Personality Traits and Employee Turnover in the Insurance Industry in Kenya

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Aim: The aim of this study was to examine the relationship between personality traits and employee turnover in the Insurance Industry in Kenya. The study also aimed to evaluate the moderating effect of firm characteristics on the relationship between personality traits and employee turnover in the Insurance Industry in Kenya. Methods: This study adopted a combination of descriptive and correlational research designs. The insurance companies from which data was collected were the top 5 insurance companies based on market share in general insurance. The employees of those companies were drawn from the following cadres: middle-level managers, heads of departments, supervisors, and operational staff. This study utilized multi-stage sampling technique involving deliberate sampling and stratified random sampling. A sample size of 338 employees was used in the study and data was collected using a semi structured questionnaire. Descriptive analysis entailed means and standard deviations while inferential analysis entailed regression analysis. Results: Results showed that there was a positive and significant relationship between personality traits and employee turnover in the Insurance Industry in Kenya. It was also found that firm characteristics have no significant moderating effect on the relationship between personality traits and employee turnover in the Insurance Industry in Kenya Conclusion: The personality traits utilized in the management of employees by the organizational management in insurance firms determines the retention and turnover of employees in those companies. Recommendations: The management of insurance companies should increase the use of aptitude tests during recruitment to determine the personality traits of employees so that when they engage them in various jobs. Their personality traits would enhance the performance of their jobs and cause them to be retained in their jobs for a long period before thinking of going elsewhere and hence leading to insurance companies using lots of money on the high frequency of recruiting of employees.