The Impact of Employee Engagement and Employee Motivation on Employee Turnover Intention and the Mediating Role of Organizational Commitment

Abstract

This study aims to provide a deeper understanding of reducing Turnover Intention (TI) by examining the role of Organizational Commitment (OC) in mediating the relationship between Employee Engagement (EE) and Employee Motivation (EM) toward TI. This study is designed as quantitative research that surveyed 105 employees using online questionnaires in the Sales Marketing division of Fast Moving Consumer Goods (FMCG) companies in the Jabodetabek area, Indonesia. SmartPLS 3.0 was used to analyze the data to obtain the SEM model form and hypothesis outcomes. This study found that EE had an insignificant positive effect on OC, while EM had an insignificant negative effect on OC. This study also remarkably found that OC did not serve the role of mediating the relationship between EE on TI and EM on TI. However, the study has revealed that EM and OC have a significant negative effect on TI, while EE has a significant positive effect on TI. In conclusion, these existing results indicate that, besides these three variables, other variables may affect TI in FMCG industrial organizations.