HUMAN RESOURCE MANAGEMENT PRACTICES AND EMPLOYEE RETENTION: EVIDENCE FROM SERVICE SECTOR ORGANIZATIONS
DOI:
https://doi.org/10.69980/9nbpkk64Keywords:
Employee retention, HRM practices, Healthcare sector, Work–life balance, CompensationAbstract
Employee retention remains a persistent challenge for service sector organizations, particularly in healthcare, where workforce stability is critical to service quality, continuity of care, and organizational sustainability. This study investigates the association between human resource management (HRM) practices and employee retention in healthcare service organizations, with specific attention to compensation, training exposure, work–life balance, and career-related factors. Adopting a quantitative, cross-sectional research design, the study draws on secondary employee data comprising 1,676 records from healthcare organizations. Employee retention is operationalized using an attrition indicator, while HRM practices are measured through relevant proxy variables available in the dataset. Descriptive statistics and correlation analysis are employed to examine retention patterns and explore associations between HRM practices and employee retention. The findings reveal that employee retention is positively associated with all HRM practices examined, although the relationships are modest in strength. Compensation exhibits the strongest association with retention, followed by work–life balance and career-related factors, while training exposure shows a weaker but positive relationship. These results suggest that HRM practices contribute incrementally to retention by shaping employees’ work experiences, perceived organizational support, and long-term attachment, rather than functioning as singular determinants of retention outcomes. By focusing on observable retention outcomes rather than turnover intentions alone, this study contributes to a more empirically grounded understanding of retention dynamics in healthcare service organizations. The findings underscore the importance of adopting integrated and context-sensitive HRM strategies that balance financial incentives, employee well-being, and developmental support.
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