Training and Development for Job Satisfaction and Employee Retention: The Art of Engaging and Retaining Employees

Image: https://blog.vantagecircle.com/employee-satisfaction/

Introduction

Human resource is one of the most valuable and important resource of an organization. Because of this it plays an important role in the organization. Furthermore, human resource is often a large part of an organization’s cost structure. Therefore, a considerable attention should be paid to the staff of the organization. The success of an organization consists of the retention of employees and the retention of a respectable workforce. The high employee turnover rate is problematic and adversely affects the performance of an organization and may lead to a big crisis in many organizations.

Around the globe, the nature of the job varies, in the both internal and external work environments. In the context of globalization and intensified competition, employees of the organization are pushed to work beyond their habit. Employees are expected to learn the different cultures, languages, rules and regulations of international trade resulting in increased workloads, the pressure to enhance the job skills and long working hours. Such changes job, different culture, working environment and organizational behaviour would become path for the employee turnover. According to Beams (2009),"Employee turnover is a ratio comparison of the number of employees a company must replace in a given time to the average number of total employees. A huge concern for most companies, employee turnover is a costly expense, especially in lower paying job roles, for which the employee turnover rate is highest. Many factors play a Role in the employee turnover rate of any company, and these can stem from both the employer and the employees. Wages, company benefits, employee attendance, and job performance are all factors that play a significant role in employee turnover. Companies take a deep interest in their employee turnover rate because it is a costly part of doing business." And Beams says that, Companies bear with direct and indirect expenses, which include the cost of advertising, replacement expenses, human resource costs, loss of productivity, new hire, training, and customer retention, every time they must replace an employee. These expenses can add up to anywhere from 30 to 200 percent of a single employee's annual wages or Salary, depending on the industry and the job role being filled.

Concept of Job Satisfaction

An essential factor in an organization's success is job satisfaction and it is defined in various contexts by different authors. Employee satisfaction describes how satisfied an individual is with his or her job. According to Researcher perspective happier people are more satisfied with their jobs. According to (Samuel Emeka Mbah, Job Satisfaction and Employees’ Turnover Intentions in total Nigeria plc. in Lagos, 2008) Saifuddin, Hongkraclent and Sermril, (2008) and The Mobley model (Lee, TW 1988), Low absenteeism is associated with higher job satisfaction while high turnover and absenteeism are said to be related to job dissatisfaction. Job satisfaction has been defined as a pleasurable emotional state resulting from the appraisal of one’s job or job experience as stated by (Locke, 1976). This positive feeling results from the perception of one’s job as fulfilling or allowing. According to (Hagihara, 1998) Hagihara, et. al, 1998), Characteristics can be regarded as non- work factors of job satisfaction relationship between job satisfaction and turnover. Spector (1997), has defined the nine factors of measuring the job satisfaction. The nine factors are as follow, 

 Paying

 Promotion  

 Supervision  

 Fringe Benefits 

 Performance based rewards 

 Operation procedures 

 Co-workers 

 Nature of work 

 Communication

image: https://www.mbaskool.com/business-concepts/human-resources-hr-terms/4394-job-satisfaction.html

Theories and Models

Several theories are concerning about the turnover intention and profession satisfaction builds by the several philosophers and researchers.  Such as Job Embeddedness Theory divided into two, 

•  Factor Motivation Theory

•  The Equity Theory

Job Embeddedness Theory 

(Terence R. Mitchell, 2001) Mentioned that job embeddedness is a technique of understanding about why the people stay in the organization. There is a diverse level in job embeddedness like employee has several connections in work place. As a result, worker feels as integrated on their qualification and do not want to sacrifice occupation for a new job. 

According the theory there is a bond between staffs, company and public integration are depending on limits such as individual standards, knowledge and talent and occupation aspirations. That also depends on job requirements, organization values and general factors like weather. 

1. Two Factor Motivation Theory

(Herzburg, 1966) Mentioned that there are two reasons to that contribute to the job satisfaction. It identified as motivators. That impact to job dissatisfaction as well. Skill accomplishments. Improved accountability, recognition, exciting work, education and development are the motivation factors. Hygiene factors contains ineffectual or bad supervisors, company policies, unfair wages and unkind working condition. Because of these hygiene factors labours respond to their turnover intention. According to this theory, there are two sets of factors that affect motivation and job satisfaction in the workplace:

• Hygiene factors: These are external factors that do not necessarily lead to higher levels of motivation, but their absence can cause dissatisfaction and demotivation. Examples of hygiene factors include salary, working conditions, job security, company policies, and interpersonal relationships with colleagues.

• Motivational factors: These are internal factors that lead to higher levels of motivation and job satisfaction. Examples of motivational factors include recognition, challenging work, responsibility, and opportunities for growth and advancement.

Image : https://www.indeed.com/career-advice/career-development/herzberg-theory

The two-factor theory suggests that if hygiene factors are not met, employees will become dissatisfied and demotivated, but meeting them will not necessarily lead to increased motivation. On the other hand, meeting motivational factors can lead to higher levels of motivation and job satisfaction.

Overall, the two-factor theory highlights the importance of not only addressing external factors in the workplace, but also providing opportunities for personal growth, achievement, and recognition to increase motivation and job satisfaction.

2. The Equity Theory

Image : https://bokastutor.com/equity-theory-of-motivation/

Jhon Stacey Adems said that indirect and variables factors affect to the workers’ assessment and awareness between of their work and the owner. Workforces can be become demoralized both in relation with their job and proprietors. If they sense as their inputs are better than the productivities. 

Workers answer it in several ways like de motivation, become dissatisfied, reduce effort and etc. Lastly, can be seen workforces are interested if they have emotional state about equity and fairness on their occupation. Can use outcome ratios to compare inputs. According to equity theory, employees make comparisons between themselves and others in terms of the ratio of their inputs (e.g., effort, skill, experience) to their outcomes (e.g., pay, recognition, promotions). If employees perceive that their input-output ratio is equal to that of their peers, they will feel a sense of fairness and satisfaction. However, if they perceive that their input-output ratio is less favourable than that of their peers, they will feel a sense of unfairness and may become demotivated.

In other words, employees want to feel that the rewards they receive are proportional to the effort they put in, and that they are not being unfairly disadvantaged compared to their colleagues.

Equity theory has several implications for managers and organizations. Firstly, it suggests that it is important for managers to ensure that rewards are distributed fairly and that there is transparency in the reward system. Secondly, it suggests that managers should avoid situations where some employees are over-rewarded while others are under-rewarded, as this can lead to feelings of unfairness and demotivation. Finally, it highlights the importance of effective communication and feedback, as employees may be more accepting of inequities if they understand the reasons behind them.

Concept of Employee Turnover

According to (Noor, 2008) Noor & Maad (2008), turnover Intentions positively related to actual leaving. Villanueva (Villanueva, 2009) say that an individual’s Turnover Intention their organization has been included in multiple attitudinal models. Research into the antecedents of labour turnover has, conventionally, focused on the effect that job attitudes such as job satisfaction and organizational commitment have on an employee’s Turnover Intention (Jago, 2009) Deery & Jago. Job satisfaction and organizational commitment barely mediated the relationship between occupational stress and Turnover Intention (Villanueva, 2009). According to Deery & Jago (2009), this is a highly relevant finding of the study, given that job satisfaction and commitment are the mediators and turnover intention is the outcome variable to be checked (Jago, 2009). Much of this research, however, is located within organizations where the aim is to develop strategies to alleviate high levels of turnover at the company level. Employee turnover is the ratio of the number of workers that had to be replaced in a given time period to the average number of workers (Agnes, 1999. According to (Glebbeek, 2004) Glebbeek & Bax (2004), Employee turnover is the series of actions that it takes from the employee leaving to their being replaced. It is often used as a pointer of company performance and can easily be predicated negatively towards the organization’s efficiency and effectiveness. However, turnover can be attributed to three major causes: improper selection of personnel, the lack of an adequate orientation and training program, and organizational personnel management problems. White, (1995) and (Laser, 1980). Indicators of employee turnover intention as follow, 

        Job Stress 

        Leadership Style 

        Work Family Balance 

        Organizational Commitment

Connecting Training and Development 

Training and development programs play a crucial role in improving job satisfaction and retaining employees. These programs help employees enhance their skills, knowledge, and capabilities, making them more competent and confident in their roles. When employees feel that they are continuously learning and growing in their jobs, it leads to increased job satisfaction and motivation (Noe, 2013). Training and development programs also show employees that the organization values their professional growth and is willing to invest in their development, leading to increased loyalty and commitment to the organization (Salas, 2012).

Furthermore, training and development programs can address hygiene factors that can lead to job dissatisfaction. For example, providing training on effective leadership and management can improve the quality of supervision, which is a crucial factor in job satisfaction (Spector, 1997). Training on communication skills can enhance employee's ability to interact with co-workers and foster positive relationships in the workplace. Additionally, training on operational procedures and policies can help employees understand their roles and responsibilities better, reducing confusion and frustration at work.

Strategies for Training and Development for Job Satisfaction and Employee Retention:

Organizations can implement various strategies to effectively use training and development programs to improve job satisfaction and retain employees:

1. Identify Training Needs: Conduct regular assessments to identify the training needs of employees. This can be done through performance evaluations, feedback from managers and employees, and surveys. Understanding the specific areas where employees require training can help design targeted training programs that address their developmental needs and improve their job performance.

2. Provide Relevant and Engaging Training Programs: Ensure that the training programs are relevant to the employees' job roles and responsibilities. The training should be engaging, interactive, and provide practical skills that employees can apply in their day-to-day work. Use a variety of training methods, such as classroom training, on-the-job training, e-learning, and simulations, to cater to different learning styles and preferences of employees.

3. Offer Continuous Learning Opportunities: Encourage a culture of continuous learning by providing ongoing training and development opportunities. This can include workshops, seminars, conferences, and online courses. Encourage employees to take ownership of their learning and provide resources and support to help them pursue their professional development goals.

4. Support Career Development: Link training and development programs with career development opportunities within the organization. Offer career development plans, mentoring programs, and job rotation opportunities to help employees progress in their careers. When employees see a clear career growth path within the organization, it increases their job satisfaction and motivates them to stay and contribute to the organization's success.

5. Recognize and Reward Learning and Development: Acknowledge and reward employees who actively participate in training and development programs and apply the acquired skills in their work. This can be done through promotions, salary increases, bonuses, or recognition programs. Recognizing and rewarding employees' efforts in their professional development shows that the organization values their growth and motivates them to continue learning and contributing to the organization.

Conclusion

Employee turnover is a complex issue that is influenced by a variety of factors, including job satisfaction. By understanding the link between these two factors and implementing strategies to improve job satisfaction, organizations can reduce turnover rates and create a more productive and engaged workforce. In today's competitive business environment, organizations need to invest in training and development programs too to improve job satisfaction and retain employees. Training and development programs not only enhance employees' skills and capabilities but also contribute to their job satisfaction, motivation, and commitment to the organization. By implementing effective strategies, organizations can create a culture of continuous learning, career development, and recognition, leading to higher job satisfaction and increased employee retention rates.

References

Herzburg, 1966. Herzberg’s Motivation-Hygiene Theory and Job Satisfaction in the Malaysian Retail Sector: Mediating Effect of Love of Money. Asian Academy of Management Journal.

Jago, D. &., 2009. A Framework for Work-Life Balance Practices: Addressing the Needs of the Tourism Industry. Tourism and Hospitality Research, pp. 97-108.

Noe, R. A., 2013. Employee training and development (6th ed.), s.l.: McGraw-Hill.

Noor, K. M., 2008. Work-Life Balance and Intention to Leave among Academics in Malaysian.. International Journal of Business and Social Science, p. 248.

Salas, E. T. S. I. K. K. &. S.-J. K. A., 2012. The science of training and development in organizations: What matters in practice. Psychological Science in the Public Interest. s.l.:s.n.

Spector, P., 1997. Job satisfaction: Application, assessment, causes, and consequences, s.l.: Thousand Oaks, CA: SAGE Publications..

Terence R. Mitchell, B. C., 2001. Why People Stay: Using Job Embeddedness to Predict Voluntary Turnover. The Academy of Management Journal , pp. 1102-1121.

Villanueva, D. &., 2009. Occupational stress and intention to leave among employees in small and medium enterprises. International Journal of Stress Management , pp. 124-137.