Employer branding: design and development of a scale

Abstract

PurposeThis paper aims to design, develop and validate an instrument to measure employer branding by considering existing employee perceptions.Design/methodology/approachIn this systematic research, the predominant factors of employer branding are identified through Pareto analysis; using structured questionnaire information and data collected from 423 employees. The number of items and dimensions was reduced by conducting exploratory factor analysis (EFA) and validated extracted dimensions using confirmatory factor analysis (CFA) using statistical software (SPSS-21). The designed scale was verified by applying relevant statistical techniques, including a multicollinearity test, construct validity, content validity, divergent validity, convergent validity and reliability test. Structural equation modeling (SEM) was performed using AMOS, to explore the interrelationship between the dimensions of the scale.FindingsConsidering the perception of existing employees, seven factors along with 24 items scale were designed and developed to measure the employer branding. The identified seven factors are; career development opportunities; compensation and benefits; corporate social responsibility; training and development; work environment; organizational culture; and work-life balance. The proposed model explains a total variance of 70.35% and the model fit indices are within the acceptable range, validity and statistical reliability are established for seven dimensions of employer branding.Research limitations/implicationsEmployer branding is studied from existing employee perspective by collecting responses from the employees of the IT sector only.Practical implicationsThis validated scale is valuable for practitioners and academicians. The proposed dimensions in the scale may help practitioners explore the impact on the outcomes of organizations such as employee commitment, employee retention, employee satisfaction and total productivity. This novel instrument helps to measure employees' perception of their employers. Further, the authors identify the gaps and accordingly plan strategies to attract and retain the talented workforce.Originality/valueThe authors believe that this novel measuring instrument is comprehensive and the first of its kind. Employer branding has been modeled using SEM analysis by considering the perceptions of the present employees.