Human resource management practices and employee retention in the Indian textile industry

Prateek Kalia (Department of Business Management, Faculty of Economics and Administration, Masaryk University, Brno, Czech Republic)
Meenu Singla (Sri Aurobindo College of Commerce and Management, Ludhiana, India)
Robin Kaushal (Sri Aurobindo College of Commerce and Management, Ludhiana, India)

International Journal of Productivity and Performance Management

ISSN: 1741-0401

Article publication date: 29 September 2023

4601

Abstract

Purpose

This study is the maiden attempt to understand the effect of specific human resource practices (HRPs) on employee retention (ER) with the mediation of job satisfaction (JS) and moderation of work experience (WE) and job hopping (JH) in the context of the textile industry.

Design/methodology/approach

This study adopted a quantitative methodology and applied quota sampling to gather data from employees (n = 365) of leading textile companies in India. The conceptual model and hypotheses were tested with the help of Partial Least Squares-Structural Equation Modelling (PLS-SEM).

Findings

The findings of a path analysis revealed that compensation and performance appraisal (CPA) have the highest impact on JS followed by employee work participation (EWP). On the other hand, EWP had the highest impact on ER followed by grievance handling (GRH). The study revealed that JS significantly mediates between HRPs like CPA and ER. During Multi-group analysis (MGA) it was found that the importance of EWP and health and safety (HAS) was more in employee groups with higher WE, but it was the opposite in the case of CPA. In the case of JH behavior, the study observed that EWP leads to JS in loyal employees. Similarly, JS led to ER, and the effect was more pronounced for loyal employees.

Originality/value

In the context of the Indian textile industry, this work is the first attempt to comprehend how HRPs affect ER. Secondly, it confirmed that JS is not a guaranteed mediator between HRPs and ER, it could act as an insignificant, partial or full mediator. Additionally, this study establishes the moderating effects of WE and JH in the model through multigroup analysis.

Keywords

Citation

Kalia, P., Singla, M. and Kaushal, R. (2024), "Human resource management practices and employee retention in the Indian textile industry", International Journal of Productivity and Performance Management, Vol. 73 No. 11, pp. 96-121. https://doi.org/10.1108/IJPPM-01-2022-0057

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Prateek Kalia, Meenu Singla and Robin Kaushal

License

Published by Emerald Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0) licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/legalcode


1. Introduction

Human beings are the “soft resources” which require efficient management for the rise of an organization. Only humans can make physical and financial assets more productive. By improving and developing the knowledge, skills, motivation and morale of HR, organizations can gain an advantage over their competitors. According to Walker (2001), successful organizations invest in their employees and manage the retention of promising employees. Therefore, the management of human resource practices (HRPs) like manpower planning, training, financial incentives, motivation, grievance redressal, etc. are crucial issues in a business organization that require utmost care and consideration to attain, maintain and retain competent people. The ultimate aim of HRPs is to attain organizational success through its manpower, capabilities, availing new opportunities by influencing the organizational behaviour of its people (Cherif, 2020; Jawaad et al., 2019), shaping the behaviour of employees (Waheed et al., 2018) and subsequently the organizational performance.

The Indian textile industry is one of the first and firmly established industries in India covering a wide range of sections, from unorganized hand-woven segments to organized technology and capital concentrated segment. Textile sectors provide elementary amenities of life and generate employment, especially in rural areas (Singla, 2017). The sector adds to 2% of India's GDP, 7% of industrial production and 12% of export earnings. It is valued at USD 40.4 billion. In global trade and textile apparel, the country has a 5% share. The textile and apparel sector provides direct and indirect employment to approximately 51 million and 68 million respectively and it is the second-largest employment provider. The Government of India is focusing on the textile industry to attain India's participative and inclusive development by enhancing skills and innovation in the sector (Ministry of Textiles, 2019). This global competition demands the industry focus on upgrading its product quality, cost structure, technology, marketing skills and HR to provide a competitive advantage. According to Piasecki (2019), employees show higher commitment and lower attrition rates when the HRPs are well-defined. Satisfied employees always contribute to achieving organizational objectives. Hence, a company should pay more attention to discovering factors that make employees more satisfied and productive (Pradhan et al., 2019) and this can be achieved through strong HRPs. Researchers noticed that competition and digitalization in the workspace have increased the need for strong HRPs and job satisfaction (JS) for the survival of modern organizations in the present era (Doghan et al., 2019; Silic et al., 2020). Previous studies have discussed the substantial effects of HRPs on JS and employee retention (ER) (Cherif, 2020; Ling et al., 2018; Mahmood et al., 2019; Rombaut and Guerry, 2020).

While searching for the studies related to HRPs and employee retention or turnover intentions, we noticed variations in HRPs reported in different studies, and the authors invited future studies to consider more HRPs (Amah and Oyetunde, 2019; Ma et al., 2016; Piasecki, 2019). Likewise, previous studies have researched dynamics between similar constructs, that is HRPs, JS and ER, or related constructs like quit intentions (Dechawatanapaisal, 2018), employee commitment (Mahmood et al., 2019), turnover intentions (Coudounaris et al., 2020; Piasecki, 2019), organizational commitment (Amah and Oyetunde, 2019; Cherif, 2020; Park and Doo, 2020), etc. However, to the best of our knowledge, this is the first study that has tested these constructs in the context of the textile industry. Most of the previous studies are in the context of the banking industry (Cherif, 2020; Mahmood et al., 2019; Piasecki, 2019) or there is a mixed sample from various industries like manufacturing, wholesale, retail, services construction, or other sectors (Amah and Oyetunde, 2019; Park and Doo, 2020). There was a strong call for future research with a more diversified sample from a variety of business sectors or organizations or industries (Amah and Oyetunde, 2019; Dechawatanapaisal, 2018). Hence, we considered a sample from the textile industry which is the least explored. Also, our sample is larger compared to previous studies (Cherif, 2020; Coudounaris et al., 2020; Mahmood et al., 2019; Park and Doo, 2020). We considered JS as a mediating variable in the model because previous studies have tested its mediating effect in their model but with different independent and dependent variables (Coudounaris et al., 2020; Mahmood et al., 2019). Several HR-related studies confirm high significant relationship between JS and ER. For instance, while examining co-worker relations at workplace Abugre (2017) confirmed very significant positive effect of JS on employees' intention to stay. Kim and Kim (2021) tried to identify the predictors of Registered Nurses' turnover intention and found that the effect size of JS is greater than job embeddedness. Further, while studying the turnover intention among academic staff in Malaysia's public universities Yusoff et al. (2022) found no significant effect of job embeddedness (Link and Fit) on turnover intention. Similarly, Yu et al. (2020) reported insignificant effect of job embeddedness (Link) on JS, but a very strong significant effect of JS on work engagement (t = 5.680) and turnover intentions (t = −10.561). Considering the insignificant results of job embeddedness on turnover intention in certain studies and high correlation of variable such as work engagement with JS (Ramaite et al., 2022), the current study focused on the role of JS. Similarly, many previous studies acknowledged the absence of multi-group analysis as one of their limitations (Mahmood et al., 2019), and invited more categories based on demographic characteristics, personal dispositions, or contextual constructs (Dechawatanapaisal, 2018; Park and Doo, 2020). We noted that none of the earlier research had included any type of testing related to work experience (WE) and job hopping (JH) as moderators, therefore we introduced them in our model (Table 1). Hence, the current study aims to address these gaps by researching the effect of specific HRPs on ER with the mediation of JS and moderation of WE and JH in the context of the Indian textile industry. The theoretical underpinning of the concept and hypothesis formation are presented first, followed by the research technique and outcomes. The last sections include a discussion, theoretical and practical implications, shortcomings and future directions.

2. Theoretical context and hypothesis formulation

HRPs are designed to manage human resources to fulfill organizational goals. These are framed to enhance human resource capability, efficiency, commitment and productivity (Zahoor et al., 2015). HRPs vary within organizations depending on the requirements of the employee as distinct practices are used to manage different groups of employees (Piasecki, 2019; Presbitero et al., 2016). HR studies indicated that there are multiple ways to measure HRPs but there is no widely accepted definition to theoretically and empirically select the most important ones (Mahmood et al., 2019). Various empirical studies revealed that the execution of HRPs such as performance appraisal, training and development, compensation, grievance redressal, health and safety and employee work participation impacts the effectiveness of qualified human resources (Khan et al., 2019; Sheikh et al., 2018; Subramaniam et al., 2011). In this study, we theorize to examine the effect of specific HRPs on employee retention through the mediating role of JS.

2.1 Social exchange theory (SET)

The theoretical framework of the study has been rooted up based on social exchange theory (SET) which has been considered a base for employer and employee relationships in the context of HRPs and ER (Coyle-Shapiro and Conway, 2005). SET describes the interaction between individuals and organizations that are viewed as social exchanges (Cook et al., 2013). Further, this theory explains that employees perform better when organizations adopt good HRPs. According to Piasecki (2019), the dimensions of HRPs can be well explained with the help of SET for the employees to grow and stay for a longer period.

2.2 Employee retention (ER)

Retention is more economical than recruiting new employees and is a key parameter of the strength of a business organization (Kundu and Lata, 2016; Presbitero et al., 2016). Organizations spend a lot of money, time and effort to train employees to adapt to the organizational environment, and losing a valued employee may even amount to a loss of two and a half times his salary (Kapoor, 2015; Nazia and Begum, 2013). Business units need to create an environment to retain employees for economic revival (Singla, 2017). Employees can be retained by reward, recognition and respect – the 3 Rs which improve efficiency through a favorable work environment (Nazia and Begum, 2013) and improve the employee fit in an organization (Presbitero et al., 2016). Presbitero et al. (2016) in their study established the direct effects and indirect effects of HRPs on employee retention with the help of compensation, EWP and TAD. Thus, ER is highly dependent on HRPs followed in the organization as good practices lead to JS which adds to ER (Krishna, 2019; Papa et al., 2018; Rombaut and Guerry, 2020). The present research is being carried out in the textile industry so that innovative HRPs and their impact on employee retention can be known to strengthen the work culture of an organization.

2.3 Compensation and performance appraisal (CPA)

Compensation and rewards are considered by many studies to be the best way of retaining employees (Rombaut and Guerry, 2020). A suitable pay structure enhances employee motivation to work and improves productivity, efficiency and attain competitive advantage inculcating a feeling of security thus, reducing stress and adding to employee performance (Galetić and Klindžić, 2020; Subramaniam et al., 2011). Employees with higher pay packages are assumed to work with more commitment and stay longer with their current employer (Cherif, 2020) irrespective of the JS level (Ngoma and Ntale, 2019). Similarly, Performance appraisal is an important HR practice that examines the strengths and weaknesses of employees' performance (Kalia and Mishra, 2023). “Performance appraisal is the process of assessing the performance and progress of an employee on a given job and his potential for future development” (Gupta, 2012). The fairness of compensation, and performance appraisal augments positive attitude, and employee commitment and enhances the JS level of employees (Ngoma and Ntale, 2019) further resulting in ER. The compensation and appraisal practices ensure quality at work and make employees loyal and satisfied, therefore, stimulating job satisfaction and employee retention (Lasisi et al., 2020; Waheed et al., 2018). Thus, drawing from the foregoing literature, the following hypothesis has been formulated.

H1.

CPA has a positive and significant effect on JS (H1a) and ER (H1b).

2.4 Employee work participation (EWP)

Singla (2017) perceived EWP in management as an important element in the decision-making process of the organization. It is the emotional and mental involvement of employees in the goals and sharing of responsibilities in an organization. EWP in organizational decision-making helps in attaining industrial peace and harmony which leads to increased productivity, commitment, belongingness and finally success of the organization (Bhatti and Qureshi, 2007; Kapoor, 2015; Manzoor et al., 2019). According to Ni et al. (2020), EWP is considered a key indicator of organizational health and has a significant impact on employee performance, JS and ER. The feeling of belongingness enhances commitment resulting in employee progress, satisfaction and thus, organizational performance (Ngoma and Ntale, 2019). Similarly, Suhartanto and Brien (2018) also found that work engagement leads to job satisfaction. Employees with high work participation have a more positive attitude towards their work and organization and improve their work skills thus leading to JS (Ni et al., 2020) and retaining employees for a longer time.

The above discussion helps us postulate that:

H2.

EWP in management has a positive and significant effect on JS (H2a) and ER (H2b).

2.5 Grievance handling (GRH)

Discipline means orderliness in human behaviour and action to maintain good industrial relations and efficiency among the workers adding to the uniformity in decision-making and reducing employee unrest and wastage of resources (Kapoor, 2015). A grievance is a feeling of dissatisfaction and injustice which an employee has about his employment relationship which may be expressed or implied (Elbaz et al., 2019). Working conditions, management policy, alleged violations and personal maladjustment are the main causes of grievances (Gupta, 2012). The existence of a well-functioning GRH system helps to minimize conflicts in the organization. Timely and effective grievance redressal leads to the high morale of employees facilitating the attainment of high commitment and ER (Singla, 2017). Therefore, we hypothesize that:

H3.

GRH has a positive and significant effect on JS (H3a) and ER (H3b).

2.6 Health and safety (HAS)

HAS of the employees is a critical factor to be taken care of by the management. As per International Labour Organization (ILO), “Occupational health should aim at the promotion and maintenance of the highest degree of mental, physical and the social well-being of the employees; the protection of workers in their employment from risks resulting from factors adverse to health and maintenance of the employees in an occupational environment adapted to their physiological and psychological capabilities” (ILO, 2023). The implementation of proper HAS standards in the workplace improves the employees' organizational performance, and productivity and reduces the costs related to accidents, absenteeism, disabilities and illness. It implies that employees who consider their work and environment to be safe and healthy continue to stay in the organization and are directly related to the JS level and retention of their employees (Liu et al., 2019; Poursadeqiyan et al., 2019; Sheikh et al., 2018).

The above discussion helps us postulate that:

H4.

HAS has a positive and significant effect on JS (H4a) and ER (H4b).

2.7 Training and development (TAD)

Training is the systematic process to match career goals with individual capabilities that help people acquire the necessary skills to perform their jobs satisfactorily (Armstrong, 2012; Gupta, 2012; Subramaniam et al., 2011). An organization can strengthen its bond with its employees by focusing and investing in their TAD equipping them with increased knowledge, and enhanced skills resulting in JS and commitment (Ngoma and Ntale, 2019). Similarly, Piaralal et al. (2016) found that empowerment and training can positively influence service recovery performance, which further positively influences JS. Lasisi et al. (2020) highlighted the role of training and development in the organization that enhances the level of innovation thereby contributing to JS and enhancing employee proactivity. According to Rombaut and Guerry (2020), employers should provide possibilities for growth and development through internal or external training. It ensures the availability of a skilled workforce in an organization to handle the challenges of growth and a dynamic business environment (Singla, 2017). Further training and development provide employees with career progression opportunities and act as a motivator for employees to stay with their employers (Piasecki, 2019). The above discussion helps us posit the following hypotheses:

H5.

TAD has a positive and significant effect on JS (H5a) and ER (H5b).

2.8 Job satisfaction (JS) and its role as a mediator

JS is an essential feature to develop employees' commitment to an organization (Cherif, 2020; Ni et al., 2020). JS is an employee's positive feelings from job experience (Beuren et al., 2022). Social Exchange Theory supports the principle of reciprocity which implies that good HRPs and fair treatment by the employer will encourage the employees to show positive work responses along with a high JS level (Ahmad and Umrani, 2019; Al Doghan et al., 2019; Ling et al., 2018). HRPs like compensation, work-life balance, organizational environment, HAS, and timely GRH work increase the JS (Ma et al., 2016; Stamolampros et al., 2019). According to Ni et al. (2020), linking to social exchange theory, JS is gained in the organization when good HRPs are followed. Further from the SET perspective, good HRPs are perceived by employees as a sign of the employer's appreciation which contributes to JS (Piasecki, 2019). Garg (2019) also found that JS mediates between high-performance work practices and organizational performance. Similarly, Huang and Su (2016) established the mediating role of JS to reduce the turnover intention of employees. Azeem et al. (2020) quoted that job dissatisfaction activates employees' thoughts about leaving the organization. Satisfied employees consider their work environment as an important factor that enhances ER (Stamolampros et al., 2019; Tripathi and Kalia, 2022). Research studies indicated an inverse relationship between the low level of JS with ER (Moore et al., 2020; Nazia and Begum, 2013). Organizations can increase the JS and ER, by employing HRPs that focus on employees' long-term growth and well-being (Coudounaris et al., 2020; Mahmood et al., 2019; Piasecki, 2019). Hence, we propose that:

H6.

JS has a positive and significant effect on ER.

H7.

With JS as a mediator, CPA (H7a), EWP (H7b), GRH (H7c), HAS (H7d) and TAD (H7e) have a significant positive influence on ER.

2.9 Work experience (WE) and its role as a moderator

The employees with longer WE expressed higher JS levels in comparison to the employees with lower WE (Knight et al., 2006). Research studies indicate the direct association of high WE with JS level and career growth (Kim and Cunningham, 2005; Peiró et al., 2010). The employee JS is high when the organization values employees' contributions and cares for their well-being (Maden, 2014). Employees with more WE handling challenging job assignments expressed their JS with related work that paved their career progression (Lasisi et al., 2020). Researchers believe that work experience is correlated to higher pay (Schmid and Baldermann, 2021). In terms of employee retention, researchers have confirmed that employees with work experience between 0 and 5 years are most likely to leave the organization (Aswale and Mukul, 2020). In the context of health conditions, Vecchio et al. (2011) reported a likelihood of injury based on years of work experience. Certain studies suggested future investigation of the evaluation of staff while considering their work experience (Makarenko et al., 2020). Hence, we propose that:

H8.

Significant differences exist between employees with experience of ≤3 years, 4–6 years and 7–9 years, on the links in the tested structural model.

2.10 Job hopping (JH) and its role as a moderator

Job hopping or frequent job change by the employees intimate an organization to introspect its varied policies and their impact on human resources. Research studies also indicate JH, and JS have an inverse relationship (Saleem and Qamar, 2017). Therefore HR managers need to give due consideration to the job-hop behavior of employees (Steenackers, 2016). In the case of voluntary JH, the pay raise is higher when the employees get favorable job offers in the new firms which have a positive relation with JS and results in the retention of such employees (Gao et al., 2015; Hemdi et al., 2018). In their study, Cox and Warner (2013) reported that due to poaching and job hopping multinational companies (MNCs) hesitate to invest in TAD. Similarly, while examining the relationship between HRPs and turnover among Malaysian engineers, Rahman (2012) found that EWP particularly relating to TAD and CPA leads to feelings of perceived organizational support which can influence commitment and turnover intentions. Some researchers have reported a greater amount of learning leads to reduced JH behaviour (Huang and Zhang, 2016). Hence, we propose that:

H9.

Significant differences exist between employees who have never, once, or twice changed their job, on the links in the tested structural model.

The complete research model is depicted in Figure 1.

3. Research methodology

For the study, fourteen textile units were selected from the list of textile companies in India listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) based on their total assets, net sales and market capitalization. The textile industry was selected because it is the second-largest employment provider in India (Ministry of Textiles, 2019). The current study's scope is limited to the textile units in India with a registered office in the Punjab state. Punjab produces 95 and 85% of woolen knitwear and sewing machines respectively of the entire India (IBEF, 2021). All the textile units under the study were operational for more than three years.

3.1 Research design

For data collection, employees of selected textile units were contacted personally or through e-mails and participation was voluntary. Employees and HR heads were reminded through regular emails and phone calls, and one of the authors visited different units personally to ensure timely completion of the data collection. Quota sampling was implemented for gathering data and PLS-SEM was used for data analysis. For the study, employees are categorized into three levels, that is top, middle and junior. HRPs followed by every industry have a variation as per the respective requirement of their employees. Specific HRPs were selected based on personal interviews and interactions with the employees at various levels along with input from the HR department.

3.2 Data collection and sample

The data was gathered using quota sampling from August to November 2019 in the English language. A total of 425 employees were contacted, 390 employees filled out the questionnaire and 365 responses were finalized after removing the missing cases. The response rate was 85.88%, which is extremely high according to the acceptable values (Nulty, 2008). The sample size for the structural model was determined using an a priori approach (Soper, 2021). With a desired statistical power level of 0.8, a medium anticipated effect size of 0.22 (Cohen, 1992), seven latent variables and 49 observed variables at a 0.05 probability level, the recommended minimum sample size was 365. Our sample was the recommended sample size. The sample had 67.1% males and 32.9% females (Table 2). Marital status-wise, 25.2% were unmarried, while 74.8% were married. The sample had most respondents from 26 to 35 years (42.5%) and 36–45 years (41.40%) age group categories. Most employees (48%) were working with their present organizations for 4–6 years, followed by employees having tenure less than three years (26.8%) or between 7 and 9 years (25.2%). Concerning JH nearly 32% of employees never changed their job, while 34% changed it once and nearly 35% were working on their second job indicating a frequent JH trend among employees.

3.3 Measurement and scale

For measuring CPA (13) and TAD (4) we adapted scale items from Arthur (1994) and Subramaniam et al. (2011). The scales for EWP (7) and GRH (4) were adapted from Bhatti and Qureshi (2007) and (Koch and McGrath, 1996), respectively. The scales for JS (9) and HAS (3) were taken from Macdonald and Maclntyre (1997). ER (9) scale was adapted from Mobley et al. (1978) (Table 3).

4. Results

4.1 Measurement model

We reported the results of the measurement model for factor loadings, variance inflation factor (VIF), Cronbach alpha, composite reliability (CR) and average variance extracted (AVE) to test the predicted model (Hair and Sarstedt, 2011) (Table 4). All the factor loadings above 0.5 were retained (Hair et al., 2019a, b) and the results of CR exceeded the value of 0.7 (Grewal et al., 2004; Hair et al., 2019b). After dropping items ER2, ER4, ER9 and JS8 the value of AVE for all the variables was greater than the minimum threshold point of 0.5 (Babin et al., 2008; Hair and Sarstedt, 2011). Cronbach's alpha as a measure of reliability also surpassed the recommended value of 0.7 (Grewal et al., 2004). As the common bias method (CMB) has received more attention, considerable effort has been invested in the development of quantitative post hoc techniques in HR studies (Bozionelos and Simmering, 2022). To check the presence of CMB we applied two post hoc methods. First, we performed Harman's single-factor test and the first factor accounted for 38.37% which was less than the permissible limit of 50% (Podsakoff and Organ, 1986). Secondly, we followed the comprehensive procedure proposed by Kock (2015) to identify common method bias established on VIFs generated via a full collinearity test. Through this procedure, we generated VIFs for all latent variables in the inner model in SmartPLS. The occurrence of a VIF greater than 3.3 is proposed as an indication of pathological collinearity, and an indication that a model may be contaminated by CMB. In the current study, we found that all the VIF values resulting from a full collinearity test were lower than 3.3, hence, the study was free from bias (Table 4). Further, the values of the latent variables for the HTMT ratio were less than 0.9 (Henseler et al., 2014), thus establishing the discriminant validity (Table 5).

4.2 Structural model

Table 6 reports the results of the structural model indicating that CPA (β = 0.596, p < 0.000) had the strongest impact on JS followed by EWP (β = 0.335, p < 0.000). It is to be noted here that EWP also had a high impact on ER (β = 0.274, p < 0.014). Therefore, the management and companies should try to increase EWP to reduce the attrition rate and increase JS in the long run. GRH had a significant impact on ER (β = 0.119, p < 0.021) but an insignificant impact on satisfaction (β = −0.024, p > 0.532). No significant impact of HAS and TAD on JS and ER was observed. We noticed that JS has a significant influence on ER (β = 0.438, p < 0.000). As per r-square values, 72% variance in JS was explained by HRPs, and 64.8% variation in ER was explained by JS.

4.3 Mediation analysis

The mediation analysis was performed as per the guidelines of Ringle et al. (2022a, b). The indirect effects are exhibited in Table 7. The findings of the study confirm a significant mediating role for JS between HRPs and ER with its dimension namely CPA (t = 4.254, p < 0.000). However, this dimension was directly insignificant with ER which indicates that JS fully mediates between CPA and ER. Further, it was observed that JS partially mediates between EWP and ER (t = 3.254, p < 0.000). However, no mediation effect was observed for GRH, HAS and TAD.

4.4 Multi-group analysis (MGA)

Several prior studies have proposed that the moderating influence of demographic characteristics, personal dispositions, or contextual constructs be investigated (Dechawatanapaisal, 2018; Park and Doo, 2020). Hence, we performed a partial least squares multigroup analysis in the second step (PLS-MGA) by separating the sample based on JH and WE (Matthews, 2017; Ringle et al., 2022b). Instead of depending on distributional assumptions, the PLS-MGA considers the bootstrap's observed distribution, allowing it to handle small and varied sample sizes (Sarstedt et al., 2011).

The WE in the sample was classified into three groups, that is employees with experience less than 3 years (group 1), between 4 and 6 years (group 2) and 7–9 years (group 3). As shown in Table 8, CPA significantly led to ER and JS for groups 1 and 2 employees however it was insignificant for group 3 employees. The results indicate that compensation and appraisal are important for employees with less experience in comparison to employees with higher experience. On the contrary, the importance of EWP increased with an increase in experience, that is the p-value was non-significant in group one, significant at a 5% level in groups 2 and 3 with an increase in t-value from 2.78 to 2.94 respectively, contributing to ER and JS. GRH was significant at a 5% level in group 2 only, indicating grievance handling becomes important for employees after the initial few years. HAS was non-significant for groups 1 and 2 but significant for group 3, indicating that experienced employees consider HAS as an important HR practice. All three groups exhibited a relation between JS and ER at a 1% level of significance. TAD was insignificant among all three groups.

The frequency of JH in the study was classified into three groups (Table 9) that is employees who never changed their job (group 1), changed their job once (group 2) and changed their job twice (group 3). We noticed that CPA significantly led to JS and ER in all the groups and based on the t-value we can notice that the effect was high in group 1. The EWP was highly significant at a 1% level for group 1, whereas it was insignificant for employees under groups 2 and 3 for both ER and JS. The results for GRH, HAS and TAD was non-significant in all three groups. Overall JS was highly significant towards ER at a 1% level of significance in all three groups.

5. Discussion

In this article, we have researched the effect of HRPs on ER with the mediation of JS and moderation of WE and JH. This research uncovers several intriguing inconsistencies and new results for the textile industry.

We hypothesized, based on the literature, that CPA has a significant positive effect on JS (H1a) and ER (H1b) (Figure 2). We found that CPA has a highly significant positive effect on JS but an insignificant effect on ER. The first hypothesis (H1a) resonates with previous studies concluding that fairness of compensation and performance appraisal augments positive attitudes and enhances the JS level of employees (Arthur, 1994; Kamau et al., 2021; Lasisi et al., 2020; Subramaniam et al., 2011; Waheed et al., 2018). However, H1b contradicts earlier studies that proposed that employees with better compensation and performance appraisal stay longer with their employer (Cherif, 2020; Islam et al., 2022; Ngoma and Ntale, 2019).

The second hypothesis regarding the significant positive effect of EWP on JS (H2a) and ER (H2b) was fully supported and corresponds to the results of previous studies which state that employee participation in decision-making leads to increased productivity, satisfaction, retention, belongingness and finally the success of the organization (Bhatti and Qureshi, 2007; Islam et al., 2022; Kapoor, 2015; Malik et al., 2017; Manzoor et al., 2019; Ngoma and Ntale, 2019; Tymon et al., 2011).

However, the third hypothesis regarding the significant positive effect of GRH on JS (H3a) and ER (H3b) was partially supported. Because in the current study, it was found that GRH positively affects ER only and not JS (H3a). Therefore, the findings on the third hypothesis correspond only to the previous studies inferring that timely and effective grievance redressal leads to high morale and better quality of work life facilitating the attainment of high commitment and ER (Nanjundeswaraswamy and Beloor, 2022; Singla, 2017). However, our results do not support the fact that impartial grievance handling can significantly impact employee job satisfaction (Joseph et al., 2022).

The fourth and the fifth hypotheses regarding the significant positive effect of HAS and TAD on JS and ER were not supported and they contradict the results of past studies that concluded that better health and safety provisions in an organization (Liu et al., 2019; Poursadeqiyan et al., 2019; Sheikh et al., 2018) or investing in TAD of employees (Armstrong-Stassen and Stassen, 2013; Nanjundeswaraswamy and Beloor, 2022; Ngoma and Ntale, 2019) will lead to JS and ER.

In the sixth hypothesis, it was proposed that JS has a positive and significant effect on ER. This hypothesis was supported and corresponds to previous studies. For example, Bharadwaj et al. (2022) found that among IT professionals, an improved identification among contented workers decreases the intention to quit. Similarly, De Sousa Sabbagha et al. (2018) reported that work satisfaction is positively related to staff retention. There are other previous studies too which suggest that satisfied employees stick to their organizations (Moore et al., 2020; Stamolampros et al., 2019).

Under the seventh hypothesis, the current study establishes JS as a significant mediator between HRPs like CPA, EWP and ER. Most importantly, JS acts as a full mediator in the CPA→JS→ER link (H7a) and partial mediator in the EWP→JS→ER link (H7b). This result (H7a) contradicts the findings of Mahmood et al. (2019) as they reported the absence of mediating effect of JS between financial remuneration strategies and commitment. However, we could find supporting references for H7b, as Atouba (2021) reported that the relationship between employee work participation and organizational commitment is mediated by job satisfaction.

We added WE (H8) and JH (H9) as moderators into the model for additional insights. During MGA we found that the importance of EWP and HAS been more in the groups with higher WE, but it was the opposite in the case of CPA. These findings are comparable to past researchers who reported that employees with high experience and tenure look forward to participative contribution through their deep knowledge accumulated over time if their desires are fulfilled (Maden, 2014), which aren't just pay or promotion (MacArthur, 2019). The increased experience adds to creativity, imagination and broad-mindedness in decision-making (Okpara, 2007). However, for Gen-Y salary and benefits are more important (Ying et al., 2017).

In the case of JH (H9), we observed that EWP leads to JS in loyal employees. Similarly, JS leads to ER, and the effect was more pronounced in the group of loyal employees. These results are in tune with the findings of Khalid and Nawab (2018), who reported that ER is positively influenced by all types of EWP and this feeling of ownness and oneness with the organization grows with tenure (MacArthur, 2019), and age is negatively related to the job-hop frequency (Steenackers, 2016).

5.1 Theoretical implications

The current study is theoretically anchored in the SET, which is regarded as a foundation for employer and employee interactions in the context of HRPs and ER (Coyle-Shapiro and Conway, 2005). Researchers are recommending SET to effectively describe the dimensions of HRPs (Piasecki, 2019). In this context, this research has various theoretical implications, firstly, this research established that not all the HRPs have a significant positive impact on the JS and ER. Our results indicate that out of all the HRPs, CPA (t = 9.196) has the highest positive influence on JS followed by EWP (t = 5.304). Whereas, EWP (t = 2.456) has the highest positive influence on ER followed by GRH (t = 2.314). The second significant contribution of this work is the identification of the direct and mediating effects of JS between HRPs and ER. To the best of our knowledge, this is the first study that has tested these constructs in the context of the textile industry. Here, the current research establishes that JS has a strong positive influence on ER, and it acts as a full mediator between the CPA and ER and exhibits partial mediation between EWP and ER. The results also establish the absence of any mediating effect of JS between HRPs like GRH, HAS and TAD and ER. Finally, the research confirmed the moderating effects of WE and JH.

5.2 Managerial implications

The study's findings provide several potential implications for marketers about employee retention in textile firms concerning HRPs and JS. Based on the results of PLS-SEM we delineate the HRPs that have a positive impact on JS and ER. As per the results of the study, we recommend that textile manufacturing companies pay more attention to HRPs like CPA and EWP to enhance JS. Specifically based on the top three high factor loadings (please see Tables 3 and 4) we propose managers improve CPA by ensuring that performance appraisal is handled without any favoritism (CPA3 = 0.785), provides an opportunity for self-review and reflection (CPA4 = 0.783) and the data is used for employee development decisions (CPA6 = 0.763). Similarly, to enhance EWP, the managers should hold regular meetings and discussions with employees (EWP1 = 0.806), involve employees in the problem-solving and decision-making process (EWP2 = 0.784) and empower them with independence to complete the assigned job (EWP3 = 0.789). On the other hand, we highly recommend managers ameliorate EWP, GRH and JS to improve ER. We have already highlighted the important aspects of EWP, hence here we propose important dimensions of GRH and JS based on high factor loadings. To build on GRH, managers should create a formal mechanism for grievance handling (GRH1 = 0.806), take disciplinary action in case of severe mistakes (GRH4 = 0.772) and handle work-related issues and grievances in a timely and effective way (GRH2 = 0.741). In specie to JS, managers should ensure that employees receive the right amount of recognition for their work (JS6 = 0.803), employees are satisfied with the financial incentives (JS2 = 0.795) and the management is concerned about the wellbeing of employees (JS7 = 0.776). The second important implication is derived through the mediation analysis. We could notice that JS is not mediating the relationship between GRH, HAS, TAD and ER. However, we found a full mediation at the CPA→JS→ER link, hence we strongly recommend the managers give high attention to CPA and JS to retain their employees. Another successful positive mediation effect was noticed at the EWP→JS→ER link, although it was a partial mediation. As per this result, we suggest textile manufacturing companies involve their employees in various work processes to enhance or maintain their satisfaction and retention levels. In summary, improving JS will indirectly benefit the companies as it mediates and helps create a positive influence of CPA and EWP on ER. The third set of significant implications was derived through the moderation analysis based on WE and JH. We observed that CPA leads to ER and JS in the case of relatively fresh employees than those with higher experience. Hence, we recommend textile companies offer suitable pay structures, financial returns, tangible service and benefits; and fairness in organizational decisions like pay determination, promotion and talent pool to new and less experienced employees. On the contrary, EWP leads to JS and ER in comparatively experienced employees. Therefore, we recommend managers concentrate on sharing authority and responsibility among experienced employees to inculcate the feeling of progress, satisfaction, belongingness and commitment. This will also help the organization in developing future executives. Based on our findings we urge the managers to be watchful in terms of GRH for mid-experience employees (4–6 years). These employees may develop some grievances over time, and a timely redressal will lead to JS and ER. Managers should attend to the mental, physical and social well-being of the high experience employees (7–9 years) as it leads to JS and ER. It is quite evident that with tenure HAS becomes prudent for the employees. Since CPA leads to JS and ER for all categories of JH, we strongly recommend fortifying CPA. On the contrary, EWP was found significant for employees who never changed their job. It indicates that these employees wish to actively participate in organizational activities. Involving these employees will lead to better JS and ER.

6. Limitations and future research directions

Due to the country-level context, the generalizability of the findings could be constraining, and future researchers can undertake a cross-cultural study. Secondly, the study is based on cross-sectional data, longitudinal research can overcome the predictive limitations of the current study. Third, we have employed a quantitative approach to extrapolate patterns and trends. Fourth, the HRPs adopted in the present study are not exhaustive and have a scope of variation as per the need of other industries for future studies. Fifth, we used post hoc tests to detect CMB, future studies may include an a priori approach such as marker variable. Finally, we suggest a qualitative or a hybrid study in the future for in-depth analysis.

Figures

Research model

Figure 1

Research model

Final model

Figure 2

Final model

Studies on HR practices, job satisfaction and employee retention

Authors and yearIndependent variablesMediatorsModeratorsOutcome variablesRespondents (sample size)CountryIndustryTechnique
Ma et al. (2016)HR practices (Commitment and control) Type of organizationJob satisfaction and turnover intentionsProfessionals (311)ChinaMixedT-test, Hierarchical regression
Dechawatanapaisal (2018)Performance management, training, rewards, career development. Employee involvement, and information sharingOrganizational job embeddednessJob satisfactionQuit intentionAccountants (1,028)ThailandCorporationCFA, multiple regression
Mahmood et al. (2019)Salary, Job enrichment, Job stabilityJob satisfaction Employee commitmentNon-managerial employees (263)PakistanBankingCB-SEM
Piasecki (2019) HR differentiation (Content, stability, strength) and Number of segmentsJob satisfaction, higher affective commitment and lower turnover intentionsBank employees (978)PolandBankingHierarchical linear modeling
Amah and Oyetunde (2019)HRM practices Ethnic similarity or differenceJob satisfaction and affective commitmentEmployees (450)NigeriaMixedCB-SEM
Cherif (2020)HRM and employee job satisfaction Organizational commitmentBank employees (330)Saudi ArabiaBankingCorrelation and multiple regression
Park and Doo (2020)Organizational cultureHR practices Job satisfaction and organizational commitmentKorean Women Managers (230)South KoreaMixedCB-SEM
Coudounaris et al. (2020)Pay level, pay rise, benefits and pay structure/administrationJob satisfaction Turnover intentionsNurses (163)GhanaHealthcareCFA, CB-SEM
This studyCompensation and performance appraisal, employee work participation, grievance handling, health and safety and training and developmentJob satisfactionWork experience and job hoppingEmployee retentionAdministrative employees (365)IndiaTextilePLS-SEM, MGA, Mediation analysis

Source(s): Authors' elaboration

Demographic characteristics of the sample

CharacteristicsN%
Gender
Male24567
Female12033
Marital status
Single9225
Married27375
Age
Below 25308.2
26–3515543
36–4515141
46 and above297.9
Work experience
Less than 3 years9827
4–6 Years17548
7–9 Years9225
Frequency of job hopping
Never11632
Once12334
Twice12635

Source(s): Authors' findings

Measures

Construct/Source/Items
Compensation and performance appraisal
Arthur (1994) and Subramaniam et al. (2011)
CPA1Performance is appraised regularly
CPA2Appraisal systems are well documented and discussed
CPA3Seniors handle appraisal without any favoritism
CPA4The appraisal provides an opportunity for self-review and reflection
CPA5Appraisal system has scope for helping employees to discover their potential
CPA6The HR department uses appraisal data for employee development decisions
CPA7Appraisal facilitates the growth and learning of employees
CPA8Fair compensation is paid
CPA9Benefits like provident fund and gratuity are provided
CPA10Employees can take loans and advance money
CPA11Higher compensation is paid as compared to other similar organizations
CPA12Increments are as per industry norms
CPA13Economic security is given through regular employment
Employee work participation
Bhatti and Qureshi (2007), Khalid and Nawab (2018) and Koch and McGrath (1996)
EWP1Regular meetings and discussions are held with employees
EWP2Employees are involved in the problem-solving and decision-making process
EWP3Independence in thought and action is provided to complete the assigned job
EWP4Employees feel comfortable expressing their views and suggestions
EWP5Seniors promote an atmosphere of teamwork
EWP6The organization sometimes provides flexibility in working hours to accommodate personal needs
EWP7HR Policies believe in employee development
Employee retention
Mobley et al. (1978) and Khalid and Nawab (2018)
ER1I talk of this organization as a great place to work
ER2I feel concerned for the future of this organization
ER3If I have to choose again, I will prefer to work for this organization only
ER4“Interest and Skill Based” work assignments act as a stronger retention tool
ER5I am satisfied with the working environment
ER6I do not have any intention to leave this organization
ER7This is the best of all possible organization to work with
ER8I am able to maintain work-life balance
ER9I feel loyal and committed to this organization
Grievance handling
Bhatti and Qureshi (2007) and Koch and McGrath (1996)
GRH1A formal mechanism exists for handling grievances
GRH2Work-related issues and grievances are handled timely and effectively
GRH3Management believes the termination of the services of the employee as a last resort
GRH4Disciplinary action is taken for committing severe mistakes
Health and safety
Macdonald and Macintyre (1997)
HAS1Adequate welfare facilities and safety arrangements are available
HAS2Health and safety policy is available and communicated
HAS3The welfare officer is appointed with overall responsibility for health and safety
Job satisfaction
Macdonald and Maclntyre (1997) and Mahmood et al. (2019)
JS1Working conditions are good
JS2I am satisfied with the financial incentives
JS3I feel a strong sense of belonging with this organization
JS4The organization inspires the best in me in the way of job performance
JS5All groups of the workforce are equally dealt with (age, gender, race, religion)
JS6The right amount of recognition is given for my work
JS7Management is concerned about the wellbeing and satisfaction of employees
JS8I am satisfied with the leave policy
JS9Salary is fair considering what others are paid
Training and development
Arthur (1994) and Subramaniam et al. (2011)
TAD1Training programs are well structured and widely shared
TAD2Induction training helps new joiners to learn in detail about the organization
TAD3Training programs aim at developing the overall personality
TAD4On-the-job training is provided as and when required

Source(s): The authors

Results of the measurement model

ItemsLoadingsVIFCACRAVE
CPA10.691.9340.9280.9380.538
CPA100.711.9
CPA110.7382.355
CPA120.7252.025
CPA130.7222.081
CPA20.6711.914
CPA30.7832.271
CPA40.7852.501
CPA50.7341.993
CPA60.7632.219
CPA70.7532.334
CPA80.7232.031
CPA90.7282.232
EWP10.8062.4490.8750.9040.573
EWP20.7842.188
EWP30.7892.261
EWP40.7662.215
EWP50.761.91
EWP60.6951.832
EWP70.691.505
ER10.8372.2480.8390.8820.557
ER30.7691.881
ER50.71.572
ER60.6681.615
ER70.812.082
ER80.6751.451
GRH10.8061.7140.7520.8430.574
GRH20.7411.48
GRH30.7091.278
GRH40.7721.458
HAS10.8511.6250.7080.8370.633
HAS20.691.238
HAS30.8361.523
JS10.6811.550.8790.9040.543
JS20.7952.385
JS30.6211.452
JS40.711.716
JS50.721.733
JS60.8032.395
JS70.7762.085
JS90.7732.167
TAD10.7711.550.7810.8590.604
TAD20.8041.648
TAD30.7811.581
TAD40.751.424

Note(s): Compensation and performance appraisal (CPA), Employee work participation (EWP), Employee retention (ER), Grievance handling (GRH), Health and safety (HAS), Training and development (TAD), Variance Inflation Factor (VIF), Cronbach's Alpha (CA), Composite Reliability (CR), Average Variance Extracted (AVE)

Source(s): Authors' findings

HTMT ratio results indicating discriminant validity

CPAEWPERGRHHASJSTAD
CPA1
EWP0.851
ER0.7940.8511
GRH0.8220.8250.7561
HAS0.7860.7340.6670.7131
JS0.8560.8730.8830.7270.7111
TAD0.7270.6560.5890.6780.6860.611

Source(s): Authors' findings

Summary of path analysis

HypPathPath coeffSt. devt-valuep-valueResult
H1aCPA → JS0.5960.0659.1960.000***S
H1bCPA → ER0.040.0950.4530.651NS
H2aEWP → JS0.3350.0645.3040.000***S
H2bEWP → ER0.2740.1112.4560.014**S
H3aGRH → JS−0.0240.0470.6260.532NS
H3bGRH → ER0.1190.0512.3140.021**S
H4aHAS → JS0.0240.0460.5540.579NS
H4bHAS → ER0.0080.0460.1910.849NS
H5aTAD → ER0.0180.0510.360.719NS
H5bTAD → JS−0.040.0540.8110.418NS
H6JS → ER0.4380.0914.7450.000***S

Note(s): S=Supported, NS=Not supported

*** significant at 1%, ** significant at 5%

Source(s): Authors' findings

Results of mediation analysis

HypPathOMSt. devt-valuep-valuesResult
H7aCPA → JS → ER0.2290.2280.0544.2540***S (FM)
H7bEWP → JS → ER0.1570.1580.0453.5240***S (PM)
H7cGRH → JS → ER−0.019−0.0170.020.9590.338NS
H7dHAS → JS → ER0.0130.0120.020.6270.531NS
H7eTAD → JS → ER−0.013−0.010.0230.5470.585NS

Note(s): O=Original sample, M = Sample mean; S=Supported, NS=Not supported, FM=Full mediation, PM=Partial mediation

*** significant at 1%, ** significant at 5%

Source(s): Authors' findings

Multi-group analysis (MGA) for work experience (H8)

Patht-valuep-valueGroup differences
3213212 vs 32 vs 13 vs 1
CPA → JS1.095.323.700.270***0***0.03**0.870.06
CPA → ER1.124.383.980.260***0***0.060.970.07
EWP → JS2.942.781.890***0.01***0.060.430.620.92
GRH → JS1.671.960.980.090.05**0.330.960.470.53
EWP → ER2.762.951.840.01***0***0.070.340.600.83
GRH → ER1.681.970.950.090.05**0.340.940.490.49
HAS → JS2.160.140.670.03**0.890.500.100.550.03**
HAS → ER2.200.140.670.03**0.890.500.090.540.03**
TAD → JS0.120.740.060.900.460.950.550.700.94
TAD → ER0.120.730.060.900.460.960.580.710.94
JS → ER18.2312.2315.600***0***0***0.260.780.37

Note(s): Work experience (1 = < 3 years, 2 = experience of 4–6 years, 3 = experience of 7–9 years)

*** significant at 1%, ** significant at 5%

Source(s): Authors' findings

Multi-group analysis (MGA) for job hopping (H9)

Patht-valuep-valueGroup differences
3213211 vs 31 vs 23 vs 2
CPA → JS2.673.566.030.01***0***0***0.300.960.41
CPA → ER2.323.846.260.02**0***0***0.03**0.820.11
EWP → JS1.521.814.440.130.070***0.270.670.65
EWP → ER1.431.764.210.150.080***0.060.600.42
GRH → JS0.870.980.710.380.330.480.270.230.86
GRH → ER0.750.950.690.450.340.490.300.240.92
HAS → JS1.540.670.640.120.510.520.510.350.11
HAS → ER1.350.670.630.180.500.530.760.350.15
TAD → JS0.970.061.540.330.950.120.100.480.55
TAD → ER0.860.061.540.390.950.120.100.470.67
JS → ER5.3614.7424.210***0***0***0***0.490.02**

Note(s): Job hopping (1 = never change the job, 2 = once change the job, 3 = twice change the job) *** significant at 1%, ** significant at 5%

Source(s): Authors' findings

References

Abugre, J.B. (2017), “Relations at workplace, cynicism and intention to leave”, International Journal of Organizational Analysis, Vol. 25 No. 2, pp. 198-216.

Ahmad, I. and Umrani, W.A. (2019), “The impact of ethical leadership style on job satisfaction: mediating role of perception of Green HRM and psychological safety”, Leadership and Organization Development Journal, Vol. 40 No. 5, pp. 534-547.

Al Doghan, M.A., Bhatti, M.A. and Juhari, A.S. (2019), “Do psychological diversity climate, HRM practices, and personality traits (big five) influence multicultural workforce job satisfaction and performance? Current scenario”, Literature Gap, and Future Research Directions, Vol. 9 No. 2, pp. 1-14.

Amah, O.E. and Oyetunde, K. (2019), “Human resources management practice, job satisfaction and affective organisational commitment relationships: the effects of ethnic similarity and difference”, SA Journal of Industrial Psychology, Vol. 45, pp. 1-11.

Armstrong, M. (2012), A Handbook of Human Resource Management Practice, 10th ed., Kogan Page, London, UK.

Armstrong-Stassen, M. and Stassen, K. (2013), “Professional development, target-specific satisfaction, and older nurse retention”, Career Development International, Vol. 18 No. 7, pp. 673-693.

Arthur, J.B. (1994), “Effects of human resource systems on manufacturing performance and turnover”, Academy of Management Journal, Vol. 37 No. 3, pp. 670-687.

Aswale, N. and Mukul, K. (2020), “Role of data analytics in human resource management for prediction of attrition using job satisfaction”, in Sharma, N., Chakrabarti, A. and Balas, V. (Eds), Data Management, Analytics and Innovation, Springer, Singapore, Advances in Intelligent Systems and Computing, Vol. 1042, pp. 57-67.

Atouba, Y. (2021), “How does participation impact IT workers' organizational commitment? Examining the mediating roles of internal communication adequacy, burnout and job satisfaction”, Leadership & Organization Development Journal, Vol. 42 No. 4, pp. 580-592.

Azeem, M.U., Bajwa, S.U., Shahzad, K. and Aslam, H. (2020), “Psychological contract violation and turnover intention: the role of job dissatisfaction and work disengagement”, Employee Relations: The International Journal, Vol. 42 No. 6, pp. 1291-1308.

Babin, B.J., Hair, J.F. and Boles, J.S. (2008), “Publishing research in marketing journals using structural equation modeling”, Journal of Marketing Theory and Practice, Vol. 16 No. 4, pp. 279-286.

Beuren, I.M., dos Santos, V. and Theiss, V. (2022), “Organizational resilience, job satisfaction and business performance”, International Journal of Productivity and Performance Management, Vol. 71 No. 6, pp. 2262-2279.

Bharadwaj, S., Khan, N.A. and Yameen, M. (2022), “Unbundling employer branding, job satisfaction, organizational identification and employee retention: a sequential mediation analysis”, Asia-Pacific Journal of Business Administration, Vol. 14 No. 3, pp. 309-334.

Bhatti, K.K. and Qureshi, T.M. (2007), “Impact of employee participation on job satisfaction, employee commitment and employee productivity”, International Review of Business Research Papers, Vol. 3 No. 2, pp. 54-68.

Bozionelos, N. and Simmering, M.J. (2022), “Methodological threat or myth? Evaluating the current state of evidence on common method variance in human resource management research”, Human Resource Management Journal, Vol. 32 No. 1, pp. 194-215.

Cherif, F. (2020), “The role of human resource management practices and employee job satisfaction in predicting organizational commitment in Saudi Arabian banking sector”, International Journal of Sociology and Social Policy, Vol. 40 Nos 7-8, pp. 529-541.

Cohen, J. (1992), “A power primer”, Psychological Bulletin, Vol. 112 No. 1, pp. 155-159.

Cook, K.S., Cheshire, C., Rice, E.R.W. and Nakagawa, S. (2013), “Social exchange theory”, in DeLamater, J. and Ward, A. (Eds), Handbook of Social Psychology, Springer Netherlands, Dordrecht, pp. 61-88.

Coudounaris, D.N., Akuffo, I.N. and Nkulenu, A.O. (2020), “Human resource management for Ghanaian nurses: job satisfaction versus turnover intentions”, Sustainability, Vol. 12 No. 17, pp. 1-19.

Cox, A. and Warner, M. (2013), “Whither ‘training and development’ in Vietnam?: learning from United States and Japanese MNCs' practice”, Asia Pacific Journal of Human Resources, Vol. 51 No. 2, pp. 175-192.

Coyle-Shapiro, J.A.-M. and Conway, N. (2005), “Exchange relationships: examining psychological contracts and perceived organizational support”, Journal of Applied Psychology, Vol. 90 No. 4, pp. 774-781.

De Sousa Sabbagha, M., Ledimo, O. and Martins, N. (2018), “Predicting staff retention from employee motivation and job satisfaction”, Journal of Psychology in Africa, Vol. 28 No. 2, pp. 136-140.

Dechawatanapaisal, D. (2018), “Examining the relationships between HR practices, organizational job embeddedness, job satisfaction, and quit intention: evidence from Thai accountants”, Asia-Pacific Journal of Business Administration, Vol. 10 Nos 2-3, pp. 130-148.

Doghan, M.A., Bhatti, M.A. and Juhari, A.S. (2019), “Do psychological diversity climate, HRM practices, and personality traits (big five) influence multicultural workforce job satisfaction and performance? Current scenario”, Literature Gap, and Future Research Directions, Vol. 9 No. 2, pp. 1-14.

Elbaz, A.M., Haddoud, M.Y., Onjewu, A.-K.E. and Abdelhamied, H.H.S. (2019), “Grievance handling in Egyptian hotels and travel agencies”, Annals of Tourism Research, Vol. 76, pp. 214-225.

Galetić, L. and Klindžić, M. (2020), “The role of benefits in sustaining HRM outcomes – an empirical research study | Uloga beneficija u održavanju rezultata upravljanja ljudskim resursima – empirijska studija”, Management (Croatia), Vol. 25 No. 1, pp. 117-132.

Gao, H., Luo, J. and Tang, T. (2015), “Effects of managerial labor market on executive compensation: evidence from job-hopping”, Journal of Accounting and Economics, Vol. 59 Nos 2-3, pp. 203-220.

Garg, N. (2019), “High performance work practices and organizational performance-mediation analysis of explanatory theories”, International Journal of Productivity and Performance Management, Vol. 68 No. 4, pp. 797-816.

Grewal, R., Cote, J.A. and Baumgartner, H. (2004), “Multicollinearity and measurement error in structural equation models: implications for theory testing”, Marketing Science, Vol. 23 No. 4, pp. 519-529.

Gupta, C.B. (2012), Human Resource Management: Text and Cases, Sultan Chand & Sons, New Delhi, India.

Hair, J.F.and Sarstedt, C.M. (2011), “PLS-SEM: indeed a silver bullet”, Journal of Marketing Theory and Practice, Vol. 19 No. 2, pp. 139-152.

Hair, J.F., Risher, J.J., Sarstedt, M. and Ringle, C.M. (2019a), “When to use and how to report the results of PLS-SEM”, European Business Review, Vol. 31 No. 1, pp. 2-24.

Hair, J.F., Sarstedt, M. and Ringle, C.M. (2019b), “Rethinking some of the rethinking of partial least squares”, European Journal of Marketing, Vol. 53 No. 4, pp. 566-584.

Hemdi, M.A., Buang, F.H. and Saidmamatov, O. (2018), “Investigating the role of motivational factors and job- hopping attitudes on turnover intentions of gen Y hotel employees”, International Journal of Academic Research in Business and Social Sciences, Vol. 8 No. 15, pp. 1-13.

Henseler, J., Ringle, C.M. and Sarstedt, M. (2014), “A new criterion for assessing discriminant validity in variance-based structural equation modeling”, Journal of the Academy of Marketing Science, Vol. 43 No. 1, pp. 115-135.

Huang, W.-R. and Su, C.-H. (2016), “The mediating role of job satisfaction in the relationship between job training satisfaction and turnover intentions”, Industrial and Commercial Training, Vol. 48 No. 1, pp. 42-52.

Huang, P. and Zhang, Z. (2016), “Participation in open knowledge communities and job-hopping: evidence from enterprise software”, MIS Quarterly, Vol. 40 No. 3, pp. 785-806.

IBEF (2021), “About Punjab state: information on tourism industry, agriculture, economy & geography”, available at: https://www.ibef.org/states/punjab.aspx (accessed 11 December 2021).

ILO (2023), “Occupational health”, available at: https://www.ilo.org/safework/areasofwork/occupational-health/lang--en/index.htm (accessed 29 August 2023).

Islam, M.A., Hack-Polay, D., Rahman, M., Hosen, M., Hunt, A. and Shafique, S. (2022), “Work environment, HR practices and millennial employee retention in hospitality and tourism in Bangladesh”, International Journal of Emerging Markets, Vol. ahead of print, doi: 10.1108/IJOEM-06-2021-0859.

Jawaad, M., Amir, A., Bashir, A. and Hasan, T. (2019), “Human resource practices and organizational commitment: the mediating role of job satisfaction in emerging economy”, Cogent Business and Management, Vol. 6 No. 1, pp. 1-22.

Joseph, S., Jadhav, A. and Vispute, B. (2022), “Role of ethical organisational culture on employee job satisfaction: an empirical study”, International Journal of Business Governance and Ethics, Vol. 16 No. 3, pp. 337-354.

Kalia, P. and Mishra, G. (2023), “Role of artificial intelligence in Re-inventing human resource management”, in Tyagi, P., Chilamkurti, N., Grima, S., Sood, K. and Balusamy, B. (Eds), The Adoption and Effect of Artificial Intelligence on Human Resources Management, Emerald Publishing, Bingley, United Kingdom, Part 7B, pp. 219-232.

Kamau, O., Muathe, S.M.A. and Wainaina, L. (2021), “Teachers' turnover intentions: role of HRM practices in public secondary schools in Kenya”, in McMillan, D. (Ed.), Cogent Business & Management, Vol. 8 No. 1, 980262.

Kapoor, S. (2015), Human Resource Management- Text and Cases, Taxmann Publications Pvt, New Delhi, India.

Khalid, K. and Nawab, S. (2018), “Employee participation and employee retention in view of compensation”, SAGE Open, Vol. 8 No. 4, doi: 10.1177/2158244018810067.

Khan, M., Md Yusoff, R., Hussain, A. and Binti Ismail, F. (2019), “The mediating effect of job satisfaction on the relationship of HR practices and employee job performance: empirical evidence from higher education sector”, International Journal of Organizational Leadership, Vol. 8 No. 1, pp. 78-94.

Kim, J.c and Cunningham, G. (2005), “Moderating effects of organizational support on the relationship between work experiences and job satisfaction among university coaches”, International Journal of Sport Psychology, Vol. 36 No. 6, pp. 50-64.

Kim, H. and Kim, E.G. (2021), “A meta‐analysis on predictors of turnover intention of hospital nurses in South Korea (2000–2020)”, Nursing Open, Vol. 8 No. 5, pp. 2406-2418.

Knight, D.K., Crutsinger, C. and Kim, H. (2006), “The impact of retail work experience, career expectation, and job satisfaction on retail career intention”, Clothing and Textiles Research Journal, Vol. 24 No. 1, pp. 1-14.

Koch, M.J. and McGrath, R.G. (1996), “Improving labor productivity: human resource management policies do matter”, Strategic Management Journal, Vol. 17 No. 5, pp. 335-354.

Kock, N. (2015), “Common method bias in PLS-SEM: a full collinearity assessment approach”, International Journal of E-Collaboration, Vol. 11 No. 4, pp. 1-10.

Krishna, S.M. (2019), “The effectiveness of human resource management practices on employee retention– an empirical study of commercial bank of Ethiopia, Hawassa city”, Journal of Mechanics of Continua and Mathematical Sciences, Vol. 14 No. 5, pp. 794-807.

Kundu, S.C. and Lata, K. (2016), “Effects of supportive work environment on employee retention: mediating role of organizational engagement”, International Journal of Organizational Analysis, Vol. 34 No. 1, pp. 1-32.

Lasisi, T.T., Ozturen, A., Eluwole, K.K. and Avci, T. (2020), “Explicating innovation-based human resource management's influence on employee satisfaction and performance”, Employee Relations, Vol. 42 No. 6, pp. 1181-1203.

Ling, F.Y.Y., Ning, Y., Chang, Y.H. and Zhang, Z. (2018), “Human resource management practices to improve project managers' job satisfaction”, Engineering, Construction and Architectural Management, Vol. 25 No. 5, pp. 654-669.

Liu, S., Gyabeng, E., Joshua Atteh Sewu, G., Nkrumah, N.K. and Dartey, B. (2019), “Occupational health and safety and turnover intention in the Ghanaian power industry: the mediating effect of organizational commitment”, BioMed Research International, Vol. 2019, pp. 1-10, doi: 10.1155/2019/3273045.

Ma, S., Silva, M.G., Callan, V.J. and Trigo, V. (2016), “Control and commitment HR practices, job satisfaction and turnover intentions: a comparison between local and multinational firms in China”, The International Journal of Human Resource Management, Vol. 27 No. 9, pp. 974-990.

MacArthur, H.V. (2019), “Why tenure matters for employee engagement”, available at: https://www.forbes.com/sites/hvmacarthur/2019/09/25/why-tenure-matters-for-employee-engagement/ (accessed 18 February 2021).

Macdonald, S. and Maclntyre, P. (1997), “The generic job satisfaction scale: scale development and its correlates”, Employee Assistance Quarterly, Vol. 13 No. 2, pp. 1-16.

Maden, C. (2014), “Impact of fit, involvement, and tenure on job satisfaction and turnover intention”, Service Industries Journal, Vol. 34 No. 14, pp. 1113-1133.

Mahmood, A., Akhtar, M.N., Talat, U., Shuai, C. and Hyatt, J.C. (2019), “Specific HR practices and employee commitment: the mediating role of job satisfaction”, Employee Relations, Vol. 41 No. 3, pp. 420-435.

Makarenko, S., Oliinyk, N. and Oleksenko, Y. (2020), “Improvement of the system of management of professional development of personnel: the case of Ukraine”, Baltic Journal of Economic Studies, Vol. 6 No. 4, pp. 103-109.

Malik, A.R., Singh, P. and Chan, C. (2017), “High potential programs and employee outcomes”, Career Development International, Vol. 22 No. 7, pp. 772-796.

Manzoor, F., Wei, L., Bányai, T., Nurunnabi, M. and Subhan, Q.A. (2019), “An examination of sustainable HRM practices on job performance: an application of training as a moderator”, Sustainability, Vol. 11 No. 8, pp. 1-19.

Matthews, L. (2017), “Applying multigroup analysis in PLS-SEM: a step-by-step process”, in Latan, H. and Noonan, R. (Eds), Partial Least Squares Path Modeling: Basic Concepts, Methodological Issues and Applications, Springer, Cham, pp. 219-243.

Ministry of Textiles (2019), Annual report, available at: texmin.nic.in/annual-report2019-2020 (accessed 13 August 2021).

Mobley, W.H., Horner, S.O. and Hollingsworth, A.T. (1978), “An evaluation of precursors of hospital employee turnover”, Journal of Applied Psychology, Vol. 63 No. 4, pp. 408-414.

Moore, S.J., Durst, P.T., Ritter, C., Nobrega, D. and Barkema, H.W. (2020), “Effects of employer management on employee recruitment, satisfaction, engagement, and retention on large US dairy farms”, Journal of Dairy Science, Vol. 103 No. 9, pp. 8482-8493.

Nanjundeswaraswamy, T.S. and Beloor, V. (2022), “Quality of work life of employees working in the Indian garment industry”, Research Journal of Textile and Apparel, Vol. ahead-of-print No. ahead-of-print, doi: 10.1108/RJTA-01-2022-0007.

Nazia, S. and Begum, B. (2013), “Employee rertention practices in Indian corporate-a study of select MNCs”, International Journal of Engineering and Management Sciences, Vol. 4 No. 3, pp. 361-368.

Ngoma, M. and Ntale, P.D. (2019), “Word of mouth communication: a mediator of relationship marketing and customer loyalty”, Cogent, Cogent Business and Management, Vol. 6 No. 1, doi: 10.1080/23311975.2019.1580123.

Ni, G., Zhu, Y., Zhang, Z., Qiao, Y., Li, H., Xu, N., Deng, Y., Yuan, Z. and Wang, W. (2020), “Influencing mechanism of job satisfaction on safety behavior of new generation of construction workers based on Chinese context: the mediating roles of work engagement and safety knowledge sharing”, International Journal of Environmental Research and Public Health, Vol. 17 No. 22, pp. 1-24.

Nulty, D.D. (2008), “The adequacy of response rates to online and paper surveys: what can be done?”, Assessment & Evaluation in Higher Education, Vol. 33 No. 3, pp. 301-314.

Okpara, F. (2007), “The value of creativity and innovation in entrepreneurship”, Journal of Asia Entrepreneurship and Sustainability, Vol. 3 No. 2, available at: http://www.asiaentrepreneurshipjournal.com/AJESIII2Okpara.pdf

Papa, A., Dezi, L., Gregori, G.L., Mueller, J. and Miglietta, N. (2018), “Improving innovation performance through knowledge acquisition: the moderating role of employee retention and human resource management practices”, Journal of Knowledge Management, Vol. 24 No. 3, pp. 589-605.

Park, S. and Doo, M.Y. (2020), “The effect of organizational culture and HR practices on female managers' commitment and job satisfaction”, European Journal of Training and Development, Vol. 44 Nos 2-3, pp. 105-120.

Peiró, J.M., Agut, S. and Grau, R. (2010), “The relationship between overeducation and job satisfaction among young Spanish workers: the role of salary, contract of employment, and work experience”, Journal of Applied Social Psychology, Vol. 40 No. 3, pp. 666-689.

Piaralal, S.K., Bhatti, M.A., Piaralal, N.K. and Juhari, A.S. (2016), “Factors affecting service recovery performance and customer service employees: a study of Malaysian life insurance industry”, International Journal of Productivity and Performance Management, Vol. 65 No. 7, pp. 898-924.

Piasecki, P. (2019), “Dimensions of HR differentiation: the effect on job satisfaction, affective commitment and turnover intentions”, Baltic Journal of Management, Vol. 15 No. 1, pp. 21-41.

Podsakoff, P.M. and Organ, D.W. (1986), “Self-reports in organizational research: problems and prospects”, Journal of Management, Vol. 12 No. 4, pp. 531-544.

Poursadeqiyan, M., Hosseini Foladi, S., Khammar, A., Nabi Amjad, R., Marioryad, H., Hosseini Ghosheh, S.N. and Kavari, S.H. (2019), “A survey on the relationship between the status of occupational health management and job satisfaction among staff of rehabilitation centers in Tehran: a cross-sectional study”, Journal of Rehabilitation, Vol. 20 No. 3, pp. 242-255.

Pradhan, R.K., Dash, S. and Jena, L.K. (2019), “Do HR practices influence job satisfaction? Examining the mediating role of employee engagement in Indian public sector undertakings”, Global Business Review, Vol. 20 No. 1, pp. 119-132.

Presbitero, A., Roxas, B. and Chadee, D. (2016), “Looking beyond HRM practices in enhancing employee retention in BPOs: focus on employee–organisation value fit”, International Journal of Human Resource Management, Vol. 27 No. 6, pp. 635-652.

Rahman, R.H.A. (2012), “Malaysian firms' role in retaining engineers”, The Economic and Labour Relations Review, Vol. 23 No. 4, pp. 57-78.

Ramaite, M., Rothmann, S. and van der Vaart, L. (2022), “Job embeddedness profiles: associations with supervisor relations, job satisfaction, and work engagement”, Cogent Psychology, Vol. 9 No. 1, pp. 1-19.

Ringle, C.M., Wende, S. and Becker, J.-M. (2022a), “Mediation in PLS-SEM”, available at: https://www.smartpls.com/documentation/algorithms-and-techniques/mediation/ (accessed 31 August 2023).

Ringle, C.M., Wende, S. and Becker, J.-M. (2022b), “Multigroup analysis (MGA)”, available at: https://www.smartpls.com/documentation/algorithms-and-techniques/multigroup-analysis/ (accessed 31 August 2023).

Rombaut, E. and Guerry, M.A. (2020), “The effectiveness of employee retention through an uplift modeling approach”, International Journal of Manpower, Vol. 41 No. 8, pp. 1199-1220.

Saleem, S. and Qamar, B. (2017), “An investigation of the antecedents of turnover intentions and job hopping behavior”, South Asian Journal of Business Studies, Vol. 6 No. 2, pp. 161-176.

Sarstedt, M., Henseler, J. and Ringle, C.M. (2011), “Multigroup analysis in partial least squares (PLS) path modeling: alternative methods and empirical results”, Advances in International Marketing, Vol. 22 No. 2011, pp. 195-218.

Schmid, S. and Baldermann, S. (2021), “CEOs' international work experience and compensation”, Management International Review, Vol. 61 No. 3, pp. 313-364.

Sheikh, M.S., Smail-Crevier, R. and Wang, J.L. (2018), “A cross-sectional study of the awareness and implementation of the national standard of Canada for psychological health and safety in the workplace in Canadian employers”, Canadian Journal of Psychiatry, Vol. 63 No. 12, pp. 842-850.

Silic, M., Marzi, G., Caputo, A. and Bal, P.M. (2020), “The effects of a gamified human resource management system on job satisfaction and engagement”, Human Resource Management Journal, Vol. 30 No. 2, pp. 260-277.

Singla, M. (2017), HRM Practices and Retention of Employees: A Study of Textile Industry, I.K, Gujral Punjab Technical University, Jalandhar, India.

Soper, D.S. (2021), “A-Priori sample size calculator for structural equation models”.

Stamolampros, P., Korfiatis, N., Chalvatzis, K. and Buhalis, D. (2019), “Job satisfaction and employee turnover determinants in high contact services: insights from Employees'Online reviews”, Tourism Management, Vol. 75, pp. 130-147.

Steenackers, K. (2016), “Determinants of job-hopping: an empirical study in Belgium”, International Journal of Manpower, Vol. 37 No. 3, pp. 494-510.

Subramaniam, C., Shamsudin, F.M. and Ibrahim, H. (2011), “Linking human resource practices and organisational performance: evidence from small and medium organisations in Malaysia”, Journal Pengurusan, Vol. 32, pp. 27-37.

Suhartanto, D. and Brien, A. (2018), “Multidimensional engagement and store performance: the perspective of frontline retail employees”, International Journal of Productivity and Performance Management, Vol. 67 No. 5, pp. 809-824.

Tripathi, A. and Kalia, P. (2022), “Examining the effects of supportive work environment and organisational learning culture on organisational performance in information technology companies: The mediating role of learning agility and organisational innovation”, Innovation: Organization and Management, Vol. ahead of print, pp. 1-21, doi: 10.1080/14479338.2022.2116640.

Tymon, W.G., Stumpf, S.A. and Smith, R.R. (2011), “Manager support predicts turnover of professionals in India”, Career Development International, Vol. 16 No. 3, pp. 293-312.

Vecchio, N., Scuffham, P.A., Hilton, M.F. and Whiteford, H.A. (2011), “Work-related injury in the nursing profession: an investigation of modifiable factors”, Journal of Advanced Nursing, Vol. 67 No. 5, pp. 1067-1078.

Waheed, A., Abbas, Q. and Malik, O.F. (2018), “Perceptions of performance appraisal quality’ and employee innovative behavior: do psychological empowerment and ‘perceptions of HRM system strength’ matter?”, Behavioral Sciences, Vol. 8 No. 12, p. 114.

Walker, J.W. (2001), “Perspectives of human resource planning”, Journal of Management, Vol. 24 No. 1, pp. 6-10.

Ying, O.X., Ahmad, A., Mohamed, W.N. and Padlee, S.F. (2017), “A Gen-Y study of work engagement as mediator between career development and turnover intention in Malaysia top companies”, Advanced Science Letters, Vol. 23 No. 9, pp. 8961-8965.

Yu, J., Ariza-Montes, A., Giorgi, G., Lee, A. and Han, H. (2020), “sustainable relationship development between hotel company and its employees: linking job embeddedness, job satisfaction, self-efficacy, job performance, work engagement, and turnover”, Sustainability, Vol. 12 No. 17, p. 7168.

Yusoff, N.A., Yusliza, M.Y. and Saputra, J. (2022), “The linkages between procedural justice and job embeddedness on turnover intention: moderating role of personality”, Polish Journal of Management Studies, Vol. 25 No. 1, pp. 441-460.

Zahoor, A., Ijaz, S. and Muzammil, T. (2015), “Impact of human resource management practices on employee retention in telecom sector of Pakistan”, Journal of Resources Development and Management, Vol. 12, pp. 22-31.

Further reading

Holtom, B., Kiazad, K. and Dandu, Y. (2019), “Organizational practices that promote job embeddedness and retention”, Organizational Dynamics, Vol. 49 No. 4, pp. 1-11.

Acknowledgements

The authors acknowledge the APC voucher provided by Masaryk University, Brno, Czech Republic for open access publishing.

Corresponding author

Prateek Kalia is the corresponding author and can be contacted at: Prateek.Kalia@econ.muni.cz

About the authors

Dr Prateek Kalia is an assistant professor at the Department of Business Management, Faculty of Economics and Administration, Masaryk University, Brno, Czech Republic. He is in the process of starting a habilitation procedure for the position of associate professor. He has vast experience of 21 years in corporate, government administration and academics; including a three-year post-doctoral position at Masaryk University; director and professor at a leading university in North India and deputy general manager at a government organization. He is a specialist in the field of management with a keen interest in digital analytics, electronic commerce, e-service quality and consumer behaviour. His articles are published in leading international journals like the International Journal of Operations and Production Management, Computers in Human Behavior, Journal of Innovation and Knowledge, European Management Journal, Management Decision, etc. He is a reviewer for various A-category journals. He is very well known for his novel smartphone user classification metrics called Cellulographics and holds a copyright for it. He is a recipient of the prestigious Dean’s award for excellent publication at Masaryk University.

Dr Meenu Singla is an Assistant Professor in Sri Aurobindo College of Commerce and Management, Ludhiana affiliated with Panjab University, Chandigarh. She has an experience of more than 14 years in academics. She is a postgraduate in Commerce from Panjab University, Chandigarh. She also has an M.Phil. and MBA to her credit that supplement her teaching and management skills. She earned her Doctorate in Management from I.K. Gujral Punjab Technical University, Jalandhar. She has also cleared the University Grants Commission-National Eligibility Test for Lectureship. Her research interests include HRM and Operations Research and author of the book also. She has participated and presented papers at various National and International Conferences. She is an active social worker.

Dr Robin Kaushal is currently working as an Assistant Professor at Sri Aurobindo College of Commerce and Management, Ludhiana affiliated with Panjab University, Chandigarh. She earned her Ph.D. degree from Punjabi University, Patiala, and M.Com from Panjab University, Chandigarh with distinction. She has 12 years of academic experience. She has also cleared the Junior Research Fellowship (JRF) and National Eligibility Test for Lectureship conducted by University Grants Commission. She has also worked as a senior research fellow at Punjabi University Patiala. She has participated and presented papers at various national and international conferences. She has also been awarded a gold medal from Bangalore University for her research contribution to information technology adoption in the banking sector. Her research interests include banking, finance, statistics and economics.

Related articles