PERCEPTION OF FRONTLINE EMPLOYEES TOWARDS CAREER GROWTH OPPORTUNITIES: IMPLICATIONS ON TURNOVER INTENTION.
Ohunakin, Folakemi ; Adeniji, Anthonia ; Oludayo, Olumuyiwa 等
PERCEPTION OF FRONTLINE EMPLOYEES TOWARDS CAREER GROWTH OPPORTUNITIES: IMPLICATIONS ON TURNOVER INTENTION.
Introduction
Issue of employee turnover has become a general problem in the
hospitality industry as organisations struggle to retain their talented
human resources (Jaworski et al. 2018, Tang et al. 2015). Similarly in
the earlier work of Hsu and Tsai (2014), high turnover rate has been
identified as a prevalent characteristic among employees in hospitality
industry. Gupta and Shaheen (2017) also established that, retaining
talented human capital has become a major competition among the 21st
century organisations. However, the management, growth and development
of every organisation, depend largely on the ability and willingness of
its human resources. Human resources can thus be an indispensable tool
towards organisational success, especially in the hospitality industry.
Inadequate management of human resources lead to increase in the
organisation's cost of recruiting and training new entrants, and
consequently reduce the quality of service.
According to Ampomah and Cudjor (2015), organisations that fail to
make provision for the needs of their high performers; identify their
efforts and reward them accordingly will not only experience low
productivity, but also lose them to other organisations. Hence, an
increase in turnover rate. The issue of turnover intention and actual
turnover has become a major issue confronting the economy researchers
and practitioners especially in hospitality industry in Nigeria
(Ohunakin et al. 2016, Akwara et al. 2014). Apart from dearth of
empirical work in the hospitality industry in Nigeria, little has been
known about human resource management practices in the hospitality
sector of the country; because of these, coupled with the high rate of
employee turnover intention among employees in hospitality sector in
Nigeria, this research thus attempted to provide better understanding
about the mechanisms for turnover intention. In addition, Nawaz and
Pangil (2016) thus advocated for more study on career growth
opportunities and employees turnover intention, moreover, little
empirical studies on these two constructs exist in literature (Guan et
al. 2015). It is imperative that research should be carried out in the
hospitality sector, to establish the influence of talent retention
strategies such as career growth opportunities, on employees'
turnover intention in a developing economy like Nigeria. Therefore, the
objective of this study is to establish the influence of career growth
opportunities on employees' turnover intention in the present
clime. Figure 1 indicated the schematic model and illustrated the
hypotheses for this study
1. Literature review
1.1. Career growth opportunities and dimensions
In Biswakarma (2016), career growth was defined as an individual
perception of the available opportunities for advancement and
development within an organisation. Spector (2003) earlier defined
career growth as the continuous improvement in an employee's
position in accordance with his/her efforts in gaining requisite skill
for performance upgrade. In other words, career growth can be described
as the increasing in an employee's career ladder in accordance with
the increase in his/her capability building. It can also be regarded as
joint effort of both the employees and employers. According to
Lips-Wiersma and Hall (2007), growth in employees' career goal is a
joint effort of the employees and employers, which requires well
organized and formalized arrangement between an individual
employee's career needs, and organisational workforce requirements.
This study adopted Weng and Xi (2011) four dimensions of career
growth, including: career goal progress (CGP), professional ability
development (PAD), promotion speed (PS), and remuneration growth (RG).
Career goal progress is the ability of an individual's present
employment to assist in the realization of one's career goal, while
professional ability development is the ability of the current job to
allow an individual to acquire new knowledge and skills. Promotion speed
has to do with the availability of promotion as expected by an
individual, and remuneration growth is the possibility of increase in
rewards and compensations.
1.2. Turnover intention
Ismail (2015) defined turnover intention as a subjective estimation
of an employee, that has to do with the likelihood of his or her leaving
the current employer very soon. According to Takawira et al. (2014),
turnover intention is an ideal of an employee leaving the current
organisation and seeking employment in another organisation. Turnover
intention is the employee's thoughts or plans of leaving a job
(Simon et al. 2010). In the opinion of Perryer et al. (2010), turnover
intention is the immediate behaviour or attitude before actual turnover,
while Samad (2012) regarded turnover intention as the conscious effort
of an employee towards seeking alternative appointment outside the
current employment. Li et al. (2017) used turnover intention as a model
for explaining employees' turnover behaviour for reducing the rate
of employee turnover intention among the frontline Casino employees in
Macau. Kim (2014) had earlier established supervisor support as an
antecedent of employees' turnover intention among the veterans,
while personnel management, work-related and external factors are the
antecedents for turnover intention of the neophytes in the travel
industry In Ohunakin (2018), it was argued that employee turnover
intention is one of the employee's attitudinal or behavioural
outcomes which is in accordance with Fishbein and Aizen
attitude-behaviour theory of 1975. In Dai et al. (2019), it was argued
that promotion opportunity among others significantly correlated with
employees' turnover intention.
1.3. Career growth opportunities and turnover intention
Woods and De Menezes (1998) and Huselid (1995) argued that career
growth opportunities for employee in an organisation do not only assist
in shaping employees' attitudes and improve organisational
performance, but also propel employee to go extra mile in their given
tasks and in-turn leave them with no intention to exit such
organisation. It was further expressed in their work, that
employees' perception about the investment done by their employer
on them, is an indication that such employer is interested in their
career growth and development. Nouri and Parker (2013) found that career
growth opportunities influence employees' job commitment and reduce
their turnover intention. Similarly Karavardar (2014) identified
favourable career growth as one of the major tools for retaining
employees in an organisation, and consequently reduce their turnover
intentions.
According to Omonijo et al. (2015), remuneration was viewed as a
strong determinant of employee turnover intention among non-academic
staff of higher institution. Heathfield (2017) accentuated that, growth
in remuneration according to the input and performance of an individual
to the organisation, could serve as a means of reducing employee's
turnover intention. Wang et al. (2014) postulated that adequate
opportunities for employees in the organisation could lower
employees' turnover rate and consequently improve employees'
retention in hospitality industry. Karavardar (2014) asserted that
organisational ability to provide satisfactory remuneration advancement
for the employees, will enhance the employees' sense of
belongingness, hence little or no intention to leave the organisation.
Mapelu and Jumah (2013) opined that, when adequate advancement
opportunities are available, employees in hospitality industry tend to
be more committed to both their works and the organisation, with no
intention to leave such organisation. Biswakarma (2016) argued that,
provision for advancement in employee's career/professional ability
can be used for managing issues of turnover among high performers. In
the same vein, Chen et al. (2016) stated that availability of
professional ability development for an employee in any organisation,
has the potential to increase employee's satisfaction, and further
improve the exchange relationship between the organisation and the
employees. Hence, there will be little or no intention to leave such
organisation.
In Nawaz and Pangil (2016), it was assumed that speed in
employees' promotion have the potential to reduce employees'
turnover intention, improve their commitment to the organisation and
increase their sense of belongingness. Conversely, Karavarda (2014) and
Chen et al. (2016) found insignificant impact of career goal progress on
employees' turnover intention in their different studies. Based on
the aforementioned, the following hypotheses were formulated:
Hypothesis 1 ([H.sub.2]): Remuneration growth will negatively
relate with employees' turnover intention.
Hypothesis 2 ([H.sub.2]): Career goal progress will have negative
association with employees' turnover intention.
Hypothesis 3 ([H.sub.3]): Professional ability development will
have negative relationship with employees' turnover intention.
Hypothesis 4 ([H.sub.4]): Promotion speed will have inverse
relationship with employees' job satisfaction.
2. Methodology
2.1. Participants and procedures
This empirical study adopted the cross-sectional research design.
Pen and paper questionnaires were used to gather data among the
employees working in 5-star hotels in Nigeria. Five (5)-star hotels were
selected for this study, because they are the apex hotels in Nigeria.
Furthermore, for adequate representation, total enumeration method of
sampling was adopted in the region where there are limited number of
respondents, as adopted in Ohunakin et al. (2018), while proportional
stratified sampling technique was used in the region with larger number
of respondents. Quantitative data were gathered with four hundred and
thirty-eight (438) copies of questionnaire administered to the frontline
employees working in twenty-two (22), 5-star hotels in Nigeria. Three
hundred and twenty-seven (327) of the sampled questionnaire, were found
usable and which indicates 75% valid retrieval rate. The analysis of
this work was done using Stata software version 14.
2.2. Measuring instrument
The scales (15-items) developed by Weng and Hu (2009), were adapted
for measuring the four facets of career growth (i.e. career goal
progress (CGP), professional ability development (PAD), promotion speed
(PS) and remuneration growth (RG)), while the 3-item employees'
turnover intention by Mobley et al. (1979) was adopted.
3. Results
Table 1 showed that the male respondents were 195 (60.99%), while
the female respondents were 125 (39.01%). The study sample represents
different age groups from twenty (20) years to above forty (40) years.
The largest group of respondents was between ages 27 and 32 with 119
(36.73%), followed by 33-39, 93 (28.7%). There are 72 (22.2%)
respondents between 20-26, while there are 40 (12.35%) respondents for
age 40 and above. Majority of the respondents were B.Sc/BA degree
holders, totalling 300 (92.59%), while the remaining 24 (7.41%) had
M.Sc/MBA degree. Respondents representing 162 (49.54%) were single, 161
(49.24%) were married, while the remaining 4 (1.22%) were divorced.
Respondents representing 98 (30.06%) have spent between 1-3 years, 84
(25.77%) have spent 3-5 years, 73 (22.39%) have spent below one year,
while the remaining 71 (21.78%) of the total respondents, have spent
more than five years with their organisations. The descriptive
statistics of this study is as illustrated in Table 2. This table shows
the number of respondents, mean, standard deviation (SD), and range of
score for each of the items in the measuring instrument. There are
fifteen items for career growth opportunities (independent variable),
i.e. four items for career goal progress (CGP1 - CGP4), four items for
professional ability development (PAD 1 - PAD4), four items for
promotion speed (PS1 - PS4), and three items for remuneration growth
(RG1 - RG3). Employees' turnover intention (dependent variable) has
three items (ETIl - ETI3). The original model with standardized
estimates as shown in Figure 2, specifies the relationship of the four
facet of career growth (CGP, PAD, PS, RG) on employees' turnover
intention (ETI). Table 3 showed the coefficients of correlation between
the four dimensions of career growth opportunities (CGP, PAD, PS, RG)
and turnover intention.
Table 4 illustrates the structural path coefficients for the four
facets of career growth opportunities on employees' turnover
intention (CGP[right arrow]ETI, PAD[right arrow]ETI, PS[right arrow]ETI,
and RG[right arrow]ETI), for the modified standardized model (Figure 3)
gave values of-0.4452, -0.2977, -0.3532, and -0.2572, whereas values
of-0.4244, -0.2898, -0.3192, and -0.2554 were found for the unmodified
standardized model (Figure 2). These gave [R.sup.2] values of -45%,
-30%, -35%, and -26% for the modified standardized model, and -42%,
-29%, -32%, -26% for unmodified standardized model. The modified
standardized model represents the central criterion (Coefficient of
Determination: [R.sup.2]) for assessing structural models (Klarner et
al. 2013), and the predictive validity power of the model (Hair et al.
2012). Although these outcomes were inverse, they were above 25%
according to the assertion of Gaur and Gaur (2006), which demonstrate an
acceptable or rejection level of prediction in any empirical study.
However, all the hypotheses were accepted because, each of the four
facets of career growth has significant inverse effect on employee
turnover intention in this study. A good fit was obtained for the model
by allowing error covariance of three (3) sets of observed variables to
be freely estimated. However, the fit to the data is statistically good
with five (5) basic indices which include: RMSEA = 0.047, TLI = 0.965,
CFI = 0.986, SRMR = 0.030, CD = 0.919 as shown in Table 5. In line with
the opinion of Sahin et al. (2014), root mean square error approximation
(RMSEA) is one of the three basic indicators for assessing an acceptable
model fit. The RMSEA obtained in this study was 0.047. However, this
supported the argument of Marsh and Hocevar (1998) that, RMSEA value
closer to 0 or under 0.05 indicates an acceptable/good model fit.
Therefore, the modified model (Figure 3) can be concluded to reproduces
the sample covariance matrix in this study.
4. Discussion
The study examined the influence of four facet of career growth
opportunities including: career goal progress (CGP), professional
ability development (PAD), promotion speed (PS) and remuneration growth
(RG) on employees' turnover intention (ETI) among professionals in
the hospitality sector. A schematic model was developed and empirically
examined with the data gathered from frontline employees, that are
working in 5-star hotels in Nigeria. It was found that the four facets
of career growth examined in this study have direct inverse relationship
with employees' turnover intention. These indicate that career goal
progress, professional ability development, promotion speed, and
remuneration growth, associated negatively with employees' turnover
intention. This means, the more these facets of career growth are
available to the frontline employees, the lower their turnover intention
or vice-versa. In other words, for retaining talented frontline
employees or reducing their rate of turnover, adequate provision must be
made for their career development and growth. These findings are
consistent with outcomes of earlier studies such as Griek et al. (2018);
Hossain et al. (2018) among bankers in Bangladesh, and the work of
Heijden et al. (2018) on nursing sector in Europe.
It can also be observed in this work that, career goal progress
revealed the highest level of direct inverse effect on employee turnover
intention, with a standardized direct effect of-0.4452 at p < 0.005.
The output revealed that about 79% of employees' turnover intention
can be explained by career goal progress, while the remaining 21%
variability, is because of other factors that cannot be explained by
career goal progress. This finding supports the outcomes from Weng and
Hu (2009) and Weng and McElroy (2010), where high correlation was found
between career goal progress and employees' turnover intention. In
the same vein, the work of Muliawan et al. (2009) on auditors, revealed
negative relationship between growth in career goal and turnover
intention; observation in the study further encouraged management to be
consistent in career goal growth, if they are to retain high performers.
Promotion speed has the second highest inverse effect on employee
turnover intention, with a standardized direct effect of -0.3532 at p
< 0.005. This output revealed that 81% of employees' turnover
intention can be explained by promotion speed, and the remaining 19%
variability may be due to other factors that cannot be explained by
promotion speed. This outcome is in line with the opinion of Zhang et
al. (2005), which stated that speed in talented employee's
promotion has the potential to decrease his/her intention to leave the
current organisation. Although, in Weng and McElroy (2012), remuneration
growth and promotion speed were taken together as one of the facets of
career growth opportunities. However, the joint efforts of remuneration
growth and promotion speed revealed an inverse relationship with
managerial employees' turnover intention among workforce in Chinese
companies.
The third direct inverse effect on employee turnover intention is
the professional ability development, with a standardized direct effect
of-0.2977 at p < 0.005. The output also revealed that 85% of employee
turnover intention can be explained by professional ability development,
while the remaining 15% can be explained by other factors aside
professional ability development. This outcome is consistent with
previous studies, such as that of Weng and McElroy (2012), that found
inverse significant relationship between professional ability
development and turnover intention on managerial employees in
People's Republic of China, and the work of Yang et al. (2015) on
the impact of work support and organisation career growth on employee
turnover intention among Chinese health workers. Their outcomes revealed
that, the more the availability of career growth and development, the
less the intention of the employee to turnover.
Remuneration growth has fourth inverse relationship with employee
turnover intention, having a standardized direct effect of-0.2572 at p
< 0.005. The output of the analysis revealed that 94% of employee
turnover intention can be explained by remuneration growth, and the
remaining 6% can only be explained by other factors apart from
remuneration growth. This finding is in accordance with some previous
studies, such as Nawaz and Pangil (2016), that found an inverse
relationship between remuneration growth and employee turnover intention
among faculty members of some selected private higher institutions in
Pakistan. The work further concluded that, career related factors such
as increase in remuneration growth, perceived fair and just appraisal,
are some of the major parameters for reducing employee turnover
intention. The work of Karavardar (2014) also found an inverse
significant relationship between remuneration growth and employees'
turnover intention. Growth in remuneration is thus pivotal for
employees' sustainability; as an employee is growing, his/her
responsibilities will also be increasing. This therefore requires
increase in his/her income to be able to meet these demands.
Conclusions
The major purpose of this study was to examine the role of career
growth opportunities dimensions on employees' turnover intention in
Nigeria's hospitality industry. Based on a survey of 327 frontline
employees of the twenty-two 5-star hotels in Nigeria. It is concluded
that, growth opportunities (career goal progress, professional ability
development, promotion speed and remuneration growth) have inverse
influence on employees' turnover intention. Thus, resulted in
generalizing the previous findings in this present context, and further
reduce the level of inconsistencies in extant literature. This work
further established that career growth is one of the major means of
responding to the needs of talented employees in hospitality industry
and to reduce their intention to leave. This study therefore recommends
that, adequate provisions should be made by the management, for the
desires and expectations of frontline employees in hospitality industry.
Also, these career growth opportunities should form a major part of the
strategies for retaining employees in organisations, in a bid to combat
the problem of turnover, minimize the cost of recruitment and
consequently achieve the overall organisational goals and objectives.
Limitations and recommendation for future research
The findings of this work should be viewed by considering its
limitations. First, the data were gathered through self-reported survey;
hence, there are possibilities of underestimation or overestimation in
the respondents' responses. Secondly, more studies on these
constructs is highly essential in other sectors of the economy, such as
financial, health, manufacturing and so on, in Nigeria. This is not only
for confirming the finding of this study, but also, to know how the four
factors of career growth opportunities of Weng and Hu (2009), will be of
much importance in reducing the turnover rate of talented workforce in
the country. Thirdly, this study did not examine any moderating or
mediating variable; further studies should consider some moderating or
mediating variables such as cultural dimensions, demographic
characteristics etc., because Nigeria is a diverse country with many
cultural differences and demographic characteristics etc. Fourth, other
career growth opportunities such as, career commitment, career concerns,
perceived alternative job opportunities that were included in Weng et
al. (2010), should be examined. Fifth, replication of this study in
other African countries will assist in establishing the generalizability
of the findings. Lastly, there is a need to further elaborate on the
concept of career growth opportunities, by exploring more causal
relationships among career growth opportunities and other variables.
Implication of findings
The outcomes of this study have some implications for organisations
generally, and in particular the hospitality industry. It should also be
noted that, there may be need for this study to be extended to other
sectors to determine whether the findings in this work can be
generalized across industries or sectors of the country. Since the issue
of turnover has become a general concern for both the developing and
developed nations, it requires adequate management. The findings from
this study provide adequate information to the management in the
hospitality industry, career counsellors, and researchers, towards the
state of career growth among employees in Nigeria. It is worth noting
that, career growth opportunities have the potentials for retaining
talented employees in Nigerian workplace. It is therefore suggested for
both the publicly and privately-owned organisations, to recognize,
invest and embrace relevant career growth opportunities for the benefit
of their workforce to reduce the rate of turnover intention and actual
turnover. This will assist these organisations to minimize the cost of
replacement and hence, retain good employees.
Acknowledgement
We sincerely appreciate Covenant University for providing enabling
platform to carry out this research.
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Folakemi OHUNAKIN (1), Anthonia ADENIJI (2), Olumuyiwa OLUDAYO (3),
Omotayo OSIBANJO (4)
Covenant University, Ota, Nigeria
E-mails: (1) folakemi.ohunakin@stu.cu.edu.ng (corresponding
author); (2) anthonia.adenike@covenantuniversity.edu.ng; (3)
olumuyiwa.oludayo@covenantuniversity.edu.ng; (4)
ade.osibanjo@covenantuniversity edu.ng
Received 30 August 2018; Accepted 04 October 2018
https://doi.org/10.3846/btp.2018.28
Caption: Figure 1. Schematic model (source: Field Survey 2018)
Caption: Figure 2. Initial model for career growth opportunities
and employees' turnover intention
Caption: Figure 3. Modified model for career growth opportunities
and employees' turnover intention
Table 1. Demographic profile of respondents
Characteristics N Percent
Male 197 60.24
Female 126 38.54
Gender Missing 4 1.22
Total 327 100.00
20-26 72 22.02
27-32 119 36.39
33-39 93 28.44
Age 40 and above 40 12.23
Missing 3 0.92
Total 327 100.0
B.Sc/B.A 300 91.74
Highest
Educational M.Sc/M.A 24 7.34
Missing 3 0.92
Level Total 327 100.0
Single 162 49.54
Married 161 49.24
Marital Status Divorced 4 1.22
Missing 0 0
Total 327 100.0
Below 1 year 73 22.32
1-3 98 29.97
Tenure of 3-5 84 25,69
Service More than 5 years 71 21.71
Missing 1 0.31
Total 327 100.0
(source: Field Survey 2018)
Table 2. Descriptive statistics
No of
Variable Obser- Mean SD Mini- Maxi-
items vations mum mum
CGP1 327 3.7554 1.0830 1 5
CGP2 327 3.5932 1.1597 1 5
CGP3 327 3.5808 1.1471 1 5
CGP4 327 3.6790 1.1357 1 5
PAD1 327 3.4159 1.2278 1 5
PAD2 327 3.7248 1.2350 1 5
PAD3 327 3.8129 1.1470 1 5
PAD4 327 3.1896 1.2681 1 5
PS1 327 4.0736 1.0557 1 5
PS2 327 3.8957 0.9732 1 5
PS3 327 3.9083 0.9896 1 5
PS4 327 4.0214 1.0285 1 5
RG1 327 3.6349 0.9896 1 5
RG2 327 3.9449 1.0285 1 5
RG3 327 3.6554 0.9709 1 5
ETI1 327 3.1223 1.1229 1 5
ETI2 327 2.9786 1.1915 1 5
ETI3 327 3.0245 1.2699 1 5
(source: Field Survey 2018)
Table 3. Descriptive statistics and correlation of career growth
opportunities and turnover intention
M SD 1 2 3
1. CGP 3.652 1.231 0.489 (***)
2. PAD 3.536 1.319 0.809 (***) 0.564 (***)
3. PS 3.975 1.128 0.557 (***) 0.432 (***) 0.614 (***)
4. RG 3.745 1.012 0.463 (***) 0.410 (***) 0.449 (***)
5. ETI 3.042 1.196 -0.493 (***) -0.512 (***) -0.326 (***)
4 5
1. CGP
2. PAD
3. PS
4. RG 0.557 (***)
5. ETI -0.338 (***) -0.520 (***)
(source: Field Survey 2018)
Note: (*) p < .05. (**) p < .01. (***) p < .001.
Table 4. Maximum likelihood estimates
Original Model Modified Model
Structural path Unstandardised Standardised Unstandardised
CGP[right arrow]ETI
-0.3738 -0.4244 -0.4078
PAD[right arrow]ETI -0.2637 -0.2898 -0.2863
PS[right arrow]ETI -0.2815 -0.3192 -0.3136
RG[right arrow]ETI -0.2187 -0.2554 -0.2473
Measurement
ETI1 1.0000 0.6804 1.0000
ETI2 0.9514 0.6246 0.9146
ETI3 1.5125 0.9083 1.4066
CGP1 1.0000 0.8318 1.0000
CGP2 1.0486 0.8152 0.8945
CGP3 1.0238 0.8024 0.9004
CGP4 1.0167 0.8063 1.0052
PAD1 1.0000 0.8895 1.0000
PAD2 1.3655 0.8491 0.8957
PAD3 1.3174 0.8688 0.9012
PAD4 1.1413 0.6990 1.0256
PS1 1.0000 0.7138 1.0000
PS2 1.1649 0.8975 1.0784
PS3 1.2101 0.7025 1.2715
PS4 1.1091 0.6626 1.2911
RG1 1.0000 0.7608 1.0000
RG2 1.0734 0.6938 0.8071
RG3 1.0803 0.7222 0.8187
Structural path Standardised
CGP[right arrow]ETI
-0.4452
PAD[right arrow]ETI -0.2977
PS[right arrow]ETI -0.3532
RG[right arrow]ETI -0.2572
Measurement
ETI1 0.6989
ETI2 0.6215
ETI3 0.8527
CGP1 0.8364
CGP2 0.7354
CGP3 0.7163
CGP4 0.8245
PAD1 0.7118
PAD2 0.7283
PAD3 0.6952
PAD4 0.7377
PS1 0.6765
PS2 0.7675
PS3 0.8486
PS4 0.8054
RG1 0.7046
RG2 0.7162
RG3 0.7118
(source: Field Survey 2018)
Table 5. Goodness of fit indices
Model Chi-Square RMSEA P-Close CFI TLI SRMR CD
Initial Model 260.612 0.101 0.001 0.891 0.880 0.072 0.801
Modified 104.928 0.047 0.118 0.986 0.965 0.030 0.919
Model
(source: Field Survey 2018)
Please Note: Illustration(s) are not available due to copyright
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