Influence of Recruitment Strategies on Employee Retention

Introduction

In today's rapidly evolving global economy, significant changes have occurred and continued to unfold. Factors such as globalization, technological advancements, and growing competition for limited resources exert pressure on organizations, underscoring the importance of maintaining their competitive edge, partly by nurturing the skills of their workforce. Moreover, these developments have intensified competition among organizations, compelling them to optimize their asset management, particularly in regard to their human capital (Korir, 2014). Implementing robust resourcing strategies including human resource planning, recruitment, employer branding, career development, employee relations, and retention is crucial for acquiring skilled, talented, and dedicated personnel. This is essential because the expertise and knowledge of employees have emerged as pivotal factors for organizations striving to remain economically competitive (Kwon, 2009; HillTrop, 2009).

The landscape of human resource strategies has been evolving rapidly, characterized by complexity, dynamism, and intense competition in global markets. Across the globe, organizations are confronted with critical decisions and obstacles regarding the attraction, recruitment, selection, and retention of employees. Additionally, there is a growing emphasis on enhancing employee skills through learning and capacity development programs, as well as implementing effective methods of rewarding employees for acquiring additional skills (Schuler, 2011).

Empirical research indicates that the widespread implementation of Human Resource practices can contribute to enhanced employee retention. While existing studies have explored employee retention (Ngui, Mukulu and Gachunga, 2014), their findings underscore the necessity for additional research, particularly in different organizational contexts, to deepen our understanding of this phenomenon.

Herzberg’s Two Factor Theory

Herzberg (1959) proposed that employees derive motivation primarily from internal factors rather than external ones related to their daily tasks. In essence, motivation originates internally and is driven by intrinsic variables, which Herzberg referred to as motivators. These intrinsic factors encompass advancement, growth, recognition, the nature of the work itself, achievement, and responsibility. Conversely, Herzberg identified certain factors that lead to dissatisfaction among employees, primarily stemming from non-job-related variables termed as extrinsic factors. Herzberg labeled these extrinsic variables as hygiene factors, which, while not directly motivating employees, must be present in the workplace to ensure employee satisfaction. These dissatisfying factors include salary, relationships with coworkers, company administrative policies, supervision or management styles, and the work environment (Armstrong and Taylor, 2014). According to Herzberg, motivation is contingent upon the availability of intrinsic factors, and the absence of motivation suggests that employees are unlikely to remain in their positions.

On the other hand, if extrinsic factors fail to stimulate enhanced performance from the workforce, it does not imply that employees should endure poor working conditions. Such conditions can diminish their motivation to perform at their best and achieve productivity. It's important to recognize that unfavorable working conditions can prompt employees to seek employment elsewhere, resulting in high turnover rates. Therefore, the theory is pertinent to the study as it acknowledges that the workforce has two distinct sets of needs within the workplace that must be met; otherwise, employees may seek alternative ways to fulfill them, potentially leading to attrition.

Conceptual Framework

Muma et al., (2019) defined a conceptual framework as a visual depiction illustrating the interrelation between independent variables and the dependent variable.

Figure 1: Conceptual Framework

 

Conclusion

This blog suggests a notable positive correlation between human resourcing strategies and employee retention. Given that human resources represent a pivotal and invaluable asset for organizational competitive advantage, effective recruitment strategies can aid in attracting, recruiting, and retaining employees with the requisite skills. Consequently, prioritizing retention management emerges as a crucial agenda for organizations striving to fulfill their objectives and maintain a competitive edge.

References

Armstrong, M., and Taylor, S. (2014) Armstrong's handbook of human resource management practice. London: Kogan Page Publishers.

Herzberg, F., Mausner, B., and Snyderman, B. B. (1959): The motivation to work Vol. 1. New Jersey: Transaction publishers.

HillTrop, J. (2009) The Quest for the best Human Resource Practices to Attract and Retain Talent. European Management Journal, 11(3), 422 - 430.

Korir, C. (2014) Organizational culture on the relationship between strategy and performance of the top ten insurance companies in Kenya (Doctoral dissertation, University of Nairobi).

Kwon, D. B. (2009) Human capital and its measurement: In Proc. The 3rd OECD World Forum on Statistics, Knowledge and Policy (pp. 6-7).

Muma, M.M., Nzulwa, J., Ombui, K., Odhiambo, R., Wekesa, S., Omondi, M., Lumiti, P.A., Ochego,C., and Charles, M. (2019) Influence of Recruitment Strategies On Retention of Employees in Universities in Kenya. International Journal of Social Science and Humanities Research. Available from: https://www.researchgate.net/publication/345841652_INFLUENCE_OF_RECRUITMENT_STRATEGIES_ON_RETENTION_OF_EMPLOYEES_IN_UNIVERSITIES_IN_KENYA  [Accessed on: 4 April 2024].

Ngui, T. K., Elegwa, M. and Gachunga, H. G. (2014) Effects of Employee Resourcing Strategies on the Performance of Kenya Commercial Banks in Kenya. International Journal of Education and Research, 2(1), 1-20.

Schuler, R. S., Jackson, S. E. and Tarique, I. (2011) Global talent management and global talent challenges: Strategic opportunities for IHRM. Journal of World Business, 46(4), 506-516.