The mediating effect of employee engagement and well-being on turnover intention in Indonesia
-
DOIhttp://dx.doi.org/10.21511/ppm.22(2).2024.37
-
Article InfoVolume 22 2024, Issue #2, pp. 477-487
- 507 Views
-
136 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
Employee turnover is challenging for firms, and it is usually fueled by employee stress due to their heavy workload. To minimize turnover, firms can implement various initiatives, such as employee well-being and employee engagement programs. Previous studies have examined the influence of work stress, employee engagement, or employee well-being separately on turnover intention. By exploring these factors simultaneously, this study aims to explain the roles of employee well-being and engagement as mediators in alleviating the impact of work stress on turnover. Data were collected from 425 employees working in various economic sectors (e.g., finance, education, research and development, retail, and business) in Indonesia and analyzed using the structural equation modeling (SEM) with the Lisrel 8.8 software. The results confirmed that work stress and employee engagement are factors that can directly influence turnover intention. Nevertheless, employee well-being does not have a direct impact on reducing turnover. The role of employee engagement in mediating the impact of work stress and employee well-being on turnover intention has been proven to be significant. This indicates that the company can withstand the stress that leads to employee turnover by creating jobs that make employees enthusiastically enjoy their work. Furthermore, company initiatives to create employee well-being will only be effective if those initiatives encourage employee engagement. Based on these findings, companies can develop strategies to reduce employee turnover. This can be achieved by prioritizing work stress management and improving employee well-being and engagement.
- Keywords
-
JEL Classification (Paper profile tab)J24, J63, J21
-
References43
-
Tables4
-
Figures2
-
- Figure 1. Conceptual framework
- Figure 2. Empirical results
-
- Table 1. Respondent profile
- Table 2. Measurement model results
- Table 3. Result of hypotheses testing
- Table A1. Measurement model
-
- Aggarwal, A., Jaisinghani, D., & Nobi, K. (2022). Effect of organizational justice and support on organizational commitment and employee turnover intentions: The mediating role of employee engagement. International Journal of Quality and Service Sciences, 14(4), 525-554.
- Ahn, J-J., & Wang, Ch. (2019). Job stress and turnover intention revisited: Evidence from Korean firms. Problems and Perspectives in Management, 17(4), 52-61.
- Bawono, W., & Lo, S. J. (2020). Employee engagement as a mediator influences of work stress and career development to turnover intention in employee office of PT PKSS central office. Dinasti International Journal of Management Science, 1(5), 695-705.
- Bhatnagar, J. (2012). Management of innovation: Role of psychological empowerment, work engagement and turnover intention in the Indian context. The International Journal of Human Resource Management, 23(5), 928-951.
- Cavanaugh, M. A., Boswell, W. R., Roehling, M. V., & Boudreau, J. W. (2000). An empirical examination of self-reported work stress among U.S. managers. Journal of Applied Psychology, 85(1), 65-74.
- Cuyper, N. D., Bernhard-Oettel, C., Berntson, E., Witte, H. D., & Alarco, B. (2008). Employability and employees’ well-being: Mediation by job insecurity. Applied Psychology, 57(3), 488-509.
- De Klerk, S., & Stander, M. W. (2014). Leadership empowerment behaviour, work engagement and turnover intention: The role of psychological empowerment. Journal of Positive Management, 5(3), 28-45.
- DiPietro, R. B., Moreo, A., & Cain, L. (2020). Well-being, affective commitment and job satisfaction: influences on turnover intentions in casual dining employees. Journal of Hospitality Marketing & Management, 29(2), 139-163.
- Ferguson, R., & Brohaugh, B. (2009). The talent wars. Journal of Consumer Marketing, 26(5), 358-362.
- Fornell, C., & Larcker, D. F. (1981). Structural equation models with unobservable variables and measurement error: Algebra and statistics. Journal of Marketing Research, 18(3), 382-388.
- Fu, W., Pan, Q., Zhang, C., & Cheng, L. (2022). Influencing factors of Chinese special education teacher turnover intention: Understanding the roles of subject well-being, social support, and work engagement. International Journal of Developmental Disabilities, 68(3), 342-353.
- Gibson, J. L., Ivancevich, J. M., Donnelly, J. H., & Konopaske, R. (2012). Organizations: Behavior, structure, processes (14th ed.). New York: McGraw-Hill.
- Gupta, M., & Shaheen, M. (2017). Impact of work engagement on turnover intention: Moderation by psychological capital in India. Business: Theory & Practice, 18, 136-143.
- Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2014). Multivariate data analysis (7th ed.). Upper Saddle River: Pearson Education.
- Halimah, T. N., Fathoni, A., & Minarsih, M. M. (2016). Pengaruh job insecurity, kepuasan kerja dan lingkungan kerja terhadap turnover intention pramuniaga di Gelael supermarket (Studi kasus pada Gelael Superindo Kota Semarang) [The influence of job insecurity, job satisfaction and work environment on turnover intention of sales clerks at Gelael Supermarket (Case study at Gelael Superindo, Semarang City)]. Journal of Management, 2(2).
- Harter, J. (2022, September 6). Is quiet quitting real? Gallup.
- Harun, I., Mahmood, R., & Md. Som, H. (2022). Role stressors and turnover intention among doctors in Malaysian public hospitals: Work–family conflict and work engagement as mediators. PSU Research Review, 6(1), 1-16.
- Hon, A. H. Y., & Chan, W. W. (2013). The effects of group conflict and work stress on employee performance. Cornell Hospitality Quarterly, 54(2), 174-184.
- Igbaria, M., Zinatelli, N., Cragg, P., & Cavaye, A. L. (1997). Personal computing acceptance factors in small firms: A structural equation model. MIS Quarterly, 21(3), 279-305.
- Ilies, R., Aw, S. S., & Pluut, H. (2015). Intraindividual models of employee well-being: What have we learned and where do we go from here? European Journal of Work and Organizational Psychology, 24(6), 827-838.
- Jamal, M., & Preena, S. (1998). Job stress and employee well-being among airline personnel in an Asian developing country. International Journal of Stress Management, 5, 121-127.
- Kirk-Brown, A., & Van Dijk, P. (2016). An examination of the role of psychological safety in the relationship between job resources, affective commitment and turnover intentions of Australian employees with chronic illness. The International Journal of Human Resource Management, 27(14), 1626-1641.
- Koon, V. Y., & Ho, T. S. (2021). Authentic leadership and employee engagement: The role of employee well-being. Human Systems Management, 40(1), 81-92.
- Langove, N., Isha, A. S. N. B., & Javaid, M. U. (2016). The mediating effect of employee well-being in relation to role stressors and turnover intention: A conceptual study. International Review of Management and Marketing, 6(S4), 150-154.
- Lestari, D., & Margaretha, M. (2021). Work life balance, job engagement and turnover intention: Experience from Y generation employees. Management Science Letters, 11(1), 157-170.
- Mobley, W. H., Horner, S. O., & Hollingsworth, A. T. (1978). An evaluation of precursors of hospital employee turnover. Journal of Applied Psychology, 63(4), 408-414.
- Nimmi, P. M., & Zakkariya, K. A. (2021). Determinants of perceived employability in current career context: Evidence from India. Journal of Asia Business Studies, 15(5), 804-820.
- Nuhn, H. F., Heidenreich, S., & Wald, A. (2018). The role of task-related antecedents for the development of turnover intentions in temporary project teams. The International Journal of Human Resource Management, 29(15), 2284-2302.
- Robbins, S. P., & Judge, T. A. (2017). Organizational behavior. Pearson.
- Robinson, D., Perryman, S., & Hayday, S. (2004). The drivers of employee engagement. Brighton: Institute for Employment Studies.
- Said, R. M., & El-Shafei, D. A. (2021). Occupational stress, job satisfaction, and intent to leave: Nurses working on front lines during COVID-19 pandemic in Zagazig City, Egypt. Environmental Science and Pollution Research, 28, 8791-8801.
- Sandilya, G., & Shahnawaz, G. (2018). Index of psychological well-being at work – Validation of tool in the Indian organizational context. Vision, 22(2), 174-184.
- Sawir, M., Yasri, & Abror. (2021). The effect of stress, work environment and work engagement on employee performance. Sixth Padang International Conference on Economics Education, Economics, Business and Management, Accounting and Entrepreneurship (pp. 606-611). Atlantis Press.
- Schaufeli, W. B., & Bakker, A. B. (2010). Defining and measuring work engagement: Bringing clarity to the concept. In A. B. Bakker & M. P. Leiter (Eds.), Work engagement: A handbook of essential theory and research (pp. 10-24). Psychology Press.
- Schaufeli, W. B., Salanova, M., González-Romá, V., & Bakker, A. B. (2002). Utrecht work engagement scale-17 [Database record]. APA PsycTests.
- Schwepker, C. H., Valentine, S. R., Giacalone, R. A., & Promislo, M. (2021). Good barrels yield healthy apples: Organizational ethics as a mechanism for mitigating work-related stress and promoting employee well-being. Journal of Business Ethics, 174, 143-159.
- Tesi, A., Aiello, A., & Giannetti, E. (2019). The work-related well-being of social workers: Framing job demands, psychological well-being, and work engagement. Journal of Social Work, 19(1), 121-141.
- Trinchero, E., Borgonovi, E., & Farr-Wharton, B. (2014). Leader-member exchange, affective commitment, engagement, well-being, and intention to leave: Public versus private sector Italian nurses. Public Money & Management, 34(6), 381-388.
- Wang, C., Xu, J., Zhang, T. C., & Li, Q. M. (2020). Effects of professional identity on turnover intention in China’s hotel employees: The mediating role of employee engagement and job satisfaction. Journal of Hospitality and Tourism Management, 45, 10-22.
- Winasis, S., Wildan, U., & Sutawidjaya, A. H. (2020). Impact of digital transformation on employee engagement influenced by work stress on Indonesian private banking sector. Proceedings of the 5th NA International Conference on Industrial Engineering and Operations Management (pp. 10-14). Detroit, Michigan, USA.
- Yu, J., Park, J., & Hyun, S. S. (2021). Impacts of the COVID-19 pandemic on employees’ work stress, well-being, mental health, organizational citizenship behavior, and employee-customer identification. Journal of Hospitality Marketing & Management, 30(5), 529-548.
- Zhao, X., Lynch, J. G., & Chen, Q. (2010). Reconsidering Baron and Kenny: Myths and truths about mediation analysis. Journal of Consumer Research, 37(2), 197-206.
- Zheng, X., Zhu, W., Zhao, H., & Zhang, C. (2015). Employee well-being in organizations: Theoretical model, scale development, and cross-cultural validation. Journal of Organizational Behavior, 36(5), 621-644.