Human Resource Management Practices and Employee Turnover Intentions Nexus: Does the Mediating Role of Job Satisfaction Matter?

Abstract

This current paper explores the nexus amid human resource management practices and employee turnover intentions in private organizations in an evolving economy, Ghana. Particularly, the study is centered on the mediating role of job satisfaction within the relationship between human resource management and employee turnover intentions. The study depended solely on a survey approach through purposive and simple random sampling techniques. The survey was conducted among the top ten private organizations in Ghana via purposive sampling approach whereas the simple random sampling method was used to select 20 respondents from each selected firm. A total of 200 questionnaires were administered, of 186 were valid to be used representing a response rate of 93%. The application of a path analysis approach showed that; 1) both HRM practices and job satisfaction have a significant negative effect on employee turnover intentions, 2) there is a significant positive relationship between HRM practices and job satisfaction, 3) job satisfaction efficiently mediates the relationship between HRM practices and employee turnover intentions. The results from the analysis statistically indicate that leaders in various private organizations must develop a strategy by which they can improve management practices to enhance employee job satisfaction, which will then reduce or have a negative effect on employee turnover intensions. We thus conclude that job satisfaction really matters within the affiliation between HRM practices and employee turn intentions.