HUMAN RESOURCE MANAGEMENT AND EMPLOYEES RETENTION IN THE ORGANISATIONS

Abstract

The main objective of the study is to examine the effect of human resource management practices on employee retention. The study adopted a survey research design for its methodology. TaroYamane formula was employed as the best statistical method to select a sample of ninety-three (93) respondents from a population size of one hundred and twentytwo (122). Ninety three copies of questionnaire distributed and Eighty-five copies questionnaires were returned. Eighty (80) were found to be correctly filled and fit for analysis. The formulated hypotheses were tested using simple linear regression analysis. The study found that training and development has a weak significant effect on employee retention as the R Square value was 0.038. The study found that performance appraisal has a weak influence on employee retention as the R Square value was 0.15. Lastly, the study found that compensation has a weak significant effect on employee retention as the R Square value was 0.192, Beta value was 0.438. however, low R-squared value indicated that the independent variables are not explaining much in the variation of your dependent variable regardless of the variable significance. The study therefore recommended that the management should ensure that the human resource department intensify efforts to create policies and adopt best practices that would generate the needed commitment from the employees. Line managers or supervisors should suggest necessary training programs and work with the management to organize these training for their subordinates and the management should ensure that the training and development of its workforce becomes part of the organization’s policy as training and development in any organization contributes to achieving effectiveness and efficiency of organization’s goals.