EFFECTS OF JOB SATISFACTION ON HUMAN RESOURCE TURNOVER IN INDUSTRY - A PRACTICAL APPROACH

Abstract

One of the current major challenges for managers is the high turnover of human resources, which is detrimental to the healthy and sustainable development of companies, affecting turnover and profit to a large extent. It can be solved by identifying the internal mechanism of human resource turnover associated with job satisfaction. This paper makes a practical contribution related to the topic of the effects of job satisfaction on human resource turnover in industry. Starting from the assessment of the knowledge on the studied topic, the models in the literature, the results from qualitative research, the paper addresses the steps needed to be taken to design a questionnaire to assess employee satisfaction, which is then used, in a quantitative research stage, to analyse the level of job satisfaction and the consequences that its level has on human resource turnover. In the second part of the paper, detailed elements of quantitative research are exemplified by analysing the responses on employees' opinions, using the questionnaire designed above, for one of the 16 dimensions addressed in the questionnaire (organizational commitment). The quantitative research was then conducted on a population of 1221 employees working in 3 large Romanian companies. Using a series of statistical analysis methods specific to categorical data, the results highlight the positive role of HR turnover frequency on job satisfaction in the short term and the negative role in the long term. These results provide valuable information that will help companies to improve the job satisfaction of their employees and to develop effective human resource management strategies to increase staff retention.