The Nexus between Employee Motivation and Turnover Intention: Moderating Role of Generation Gap (With Special Reference to the Executives of a Leading PVC Manufacturing Firm in Sri Lanka)

W A S S Jayasekara,T D Weerasinghe

doi:10.4038/kjhrm.v13i2.57

Abstract

With Human Resource Management being recognized as a strategic partner, organizations are keen on refining their existing Human Resources Management practices. Yet retaining effective and efficient employees has been a critical issue in this century. Furthermore, managing multi-generational workforce with different traits have become a widely discussed topic. Through studies, researchers have identified different factors that have an impact on employee turnover intention. This study is aimed to assess the effect of motivation on turnover intention and to assess the moderating role of generation gap between motivation and turnover intention among employees of ABC Private Limited. This study follows deductive approach and mono-method quantitative methodological choice with cross-sectional time horizon. Primary data was collected through a pre-tested questionnaire, which were statistically verified as reliable and valid. The data was collected from a sample of 83 executives of the ABC Private Limited and analyzed using IBM SPSS software through descriptive and inferential statistical tests. Through the findings of this study, it is found that intrinsic motivation has a significant negative nexus with turnover intention. The direct impact of intrinsic motivation on turnover intention is also significant. Furthermore, a negative significant nexus between extrinsic motivation and turnover intention is found and the direct influence of extrinsic motivation on turnover intentions, which is significant. In addition, it is found that motivation has a significant negative nexus with turnover intention. Moreover, this study concluded declaring that generational differences significantly moderates the nexus between motivation and turnover intention. It is recommended to use a mixture of motivational factors, both intrinsic and extrinsic, to reduce employee turnover intention. Furthermore, it is suggested to consider composition of generations in the workforce when determining intrinsic and extrinsic motivation factors.

Highlights

A large number of scholars voiced their views on employee turnover in terms of it being healthy and unhealthy to an organization
Hausknecht, Trevor and Howard (2009) stated that higher employee turnover leads to have a higher number of new recruits in the organization that leads to higher requirement for tight supervision and less autonomy for the employees, which leads to decreased employee motivation
The conclusion demonstrates a negative correlation between motivation and turnover intention

Summary

Introduction

A large number of scholars voiced their views on employee turnover in terms of it being healthy and unhealthy to an organization. Hausknecht, Trevor and Howard (2009) stated that higher employee turnover leads to have a higher number of new recruits in the organization that leads to higher requirement for tight supervision and less autonomy for the employees, which leads to decreased employee motivation . The decreased employee motivation will increase the employee turnover than the previous situation that again leads to higher new recruits, lower motivation and increased employee turnover even further, forming a negative cyclical reaction. This negative cycle reduces the performance of the organization constantly until the cycle is stopped (Ton & Huckman, 2008). It is evident that performance of an organization is adversely affected by high employee turnover

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Conclusion