The Impact of Perceived Cultural Fit and CSR Capability on Employee Attachment: Mediating Role of Employees’ Perception of CSR in the Ethiopian Tannery Industry

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2024-06-02

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A.A.U

Abstract

This study examines the impact of perceived cultural fit with CSR activities and perceived CSR capability on employee attachment within the Ethiopian tannery industry, focusing on the mediating role of employees’ perception of CSR activities. The research used a quantitative research approach and data were collected from employees in five tannery industries through structured questionnaires and analyzed using SPSS 27.0. The sample size of 333 was proportionally allocated to each tannery based on their employee count relative to the total population of 2000 employees, ensuring a representative sample through simple random sampling. The analysis involved multiple regression analysis following Baron and Kenny's fourstep approach to determine the direct and indirect effects of the independent variables on employee attachment. Results indicate that perceived cultural fit and CSR capability significantly influence employee perceptions of CSR activities, which in turn positively affect employee attachment. However, the hypothesized mediating role of employees’ perception of CSR activities did not hold when controlling for other variables. The findings underscore the importance of aligning organizational culture with CSR initiatives and enhancing CSR capabilities to enhance employee attachment in Ethiopian tanneries. These insights contribute to understanding CSR's impact on employee attachment in developing economy contexts and offer practical implications for organizational strategies.

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