Digital Talent on Employee Retention: the Role of Employee Engagement as Mediation

Abstract

Objective: This study aims to determine and analyze the effect between the variables of Digital Talent on Employee retention, the effect of Employee Engangement on Employee Retention, the effect of Digital Talent on Employee Engangement and the effect of Digital Talent on Employee Retention mediated by Employee Engangement. Methods: The research was conducted using quantitative methods consisting of 3 variables, namely Digital Talent, Employee Retention and Employee Engangement. The population used is employees who work in the manufacturing sector in West Java province with a sample size of 170 respondents, the sampling technique used is probability sampling technique with random sampling method. Data collection is done through google form in filling out an online survey using a Likert scale of 1-5. Data analysis in this study used the help of the SmartPLS software program version 3.0. Results and Conclusion: The analysis explains that the higher the level of digital capabilities and skills possessed by employees, the more likely they are to stay with the company. Employees' engagement at work and their relationships with coworkers, management, and the company as a whole play an important role in linking digital talent with employee retention. Implications of the research: This research has broad implications, both in the practice of human resource management in companies and in social dynamics in the world of work. By understanding the relationship between Digital Talent, Employee Engagement, and Employee Retention, companies can improve employee retention, promote employee well-being, and foster the growth of a more digitized industry. Originality: This research brings novelty by focusing on digital talent in the manufacturing industry. This industry is traditionally known for its different work structures and varying levels of automation. In the face of the industrial revolution 4.0, manufacturing companies in West Java need to evaluate the impact of digital talent on their employee retention, having unique characteristics and challenges.