This chapter presented the data analysis, and gave a comprehensive overview of the research results. In addition, it included relevant discussions of the research findings. First and foremost, descriptive statistical analyses were used to describe the demographic characteristics of the study group. This was preceded by a one-way analysis of variance (ANOVA) analysis in order to test whether there were differences of scores for turnover intention among the different demographic groups. Then the Pearson correlation coefficient analysis was adopted to explore the relationship between the independent and dependent variables in the study. In additional, linear and multiple regressions analysis was used to test how the dependent variable - turnover intention has been influenced by the independent variables. Finally, hierarchical regression was selected to examine the mediating role of job satisfaction on the relationship between organizational culture, compensation and turnover intention. These approaches helped to shed light on the phenomenon under study in The Gambia service industry.
Descriptive Statistics Analysis
General Characteristics of the Sample
Six items of demographic information comprising gender, age, marital status, level of education, length of service and position were surveyed. The aim was to obtain additional information with regards to individuals as well as group tendencies in connection to turnover intention. The details are shown in Table 4.1
Of the total number of individuals who participated in the study, 41 percent were female. With regards to their age distribution, 53% of the respondents aged 29 and below. While the bulk of the respondents (66%) were single, the remaining 34% were married. For their education level, more than half of the respondents (56%) held a college certificate and the remaining 44% held various college degrees. With regards to respondent’s levels in the organization, 38% of them are in the junior category while the bulk was in the management cadre (62%). Finally, pertaining to the number of years respondents served in the organizations, the majority of the respondents served a period of 1 to 3 years (35%) while only 19% served a period above 5 years.
42 Table 4.1.
Demographics Characteristics of the Study Sample (N=152)
Demographics N %
Gender Female 63 41
Male 89 59
Age 29 & below 81 53
30 & above 71 47
Marital Status Single 101 66
Married 51 34
Education College certificate 85 56
College Degree 67 44
Position Junior staff 58 38
Management role 94 62
Length of Service 1 year & below 24 16
1 year - 3 years 54 35
3 years - 5 years 45 30
Above 5 years 29 19
Score Differences among the Demographic Groups
In the analysis using the one - way ANOVA, the principal objective was to test whether there were any differences in scores among the selected demographic items with particular reference to turnover intention. The results despite certain assertions in previous studies indicated that all our six surveyed demographic variables namely; gender, age, marital status, education, length of service as well as position of respondents had no significant influence on turnover intention. The results are displayed below on Table 4.2. Despite numerous assumptions the study indicated that they are in no way determinants of individual as well as groups turnover intention. This partially re-echoes the findings of Kirschenbaum and Weisberg (2002) who found gender, marital status
43
as well as length of service to be among factors that do not precipitate employee turnover in a study conducted in Israel.
However, further descriptive statistics showed indications that the college certificate holders had a higher turnover intention (x = 4.412) in comparison with their colleagues with a college degree (x = 4.250). It also showed junior staffs have a higher turnover intention (x = 4.535) tendency in comparison to those in management capacities (x = 4.192). This may be attributed to the fact that the remuneration for the junior category is lower and most might leave to pursue higher education or seek other employers that pay better. There are also indications in the results that tend to support the findings of Grobler et al., (2006) to some degree that younger employees with little or no seniority and not quite happy with aspects of their jobs having the greatest probability to quit.
This study does not find enough support for the empirical studies that stated though loosely that turnover is associated in particular situations with demographic and biographical characteristics of employees. However, it must be stated that a pattern is observed to be developing and that with an increase sample size some interesting findings could appear.
44 Table 4.2.
One - way ANOVA Analysis of Sample on Turnover Intention
Variable M SD Scheffé F - Value Sig.
Gender
Male1 4.405 1.543 0.655 0.420
Female2 4.206 1.405
Age
29 & below1 4.296 1.504 0.053 0.818
30 & above2 4.352 1.485 Marital Status
Single1 4.364 1.460 0.838 0.435
Married2 4.294 1.540 Education
College Certificate1 4.412 1.450 0.697 0.405
College Degree2 4.209 1.533 Length of Service
1 yr. & below1 4.250 1.391
> 1 yr.- 3 yrs.2 4.167 1.575
> 3yrs. - 5 yrs.3 4.733 1.421 1.754 0.159
> 5 yrs.4 4.035 1.426 Position
Junior Staff1 4.535 1.454 1.924 0.167
Management Role2 4.192 1.498
* p < 0.05, ** p < 0.01
Relationship between Variables
In order to ascertain the relationship amongst and between variables, the Pearson correlation coefficient model was run to examine the inter-correlation of the variables. The model measured the degree of association between two variables and gave an indication of how good was the relationship or association. This implied that we are interested to find if one predicts the other. A positive value for the correlation implies a positive association while a negative value implies a
45
negative or inverse association. The correlation values (effect sizes) were interpreted according to Cohen’s (1988) guidelines.
Relationship among Organizational Culture, Compensation and Turnover Intention
As showed in Table 4.3 all the three pairs of variables were significantly correlated and the assumption of linearity was not markedly violated. The strongest correlation which also happened to be negative would be considered a very large effect size and was between compensation and turnover intention (r = - 0.82; p < 0.01). This means employees in the service industry who are poorly compensated have a stronger turnover intention while those properly compensated have a lower turnover intention. This goes to indicate a strong inverse relationship between compensation and turnover intention. A much closer look at the descriptive statistics shows a mean of 2.83 for compensation which strongly corresponds to dissatisfaction with the compensation package among the workforce. Similarly, organizational culture was negatively correlated to turnover intention (r = - 0.27; p < 0.01). The relationship was equally statistically significant. This indicates another source of turnover intention in the industry. The result implies an unpopular or bad organizational culture among the workforce results to turnover intention while an acceptable or favorable organizational culture potentially leads to lower turnover intention. Lastly, organizational culture showed a weak positive correlation with compensation (r
= 0.34; p < 0.01) which according to Cohen could best be described as a medium effect size.
Based on these results, there is indication that our first hypothesis (H1) which stated that there is a positive relationship among organizational culture, compensation and turnover intention is not fully supported but partially.
46 Table 4.3.
Summary of Correlation between Organizational Culture, Compensation and Turnover Intention
Variables M SD 1 2 3
1.Organizational Culture Pearson Correlation 3.20 0.54
2.Compensation Pearson Correlation 2.83 0.51 0.34**
3.Turnover Intention Pearson Correlation 2.16 0.75 - 0.27** -0.82**
*p < 0 .05 **p < 0.01
Relationship of Organizational Culture and Compensation with Job Satisfaction
Since all preliminary indications showed all the three variables under review have close effect and also appeared to be normally distributed, Pearson correlation was again chosen to examine the inter-correlation of the variables. Table 4.4 showed all the three pairs of our variables organizational culture, compensation and job satisfaction were statistically significantly correlated. Job satisfaction was positively correlated with organizational culture (r = 0.43; p <
0.01) and compensation (r = 0.47; p < 0.01). In comparison of the three pairs shown, the correlation of job satisfaction with either organizational culture or compensation was slightly higher than the correlation of compensation and organization culture (r = 0.34; p < 0.01). These results supported the second hypothesis (H2) that hypothesized that organizational culture and compensation are positively correlated to job satisfaction.
47 Table 4.4.
Summary of Correlation between Organizational Culture, Compensation and Job Satisfaction
Variables M SD 1 2 3
1.Organizational Culture Pearson Correlation 3.20 0.54
2.Compensation Pearson Correlation 2.83 0.51 0.34**
3.Job satisfaction Pearson Correlation 3.57 0.38 0.43** 0.47**
*p < 0.05 **p < 0.01
Descriptive Statistics and Correlation of Job Satisfaction and Turnover Intention
In this section, the intention was to ascertain the relationship between job satisfaction and turnover intention using the Pearson correlation model. The results as shown in Table 4.5 below indicated that the relationship of job satisfaction with turnover intention was statistically significant and was as well negative (r = - 0.54, p < 0.01). In additional, it showed that the mean of job satisfaction among the workforce is 3.57 which correspond to the state wherein they are not contented with their job and not certain of what the future holds for them. The implications here are interesting as this implies that job satisfaction and turnover intention are inversely related. This means a lack of job satisfaction has potentials to lead to turnover intention and vice versa. This result goes to support our hypothesis (H3) which hypothesized that job satisfaction was negatively correlated to turnover intention.
48 Table 4.5.
Summary of Correlation between Job Satisfaction and Turnover Intention
Variables M SD 1 2
1. Job Satisfaction Pearson Correlation 3.57 0.38
2.Turnover Intention Pearson Correlation 2.16 0.75 - 0.54**
*p < 0.05 **p < 0.01
Influence between and among Variables
Upon running the Pearson correlation coefficient to assess the relationship among the variables, we then became interested to investigate the degree of influence the independent variables had on the dependent variable. Against this backdrop, linear, multiple as well as hierarchical regression models were chosen to test if the dependent variable was influenced by the independent variables. This process gave an accurate indication of the percentage of variance in turnover intention explained by the independent variables. Therefore, a combination of the previous correlation model results and the regression model helped gave a better explanation on the existing association between and among the variables.
Influence of Organizational Culture and Compensation on Turnover Intention
In this section, organizational culture and compensation were entered as the independent variables while turnover intention served as the dependent variable on the multiple regression models. The results as showed in Table 4.6 revealed that organizational culture and compensation have statistically significant influence (F = 154.48; p < 0.001) on the turnover intention of the employees in the Gambia service industry. The analysis gave R2 as 0.675. This indicated that 67.5% of the variance in turnover intention could be explained by organizational culture and compensation of the workforce. The beta coefficients and other essential information are presented in the table below. It is clear from the significant values that organizational culture and compensation are accurate predicators of turnover intention.
49 Table 4.6.
Simultaneous Multiple Regression Analysis Summary of Organizational Culture, Compensation and Turnover Intention (N =152)
Influence of Organizational Culture and Compensation on Job Satisfaction
Simultaneous multiple regression was conducted to investigate the best predicators of turnover intention on the above variables. The independent variables were compensation and organizational culture and the dependent variable was job satisfaction. As shown in Table 4.7 the results were statistically significant (F = 31.44; p < 0.001) and there existed a strong association.
Note that organizational culture and compensation significantly predict job satisfaction when both variables are included. The R2 value as well was 0.297 and this implied that 29.7% of the variance in job satisfaction is explained by organizational culture and compensation. This goes to show that the hypothesis (H2) which hypothesized that organizational culture and compensation are positively correlated to job satisfaction is a fact to go by as there existed evidence. More information on this analysis as well as the beta coefficients are presented below. It also gave a significant indication that organizational culture and compensation are good predicators of the workforce’s job satisfaction.
50 Table 4.7.
Simultaneous Multiple Regression Analysis Summary of Organizational Culture, Compensation and Job Satisfaction (N =152)
Simple linear regression was conducted to investigate how well job satisfaction in employees could predict turnover intention. In the event, job satisfaction was entered as the independent variable while turnover intention served as the dependent variable on the regression model. The results were statistically significant (F = 60.195; p < 0.001) as shown below in Table 4.8. The bivariate regression (R = - 0.535) showed job satisfaction had a strong influence on turnover intention. The R2 value was 0.286 and indicated that 28.6% of the variance in turnover intention is explained by job satisfaction. The beta coefficients are also presented in Table 4.8. It also showed that job satisfaction is a significant predicator of employee turnover intention in the service industry. Consequently, our hypothesis (H3) which hypothesized that job satisfaction is negatively correlated to turnover intention was supported as a strong positive influence is showed in the analysis.
51 Table 4.8.
Linear Regression Analysis Summary of Job Satisfaction and Turnover Intention (N =152)
Variable Unstandardized Coefficients β t Sig.
Influence of the Mediating Roles of Job Satisfaction on Organizational Culture, Compensation and Turnover Intention
In analyzing the above association to ascertain an influence of the mediating role of job satisfaction, hierarchical multiple regression was adopted and the analysis was done in three separate stages. In the first model, organizational culture and compensation were entered as the independent variables and turnover intention served as the dependent variable. We had 0.675 for R2 in our first model indicating 67.5% of the variance in turnover intention could be explained by organizational culture and compensation. In the second model turnover intention continued to serve as our dependent variable while only job satisfaction was entered as our independent variable. The R2 dropped to 0.282 implying that 28.2% of the variance in turnover could now be explained by job satisfaction which was a significant change. In our final model organizational culture, compensation and job satisfaction served as our independent variables. Our R2 rose to 0.709. This became an evident that 70.9% of the variance in turnover intention could be explained by organizational culture, compensation and job satisfaction. The results of these analyses are shown on Table 4.9 below.
In conclusion therefore, despite the evident in our second model that job satisfaction had the ability to mediate the effect of organizational culture and compensation in relation to turnover intention, it has not in particular helped to completely cushion or mediate the effects of compensation. This is why our R2 rose from 0.282 in Model 2 to 0.709 in our final Model.
52
Therefore, our hypothesis (H4) which hypothesized that job satisfaction will mediate the relationship between organizational culture, compensation and turnover intention is partially supported.
Table 4.9.
Simultaneous Hierarchical Regression Analysis Summary on the Mediating Effect of Job Satisfaction (N=152)
Variables Model 1 Model 2 Model 3
Sig. Sig. Sig.
Organizational culture 0.850 0.130
Compensation 0.000 0.000
Job satisfaction 0.000 0.000
R 0.821 0.535 0.842
R2 0.675 0.282 0.709
Adj. R2 0.672 0.282 0.703
F Sig.
154.484 0.000
60.195 0.000
120.134 0.000 Dependent Variable: Turnover intention
Results of Hypothesis Test
The results of the hypothesis test of the study are summarized in Table 4.10. Hypothesis (H1) and hypothesis (H4) are partially accepted while hypothesis (H2) and hypotheses (H3) are accepted.
53 Table 4.10.
Summary of Hypothesis Testing Results
Hypotheses Results
H1: There is a positive relationship among organizational culture, compensation and turnover intention.
Partially accepted
H2: Organizational culture and compensation are positively correlated to job satisfaction.
Accepted
H3: Job satisfaction is negatively correlated to turnover intention. Accepted H4: Job satisfaction will mediate the relationship between organizational
culture, compensation and turnover intention.
Partially accepted
As illustrated above, from Hypothesis (H1) to Hypothesis (H4), the variables in the study are proven to have a relationship with each other. Upon conducting the various analyses, a clear pattern emerged as to the results of the study.
DISCUSSIONS
Going by the analysis of the data collected from the Gambia services industry, it is vividly clear that the compensation of the workforce is the prime factor responsible for the high employee turnover in the industry. Other significant predictors in the industry are job satisfaction and organizational culture. Surprisingly, the demographic variables despite what has been alluded to in a few studies turned out to have no significant effects on employee turnover intention. A through discussion of the results follows:
The results in Table 4.3 indicated that compensation and turnover intention shared a strong relationship. It further showed compensation and turnover intention are negatively correlated (r =
54
- 0.82; p < 0.01). The implications are if employees are poorly compensated that implies their chances of quitting would be very high. On the contrary, if they are well compensated their turnover intention was bound to be lower. No wonder Dulebohn and Werling (2007) argued whether an employee leaves or remained in an employment relationship “compensation plays the central role”, hence there is every indication from the study to suggest employees are not well vividly evident that compensation has a key role to play with regards to turnover in the Gambia service industry.
Another area of importance revealed in the study was the association between organizational culture and turnover intention. The results in Table 4.3 also showed a significant negative relationship (r = - 0.27; p < 0.01). This showed that organizational culture is also a predicator of employee turnover intention even though not on the same degree as compensation. It is important to point out that organizational culture is something essential for any organization to guide behavior and attitudes within the organization. However, its enforcement and application should not necessarily be without regard to the local customs, beliefs and traditions. This goes to indicate that an organization’s culture should not be necessarily imported and enforced but should be open to modification in order that it reflects local customs and realities. The lack of a skillful way of enforcing organizational culture could be a source of turnover. This is particularly significant in an environment or country with a strong national culture. The tendencies to look more on the organizational culture and the relegation of the national culture could be a source of acrimony and dissatisfaction to the local workforce who make up the majority in almost all organizations. As the bulk of players in the service industry in The Gambia are multinational corporations, there are tendencies for them enforcing their customs and business cultures on the locals and in some instances disregard local customs. This could have far reaching ramifications especially for those individuals whose skills are much soughed after and could pick up other employments. On the contrary, an organizational culture highly accepted by the workforce has favorable implications (Kim et al., 2005; Phillips & Connell, 2003). This study showed that the
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positive effect of organizational culture could lead to the decline of the rate of turnover intention in the industry and help foster retention. Similarly, the results of the regression analysis on Table 4.7 showed the significant of compensation and organizational culture as predictors of turnover intention. In fact, the R2 indicated that about 30% of the variance in turnover intention could be explained by organizational culture and the compensation of the workforce. However, the relationship between organizational culture and compensation is positive (r = 0.34; p < 0.01) and significant as well. Therefore, in the light of these analyses our first hypothesis which stated that there is a positive relationship amongst organizational culture, compensation and turnover intention is partially accepted.
Our second hypothesis hypothesized that organizational culture and compensation are positively related to job satisfaction. The results of our analysis showed in Table 4.4 supported this hypothesis. It revealed that organizational culture and compensation are all moderately positively correlated to job satisfaction. This implies a favorable organizational culture and a compensation package has potentials to boost the workforce’s job satisfaction level. In the same vein, our linear regression on Table 4.7 gave the R2 as 0.297, thus revealing that about 30% of the variance in job satisfaction could be explained by organizational culture and compensation which is indeed high and significant.
Our analysis in Table 4.5 gave us another significant and very useful finding. Job satisfaction is negatively correlated to turnover intention (r = - 0.54; p < 0.01). This implies that satisfied workforce have a lower turnover intention. There exists ample empirical evidence that job dissatisfaction causes turnover (Griffeth, Hom, & Gaertner, 2000; Maertz & Campion, 1998), whereas job satisfaction causes employees to be less inclined to change their job and are more
Our analysis in Table 4.5 gave us another significant and very useful finding. Job satisfaction is negatively correlated to turnover intention (r = - 0.54; p < 0.01). This implies that satisfied workforce have a lower turnover intention. There exists ample empirical evidence that job dissatisfaction causes turnover (Griffeth, Hom, & Gaertner, 2000; Maertz & Campion, 1998), whereas job satisfaction causes employees to be less inclined to change their job and are more