HRM practices and employee intention to stay : mediating role of employee engagement and moderating role of organizational culture in Jordanian telecommunications companies

Abstract

The human resource management (HRM) practices have been broadened to include building a motivating work environment for employees that ensures their intention to stay (ITS) in their work and companies. Employee intention to stay plays a significant role in worldwide organizational development and economic growth. The main purpose of this study is to investigate the relationship between human resource management practices (HRMP), employee engagement (EE), organizational culture, and employee intention to stay in the telecommunication sector in Jordan. A proposed human resource management practices model that embeds six practices (training and development, selection, compensation, job security, job design, and performance appraisal) was formulated and tested on employee intention to stay. This study adopts a quantitative research approach. A questionnaire was conducted to obtain data from 400 telecommunications sector employees from 407 branches in 12 governorates in Jordan. Samples were telecom staff who worked at all job levels. Structural Equation Modeling analysis using AMOS version 22 was conducted to determine HRM's direct and indirect effects on employee intention to stay. The findings reveal that there is a strong positive causal relationship between HRM practices (training and development, selection, compensation) and employee intention to stay in Jordan's telecom sector. The findings also show the positive mediating effect of employee engagement on the relationship between HRM practices and employee intention to stay. The study also establishes valid measures for employee engagement and employee intention to stay constructs. The results clearly show that there is no moderating effect of organizational culture on the connection between employee engagement and intention to stay. Knowledge gained from this study could contribute to empowering telecom management in better comprehending the impact of HRM practices on employee engagement on the well-being as well as intention to stay of the employees. Having said that, this study is deemed essential in Jordan's government economy by focusing on the Jordanian telecommunications sector as the main supporter of Jordan's domestic and economic production. This study recommends that future research should consider using a longitudinal mixed-methods research design to study the relationship between HRM practices, employee engagement, and employee intention to stay. Thus, the findings of this research have undoubtedly created a pathway for future research in human resource management.