigerian service organizations: A study of some selected hotels in JOS, Plateau State. International Journal of Managerial Studies and Research, 2(9), 140-154.

Polanyi, K. (1944). The great transformation. Boston: Beacon.

Rakhra, H. K. (2018). Study on factors influencing employee retention in companies. International Journal of Public Sector Performance Management, 4(1), 57-79.

Salah, M. R. A. (2016). The impact of training and development on employees performance and productivity. International Journal of Management Sciences and Business Research., 5(7), 36-70.

Saunders, M. N. K., Lewis, P., & Thornhill, A. (2019). Research methods for business students (8th Ed.). Harlow.

Sicherman, N. (1996). Gender differences in departures from a large firm. ILR Review, 49(3), 484-505.

Sila, E., & Å irok, K. (2018). The importance of employee satisfaction: A case study of a transportation and logistics service company. Management (18544223), 13(2), 111-136.

Thomas, A., Uitzinger, D., & Chrysler-Fox, P. (2018). Perceptions of human resource professionals of challenges to and strategies for retaining managers. Acta Commercii, 18(1), 1-10.

Ul-Aabdeen, Z., Khan, M. N., Tahir, M., Salman, M., Khan, H. G. M., & Ali, K. (2016). Employee satisfaction and its impact on job turnover. International Journal of Economics and Business Administration., 2(4), 21-26.

UN (2015) Sustainable development goals. New York, NY: United Nations. Retrieved March 29, 2022. https://www.ghana.un.org

Williamson, O. E. (1981). The economics of organization: The transaction cost approach. American Journal of Sociology, 87(3), 548-577.

Yousuf, S. and Siddiqui, DA (2019). Factors influencing employee retention: A Karachi based comparative study on IT and banking industry. International Journal of Human Resource Studies, 9(1), 42-62.

Zineldin, M. (2000). Total relationship management (TRM) and total quality management (TQM). Managerial Auditing Journal, 15 (1/2), 20-28. https://doi.org/10.1108/02686900010304399

Downloads

Published

2022-06-27

How to Cite

Siaw, G. A. ., Agbenyeke, L. E. ., Gyasi, G. O. ., & Afari, Beatrice. (2022). Factors Influencing Employee Retention in 3-Star Hotels: Evidence from New Juaben North Municipality, Ghana. Journal of Hospitality and Tourism, 2(1), 47–68. https://doi.org/10.47672/jht.1085

Issue

Section

Articles