Analysis of workplace turnover intentions in manufacturing industries of Laguna, Philippines

Abstract

This case study explored the relationships of multiple variables affecting an employee’s turnover intention in the manufacturing industries of Laguna, Philippines. Data from a survey of non-managerial employees in Calamba, Laguna were used to generate a model using structural equation modelling (SEM). Turnover intentions were measured through an individual’s intent years to stay. The generated SEM model defined variables with direct effect on an individual’s intent years to stay. Variables that are influential an individual’s intent years to stay are the following; outside workplace characteristics, educational attainment, and job satisfaction. Individuals with higher educational attainment tends to jump from organizations for a shorter period. Well satisfied individuals and those with a good perception of outside workplace characteristics tend to have an extended period of intent years to stay. Variables affecting job satisfaction are job performance and job characteristics (promotion chances, competency, and salary growth). Performing better is a reward that boosts an individual’s intent years to stay. Training, recognition, and mentorship increase an individual’s capability of performing better, which indirectly affects an individual’s intent years to stay.