The main purpose of the study was to investigate the effects of motivation on staff retention in the workplace within higher learning institutions, with focus on Cooperative University college of Kenya (CUCK). Research questions included the following: How does compensation influence employee job retention at CUCK? How does employee training influence employee job retention at CUCK? How does employee recognition influence employee job retention at CUCK? Descriptive research design was adopted in this study. Descriptive research was used to obtain information concerning the current status of staff motivation as the phenomena to describe what existed with respect to motivation variables or conditions in CUCK. The target population consisted of 90 CUCK employees who included lower cadre employees, lecturers, heads of departments, coordinators and head of units, and top management of the organization. In order to identify the sample elements, stratified sampling was adopted for the heads of departments, lecturers, and heads of units because they could provide the same information. A sample size of 45 respondents was employed. This represented50% of the sample frame. Data collection was done using a standard self-administered questionnaire which was distributed to the respondents. Data analysis was by way of descriptive statistics in terms of the mean, mode, median and frequencies. Data presentation was in form of frequency tables, mean, and graphs. The findings established that majority of respondents felt that money played an important role as key motivation variable that improves employee job retention. Others confirmed that, although still positive, indicated a lesser degree of positive response to the fact that annual performance bonuses, salary and wages, and monthly target based incentive schemes are regarded as having a positive impact on employee job retention. The results further revealed that, monetary motivation was the only motivation that motivated employees. The results also stressed that monetary motivation can only be regarded as a short-term motivator. It was also revealed that there exists training and development opportunities at CUCK, majority of the respondents agreed that potential promotional opportunities are based one’s training. At CUCK career development is what motivates employees to stick within the institution. Additionally, respondents agree that CUCK has offered them opportunities to use their own initiatives, CUCK has offered employees more responsibility as a result of the trainings attended. CUCK has offered them excellent training opportunities to broaden the functions of their job while CUCK has offered them frequent training that have enhanced the feeling of accomplishment they get from their job and finally CUCK had had excellent training opportunities to assist their staff advance their career. Finally, the findings revealed that, majority of the respondents were in agreement about how employee recognition contributes to employee retention. In the same regard respondents agreed that there exist employee training opportunities at CUCK. It was further revealed that they received informal praise from their superiors. Similarly, respondents agreed that they received formal praise from their bosses. It was further revealed that respondents received symbolic gifts such as dairies, calendars, notebooks, caps, badges and t-shirts, were mentioned as well as daily newspapers. It is recommended that the needs of employees should be seriously considered when designing and implementing a motivation system to motivate staff to remain in the organization. The first step would be to determine the stage of the life cycle that majority of the employees fall. Once this has been established, the hierarchy of needs in terms of importance within this life cycle phase must be determined. From the conclusions of this study it is clear that compensation should be included in motivation schemes. In addition, CUCK should continue using training to motivate employees, as this was to satisfy their needs since it is necessary for the career growth. Similarly, the study recommended that, there was need for CUCK to conduct frequent workshops and capacity building seminars so as to ensure that employees have something to keep them loyal to the organization. The study finally recommended that CUCK should conceptualize the use of informal praise by superiors, symbolic gifts, and writing monthly magazines where good performers are mentioned, and employee of the month awards in order to motivate employees to perform better. Secondly the study recommended that, that it is important for CUCK to involve all the employees when determining the performance standards.
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