Do Human Resource Practices Cause Turnover Intention in the Hotel Industry in Jaipur, India
Preeti Nagar,
Research Scholar,
Bhartiya Skill Development University
Anil Kumar Agarwal,
Assistant Professor,
Bhartiya Skill Development University
Pallavi Mathur,
Assistant Professor,
Bhartiya Skill Development University
Abstract:
The purpose of the study is to show and provide an integrated model that contextualises human resource practies on employee turnover intentions in the Indian hotel industry. The questionnaire in the form of a Likert scale was distributed via email to hotel workers in the 4 and 5 star Indian hotel industry in Jaipur, and the data was analyzed using Spss 24. Other research elements, such as recognition practices (REC), competency development practices ( COMP), and information sharing practices (IMP) have a negative and significant impact on turnover intention while compensation management practices (CMP) has high significant impact on turnover intention. However, training practices (TRAI) has a significant and positive impact on turnover intention, which contradicts our hypothesis. While performance evaluation practices (PERF) do not have a direct impact on turnover intention, employees are more likely to believe that in an organisation there is a lack of performance activities to support employees, which directly affects their job, the less likely they intend to leave their current employer.
Keywords: Human Resource Management, Turnover, employees, Hotel Industry
Introduction
The Indian hospitality industry is the most important and fastest growing sector in terms of revenue generation and job creation. According to the (World Tourism Organization, 2017) report, this sector contributes approximately USD 47 billion to GDP. The government of India is making positive efforts to promote India as a tourism and hospitality hub. At the same time, the hotel industry, which is part of the hospitality industry, is flourishing more than ever before.
However, as with any accomplishment, there may be some issues that must be addressed properly or the industry will suffer. One of the most pressing concerns that has plagued the growing hotel industry in the past is the issue of employee turnover intention. Employee turnover, according to (Hom et al., 1984), refers to the percentage of the workforce that leaves the organisation and the organization's annual plan to remove employees. It is claimed that poorly managed human resource practices have a negative impact on the industry, increasing employee turnover.
According to the (National Skill Development Corporation, 2017) the hospitality industry has a high attrition rate of 40-50 percent. The hospitality industry in India is suffering from a skills shortage. According to the National Skill Development Corporation, the main reasons are an increased rate of turnover intention due to motivational aspects, improper framing of performance evaluation practices, a lack of training and development, a lack of recognition practices, an inadequate working environment, and a lack of opportunities. Such high rates are usually the result of a misalignment of expectations on the part of both employees and employers. As a result, there is a need to examine various issues that persist in the hotel industry, one of which is a high employee turnover intention.The following questions arise:
Some research has been conducted in this domain, demonstrating both positive and negative effects of various human resource practices on turnover intention. Some of these findings, demonstrating the wide range of outcomes, are discussed in the following review of literature.
Research Objectives
Literature Review
Koo et al., (2020), Their research aimed to uncover the complex relationships that exist in the hotel industry between emotional rewards (compliment, opportunity, empowerment, and recognition), material rewards (promotion, certificate, incentive, and special leave), job satisfaction, burnout, affective commitment, job performance, and turnover intention. Their findings demonstrated that emotional and financial incentives, as well as their dimensions, play an important role in the establishment of affective commitment, work performance, and turnover intention. Overall, the findings of this study can assist hotel researchers in better understanding the function of incentives and practitioners in developing a successful compensation plan for hotel employees. Chand & Ranga, (2018), They said that the benefits and drawbacks of performance evaluation systems rely on the ideology of the organisation in each business or industry. These are linked to the attitudes and aims that determine how human practises are carried out. The study examines how human behaviour attitudes are linked to performance assessment procedures that improve employee work satisfaction. The information acquired through the techniques of performance assessment procedures is critical for industrial requirements, and it is passed on to employees, resulting in a good connection with the purpose of turnover. Singh, D., & Amandeep, M. (2017) investigated the factors appraised by the hoteliers about the impact of employee turnover on hotel industry, these are low level of coordination, poor performance, wastage of time and money for re-recruitment and organizational performance downfall. They found in their study that it is necessary to increase the awareness about human resource practices. Santhanam et al., (2017) studied the impact of human resource practices and identified the moderating role of psychological contract breach between human resource practices and frontline staff. They suggested that employers should understand the employee perception about human resource practices while formulating & executing practices in an organization. Their study found that human resource practices are significant in nature and the psychological contract breach shows the negative relation between human resource practices and the frontline staff. Williams & Owusu-Acheampong, (2016), studied the role of human resource practices and their effects of turnover intention in hotel industry. They found that due to the lack of training & development practices and compensation benefits among the employees, as compared to the other marketplace, are the main constraints which increase the employee quit intentions in the organizations. Their study found that human resource practices have a significant negative relationship with the turnover intention of the employees.(S. Nivethitha et al. 2014), studied the research trends in organization’s human resource practices and found the concept of psychological behavior (cultural influences, social parameters and the personality characteristics) of employees on turnover intention. According to them, hospitality industry must focus on decreasing the psychological breach contract to retain the competent employees by enhancing the sustainable growth and thereby, fulfilling the employee needs in the organization to maintain relationship with the employees in long term. They found that psychological contract is the predictable determinant which affect the employee turnover intentions.Y.-G. Kim et al., (2012), studied and developed the causal model of behavioral commitment among automobile workers with the independent variables such as environment variables, structural variables and psychological variables. This shows the positive and negative relationships with the job satisfaction and organizational commitment to the job search that affected the behavioral commitment of the employees. Their findings bring out the knowledge for the organization the fair compensation brings and motivates the behavioral commitment of the employees. Cho et al., (2009) analyzed that whether the perceived organizational support, supervisors support and organizational commitment would decrease the intention to leave or increase the intention to stay in an organization. Their research concluded that organization must need to invest in employees in terms of recognition practices as perceived organizational support will mediate the relationship between the human resource practices, organizational commitment and the job satisfaction. The study found that there is the positive significant impact of employees on intention to stay in an organization. Hemdi & Nasurdin, (2004) studied the effect of employee development in human resource practices with respect to the trust on turnover intentions. They concluded that when employees observe that their organizations display more apprehension for their individual growth and well-being via the establishment of satisfactory and continuous training and development, fair performance appraisal and feedback system, and satisfactory career advancement opportunities, they will experience a positive expressive state. He suggested that there is need to continue to give employee training and development practices, conduct performance appraisal system and provide career advancement programs for the employees. Carbery et al., (2003) to analyze the turnover cognitions of hotel managers intention to leave or stay and proposed a model of the turnover intention of the managers. They found in their study female employees’ turnover intention is high because food and beverage department is a male oriented domain this result female employees failed to encourage themselves which is most challenging for them. Their studied found that demographic factor, human capital, psychological determinants and hotel characteristics, define significant variance in the turnover cognitions of hotel managers. Agarwala, (2003) analyzed the relationship of the technical, administrative and progressive dimensions of the innovative human resource practices. He also claimed that empirical evidence on the mediating role of trust with the relationship between human resource practices and turnover intention of the employees is yet not studied. They suggest that the employees of groups that are innovative in their human resource practices may show greater identification with their group, when compared to the employees of other groups that are not innovative. Parnell & “Rick” Crandall, (2003) studies generally focused on the job-related factors such as (working conditions, job ambiguity, job conflict and work overload) and demographics variables (age, gender, qualifications) which act as a dimensions that affected the behavioral attitude and turnover intentions of the employees.Whitener, (2001) claimed that no research has been conducted keeping trust as a mediating variable between human resource practices and turnover intention. In his study, he identified the relationships among human resource practices, trust, perceptions of organizational support, and organizational commitment. He concluded that employee’s perception about organizational environment in terms of human resource practices and the trustworthiness of the management and predicted that those employees who perceived that their organization’s human resource practices are meant to take care of their well-being will experience greater trust in their top management and are less likely to leave the organization. Therefore, employees’ trust and commitment are stronger it is possible when the employees perceived that the organization commitment with supportive efforts. Martins, (2002) studied the relationship between the employees and managers by developing the model of managing trust as per the organization point of view. He compared honesty and fairness to define similar constructs of ability and integrity as in Mayer trust variables. He defined trust in terms of honesty and fairness and revealed that the managerial practices influence on the trust, effects the relationships between the employees and their managers. He emphasized that information sharing practices, as a part of human resource practices, provide an important direction for the future research.Delery & Doty, (1996) suggested that human resource practices play an important role in influencing employee attitudes and behaviour. Human resource practices, as a set, are internally compatible with policies and strategy practices. These are designed and implemented to ensure that an organization’s human capital contributes to the accomplishment of its business objectives. Certain practices such as job preview, orientation program, compensation systems, job security, performance appraisals, training and development, and career advancement, are more frequently identified as human resource management practices. Human resource practices are proposed to enhance the effectiveness of the organization performance and to retain the employees.
The state-of-art on turnover studies have captivated job-related factors and demographic factors as determinants which affect individual perception and turnover intention of employees (S.-W. Kim, 1999; Parnell & “Rick” Crandall, 2003). However, various turnover studies, have bypassed employees’ opinion about human resource practices and missed employees’ opinion as variable in turnover intention studies (Arthur, 1994; Price & Mueller, 1981).
Proposed Theoretical Model
To achieve the objectives of this study, a theoretical model is developed as illustrated in Figure 1.
Figure 1: Theoretical framework of Employee Development Human Resource Practices on Turnover Intention
Description of the Proposed Theoritical Model
Recognition Practices: Many employers believe that when employees are dissatisfied, their turnover rate increases. To slow down the rate of turnover, they generally use simple recognition procedures. According to (Govaerts et al., 2011), recognition has a significant impact on employee performance. Recognition mostly refers to the formal program like employee of the year. Recognition procedures, according to their research, have a negative impact on the intention to leave. Many countries have recognition programmes for employees who have worked for them for a long time, such as the long service award or the loyalty award. In industries with a high turnover rate, this type of activity helps to keep staff. (Price, 2001) claimed that, in order to be recognised as the "best place to work" in their business, organizations today tend to implement recognition programmes as part of their strategy. Their analysis found that recognition strategies are negatively connected with the desire to leave. Recognition is both positively and adversely connected to turnover intention, according to (Paré & Tremblay, 2007). It goes on to say that by adopting a sound recognition programme that aligns with values, a firm may get better results in both business and culture, and that having a great culture is the key to reducing staff turnover and retaining high talent. This variable of the proposed model addresses the first research objective viz.
As a result, the following hypothesis is proposed:
H0: Recognition Practices will not be negatively related to Turnover Intention
H1: Recognition Practices will be negatively related to Turnover Intention
Competence Development Practices: The lack of internal employment opportunities is one reason that encourages hotel employees to look for work elsewhere (Cho et al., 2006). According to (Walsh & Taylor, 2007), employees in the hospitality business quit after a year or two since there is no clear career path in sight. They also discovered that employees are less satisfied with intrinsic aspects of their jobs, such as challenging jobs and a team-oriented work environment, than extrinsic aspects, such as rewards, which is associated with a higher chances of turnover. Employees quit their jobs because of a lack of training and professional growth chances in hotels (Bagri et al., 2010), and their findings also indicated a negative substantial impact on turnover intention. According to (Paré & Tremblay, 2007), competency growth is both positively and adversely associated to turnover intention. According to (Haiyan & Baum, 2006), professional development is crucial for employees to develop skills and gain a competitive advantage. This variable of the proposed model addresses the second research objective viz.
As a result, the following hypothesis is proposed:
H0: Competence Development Practices will not be negatively related to Turnover Intention
H1: Competence Development Practices will be negatively related to Turnover Intention
Information Sharing Practices: By encouraging employee participation, Human resource practices can influence a company's performance (Hussain & Rehman, 2013). Employees who are constantly educated about business concerns and feel they are being listened to are less likely to leave, according to (Paré & Tremblay, 2007). These researchers also discovered that information-sharing methods are both adversely and directly linked to the intention to leave. Although money is an essential factor in employees' decision to quit a job, (Griffeth et al., 2000) suggest that how salary decisions are conveyed to employees might affect turnover (Nishii et al., 2008). Employee intention to resign is more likely to diminish when firms create open-communication opportunities and share more information with employees, according to their research. Information sharing practices are negatively connected with turnover intention.
According to (Knicely, 1987), organisations have group discussion to listen to employee suggestions and issues. Employee development and motivation are aided by information sharing techniques, which increases their engagement in the decision-making process. It aids in the reduction of employee turnover intentions. Information-sharing practices are both positively and negatively connected to turnover intention, according to (Paré & Tremblay, 2007). (Rodwell et al., 1998) demonstrated in their research that information sharing techniques support corporate goals, increase employee efficacy in terms of mutual trust, and increase employee productivity. (Pfeffer & Veiga, 1999) defined information sharing practices as the most elegant and contributing process in the development of employee involvement in the organisation. (Meyer & Smith, 2009) emphasised the need of information sharing practices as part of human resource practices for future study. This variable of the proposed model addresses the third research objective viz.
Thus, we propose the following hypothesis:
H0: Information Sharing Practices will not be negatively related to Turnover Intention
H1: Information Sharing Practices will be negatively related to Turnover Intention
Compensation Management Practices: Due to low skills and a lack of union support, hotel employees have been viewed as the lowest compensated among employees in other industries (Nankervis & Debrah, 1995). Employees will be less likely to leave if they are offered monetary and educational incentives. Employees in the hospitality business are underpaid and undertrained, resulting in low motivation, job discontent, high employee turnover, and ultimately disappointed customers (Breaugh, 1981). Employees do not willing to stay in the hotel front office for long periods of time because of the tough labour, poor earnings, and uncertain chances for advancement (Haiyan & Baum, 2006) in their studies compensation. Management methods have a negative impact on turnover intentions. In order to recruit and keep talented people, employers should focus on improving the work environment, particularly in terms of salary and benefits (Baum, 2008). Employee issue in the hospitality industry is primarily due to higher salaries and better perks offered elsewhere (Chan & Kuok, 2011). Employees are less likely to consider leaving an organisation if it offers promotion possibilities and competitive compensation (Blomme et al., 2010), and the results support the negative significance on turnover intention. This variable of the proposed model addresses the fourth research objective viz.
Thus, we propose the following hypothesis:
H0: Compensation Management Practices will not be negatively related to Turnover Intention
H1: Compensation Management Practices will be negatively related to Turnover Intention
Performance Evaluation Practices: Performance evaluation practices appear to be on the rise, particularly in the hotel industry's highest echelons (Nankervis & Debrah, 1995). Employee performance standards should be tied to customer service policies, and employees should be evaluated against them (Redman & Mathews, 1998). Performance requirements should be realistic, feasible, and measurable. Because performance appraisal scores are frequently used to determine employment choices like salary rises and promotions, bias in ratings will have a negative impact on work satisfaction and the likelihood of turnover (Poon, 2004). Performance appraisals must be linked to appropriate compensation and training strategies, according to (Aggarwal & Bhargava, 2009), and learning appraisals aligned with long-term and specific/unspecific performance measures, career management, and skill-based training will result in stronger employment relations. Their research discovered that performance evaluation practices are important in nature and have a negative relationship with the intention to leave. This variable of the proposed model addresses the fifth research objective viz.
As a result, we provide the following hypothesis:
H0: Performance Evaluation Practices will not be negatively related to Turnover Intention
H1: Performance Evaluation Practices will be negatively related to Turnover Intention
Training Practices: One of the key reasons for significant employee turnover in the hotel business is a lack of properly trained and competent employees (Getz, 1994). According to (Solnet & Hood, 2008), the hospitality business is very people-intensive, with limited career opportunities and significant employee turnover. On-the-job training is the most common approach employed in hotels (Nolan, 2002), however employers fail to provide training with qualified trainers (Poulston, 2008), lowering the training quality. Employee training and skill development has been one of the front-burner challenges for the hotel sector for many years, according to (Teare, 1990). Both formal and informal training, they claim, is critical for a variety of reasons, including the industry's global expansion, the need to reduce employee turnover, the need for knowledge enhancement and career paths, increasing legal requirements, and, most importantly, to improve the quality of service provided to customers. This variable of the proposed model addresses the sixth research objective viz.
Thus, we propose the following hypothesis:
H0: Training Practices will not be negatively related to Turnover Intention
H1: Training Practices will be negatively related to Turnover Intention
Turnover Intention Turnover intention was defined as an employee’s willingness to leave the organization. Here, turnover intention is the behavioural figure, It was measured by the following two statements: “How often do you feel like quitting your job in this organization” and “How likely is it that you will actually leave your organization within the next year” (Meyer et al., 1993). The internal consistent of the turnover intention of the two items (alpha=0.94). In our study, to measure the turnover intention of the employees with the help of independent variables as human resource practices (Recognition, Compensation, competence, information sharing,performance evaluation and training practices).
These practices were identified using existing research and wanted to discover if there was a relationship between human resource practices and the likelihood of employee turnover. The proposed theoretical model tends to explore and justify the releationship between different variables in the hotel industry, Jaipur under consideration in line with the existing human resource practices revealed by literature review.
Research Methodology
Method of research
Descriptive and Multiple Linear regression will be used to analyse the research data.
Sampling technique, Sample Size:
Simple Random Sampling Technique will be used for the research.
Population estimation:
Total Hotels in Jaipur (Source: Make my Trip Updated February 11, 2020)
5 Star hotels = 41
4 Star hotels = 66
Total No. of Employees (Source:Ministry of Tourism Report, January 2012)
4-stars hotels = 204 employees/100 rooms.
5-stars hotels = 204 employees/100 rooms.
Population estimated: 21828
Sample size:
As per the Slovin’s Formula:
n=N÷(1+Ne2)
where
n = Number of samples
N = Total population
e = Error tolerance.
Hence, the desired sample size is 378 for this study.
Tools for collecting data
Structured Questionnaire will be used to collect the data.
Analysis of Data
Data will be analyzed via Statistical Package for the Social Sciences (SPSS) version 24.
Data Analysis and Interpretation
Demographic Information of Respondents
Figure 2 depicts the demographic information for 378 respondents in the current study who stayed in 4 and 5 star hotels in Jaipur. The age range of 26 to 35 years is the most common among upper middle level employees in the hospitality industry. The age range of 26 to 35 years is the most common among middlelevel staff employees. Lower middle level staff employees are mostly between the ages of 18 and 25. Concerning the job position, there are 84 respondents from a sample size of 378 people, including upper middle level management. There were 196 respondents in the middle-level of management and 98 respondents in the lower -middle level of management.
Descriptive Statistics
When the goal of the research is to present the participants' responses to survey items in order to address the research questions, descriptive statistics are the appropriate analyses.
Table 3: Descriptive Statistics
|
|
N |
Minimum |
Maximum |
Mean |
|
Statistic |
Statistic |
Statistic |
Statistic |
|
|
REC |
378 |
1.40 |
5.00 |
2.9374 |
|
COMP |
378 |
1.44 |
5.00 |
3.1576 |
|
IMP |
378 |
1.33 |
5.00 |
2.7751 |
|
CMP |
378 |
1.33 |
5.00 |
2.7875 |
|
PERF |
378 |
1.17 |
5.00 |
2.8629 |
|
TRAI |
378 |
1.00 |
4.50 |
2.5090 |
|
TI |
378 |
1.00 |
5.00 |
2.4320 |
|
Valid N (listwise) |
378 |
|
|
|
In this study, a seven-point Likert scale was used. A mean score of less than 2.33 was judged low, 2.76 to 3.94 was considered average, and more than 3.67 was considered good. This study's data has a mean greater than 2.33, indicating that it is moderate.
Pearson’s Correlation
The Pearson correlation is a good way to figure out how strong each dimension's link is. The strength of a link is assessed or evaluated between two associations, according to (Mohsin et al., 2015). The correlation coefficients are the integers that indicate the Pearson correlation. For each variable, larger correlation coefficients indicate stronger connections. Variable analysis reveals if each variable has a positive or negative connection, as well as whether the relationship is positive or negative (Narban et al., 2016).
Table 4 shows the correlation coefficients in which all independent variables had a significant correlation coefficient with the dependent variable. There was clearly a negative association between recognition practices (REC), competency development practices (COMP), information sharing practices (IMP), and compensation management practices (CMP), indicating that all are negatively significant with the dependent variable, supporting the hypothesis. However, training practices (TRAI) were discovered to have a positive relationship with turnover intentions, contradicting our model. When your p-value exceeds your significance level, the research study has been unable to reject the null hypothesis, resulting in insignificant findings. While performance evaluation practices (PERF) do not have a direct impact on turnover intention, employees are more likely to believe that in an organisation there is a lack of performance activities to support employees, which directly affects their job, the less likely they intend to leave their current employer.
Hypotheses Testing
The hypothesis's findings As indicated in Table 4, there is a negative relationship between human resource practices and turnover intention. mployee recognition practices at (r = -.101*), which is significant at 0.05 and implies that workers' turnover intention is considerably connected with employee recognition in the business. competency development practices at (r = -.100*) which is significant at 0.05. the information sharing practices at (r = -.085*) which is significant at 0.05. At a level of 0.05, compensation practices had a negative connection with turnover intention at (r =-.116*). There is a positive relationship between performance evaluation techniques and turnover intention (r =.025) when the degree of significance is considered negligible in my study. There is a positive significant connection between training practices and turnover intention (r=.175**) at 0.01, indicating that the researcher failed to reject a null hypothesis.
Table 4: Correlation Statistics
|
|
REC |
COMP |
IMP |
CMP |
PERF |
TRAI |
TI |
|
|
REC |
Pearson Correlation |
1 |
.290** |
.573** |
.410** |
.168** |
-.059 |
-.101* |
|
Sig. (1-tailed) |
|
.000 |
.000 |
.000 |
.001 |
.126 |
.025 |
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
COMP |
Pearson Correlation |
.290** |
1 |
.289** |
.170** |
.207** |
.001 |
-.100* |
|
Sig. (1-tailed) |
.000 |
|
.000 |
.000 |
.000 |
.492 |
.026 |
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
IMP |
Pearson Correlation |
.573** |
.289** |
1 |
.425** |
.125** |
-.017 |
-.085* |
|
Sig. (1-tailed) |
.000 |
.000 |
|
.000 |
.008 |
.371 |
.049 |
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
CMP |
Pearson Correlation |
.410** |
.170** |
.425** |
1 |
.108* |
.049 |
-.116* |
|
Sig. (1-tailed) |
.000 |
.000 |
.000 |
|
.017 |
.169 |
.012 |
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
PERF |
Pearson Correlation |
.168** |
.207** |
.125** |
.108* |
1 |
.055 |
.025 |
|
Sig. (1-tailed) |
.001 |
.000 |
.008 |
.017 |
|
.142 |
.317 |
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
TRAI |
Pearson Correlation |
-.059 |
.001 |
-.017 |
.049 |
.055 |
1 |
.175** |
|
Sig. (1-tailed) |
.126 |
.492 |
.371 |
.169 |
.142 |
|
.000 |
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
TI |
Pearson Correlation |
-.101* |
-.100* |
-.085* |
-.116* |
.025 |
.175** |
1 |
|
Sig. (1-tailed) |
.025 |
.026 |
.049 |
.012 |
.317 |
.000 |
|
|
|
N |
378 |
378 |
378 |
378 |
378 |
378 |
378 |
|
|
**. Correlation is significant at the 0.01 level (1-tailed). |
||||||||
|
*. Correlation is significant at the 0.05 level (1-tailed). |
||||||||
Multiple Linear Regression analysis
Assumptions of Multiple Linear Regression analysis
Table 5: Test of Durbin-Watson through Regression
|
Model Summaryb |
|||||
|
Model |
R |
R Square |
Adjusted R Square |
Std. Error of the Estimate |
Durbin-Watson |
|
1 |
.390a |
.152 |
.138 |
.77629 |
2.006 |
|
a. Predictors: (Constant), TRAI, CMP, PERF, REC, IMP, COMP |
|||||
|
b. Dependent Variable: TI |
|||||
In this present study, its value is 2.006, which is significant.Here, we can use the Durbin-Watson statistic to test the assumption that our residuals are independent (or uncorrelated). This statistic can vary from 0 to 4.
All the residuals are normally distributed. It has been assessed through Kolmogorov-Smirnov test, and Shapiro – Wilk test.
Table 6: Tests of Normality
|
|
Kolmogorov-Smirnova |
Shapiro-Wilk |
||||
|
Statistic |
df |
Sig. |
Statistic |
Df |
Sig. |
|
|
TI |
.186 |
378 |
.200* |
.938 |
378 |
.564 |
|
*. This is a lower bound of the true significance. a. Lilliefors Significance Correction |
||||||
Kolmogorov-Smirnov test, and Shapiro – Wilk test have also been applied to check the normality. The significance values of both the test are (.200 and .564) more than .05 (alpha Value) which depicts that residuals are normally distributed.
|
|
Model |
Tolerance |
VIF |
|
1 |
(Constant) |
|
|
|
REC |
.257 |
3.885 |
|
|
COMP |
.201 |
4.987 |
|
|
IMP |
.274 |
3.648 |
|
|
CMP |
.360 |
2.779 |
|
|
PERF |
.561 |
1.783 |
|
|
TRAI |
.805 |
1.243 |
Table: 7 Tests of Multi-Collinearity Statistics
It assesses the interdependence of the independent factors/variables.The tolerance and variance inflation factor are used to check it (VIF). In regression, the tolerance value should be between 0 and 1. The VIF must be less than 5 (Henseler et al., 2015). In this study, all tolerance and VIF values are less than the cut-off level, indicating that there is no multicollinearity in any of the models.
The fourth assumption of multiple regression is that the distribution of error terms/residues is normal. The p-p plot also reveals that the distribution of error terms/residues is normal, and the figure below shows that there are no outliers in the data set.
Findings
Multiple linear regressions examine the effect of all independent variables on the dependent variable at the same time. The results of multiple regressions of the six independent variables against the dependent variable turnover intention are shown in Table 5. It offers the findings concerning the links between the determinants of Turnover Intention. Four Human resource practices, including recognition practices, competence development practices, information sharing practices and compensation management practices, were proven to have a negative significant influence on turnover intention .
Compensation Management Practices (CMP) inside the organisation were shown to have the strongest negative significant influence on Turnover Intention, as predicted. While the other research factors REC, COMP, INFO, show a negative and considerable influence on turnover intention. And, according to the hypothesis, all four practices have a significant relationship with the hypothesis. However, the influence of TRAI on turnover intention is considerable and positive, which contradicts our hypothesis. The research investigation was unable to reject the null hypothesis, yielding negative results. While performance assessment practices (PERF) do not have a direct influence on turnover intention, employees are less likely to quit their current employer if they assume there is a lack of performance activities to enhance employee performance, which significantly influence their employment.
(Chuan, 1992) defines r-square values as low if they are less than.12, medium if they are between.13 and.25, and high if they are greater than .26. In this research study the study's parameters explained 13.8% of the variance in turnover intention. Two independent factors failed to explain 13.8 % of the variance in turnover intention in the indicated domain, according to statistical data. Here, in Table 8: ANOVA Table shows the significant P-Value which is less than .05 that is significant in nature.
|
Table:8 ANOVAa |
||||||
|
Model |
Sum of Squares |
df |
Mean Square |
F |
Sig. |
|
|
1 |
Regression |
39.997 |
6 |
6.666 |
11.062 |
.000b |
|
Residual |
223.574 |
371 |
.603 |
|
|
|
|
Total |
263.571 |
377 |
|
|
|
|
|
a. Dependent Variable: TI |
||||||
|
b. Predictors: (Constant), TRAI, CMP, PERF, REC, IMP, COMP |
||||||
Conclusion
As hypothesized it was found that there are significant negative relationships between Recognization practices, Competence development practices, Information sharing practices,Compensation Management Practices with turnover intention of employees. Assumption 4 examined negative significant relationship between compensation management practices and employee turnover intention and supported. This direction of relationship is consistent with the literature (Bagri et al., 2010; Cho et al., 2006; Nankervis & Debrah, 1995). The overall relationships of different elements of human resource practices system showed that Compensation management practices has the strongest negative relationship with turnover intention Employees have a tendency to experience that if compensation methods are fair and unbiased, they will be less likely to quit the company.
When reviewing the existing literature it was also found that according to (Karatepe, 2012) employee recognition has significant impact on turnover intention. Analysis of the collected data revealed that assumption 1 recognition practices has a negative significant impact on the employees’ turnover intention. That means employees tend to believe that if the recognition practices is effective and attractive to employees their turnover intention will be reduced gradually.
The assumption 2 has a negative impact on turnover intention. According to (Paré & Tremblay, 2007), employees are more inclined to stay if they believe they have enough alternatives for career advancement. In this study, the competency development practices are seen to be acceptable by the employees in order to reduce the likelihood of turnover.
For assumption 3 Employees feel that information sharing practices are connected to turnover intentions only when they are part of a larger programme meant to increase employee engagement in decision-making, therefore it is significantly correlated with turnover intention.
For assumption 4 we did not find a significant association between employee-turnover intention and performance evaluation practices. The study's findings show that the hospitality sector has to focus on human resource practices and promote employee performance with the company in order to not only decrease employee turnover but also enhance their performance.
According to assumption 6, training practices are positively connected with turnover intention, meaning that employees think they have superior training programmes in the same organisation and want to enhance our talent in other areas.
Among the numerous service businesses in India, the hotel industry is one of the fastest expanding. On the other hand, the sector is suffering from a scarcity of skill people resources, as well as a labour demand-supply mismatch (Santhanam et al., 2015). To recruit and retain personnel in the hospitality business, firms should focus human resource practices and work to improve the industry's negative perception. As a result, this study gives important insights into the significance of employees' identity with their organisation and their valuing of human resource practices, as well as how such perception impacts employee turnover intentions.
Limitations of Research
Study is limited to the Jaipur (Rajasthan) region hotels only. Target Populationis limited to the only 4&5-star rating hotels employees. The Present study is concerned with the Hotel Industry only and that too in Jaipur region only. The other regions of the Rajasthan state could not be explored. Therefore, the generalisation of results to other regions in the state or the service organizations might be limited.
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