The Effect of Human Resource Development Practice on Employee Retention: A Case of Ethiopian Insurance Corporation
No Thumbnail Available
Date
2018-05-26
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Addis Ababa University
Abstract
The purpose of this study was to examine the Effect of HRD on Employee Retention in
Ethiopian Insurance Corporation. The study used explanatory survey design to achieve the
stated objectives. For achieving the study objectives, out of 190 respondents 184 were
selected to gather data through stratified sampling technique using questionnaires and
interviews. Collected data analyzed through descriptive and inferential statistics using
SPSS version 20. The finding of descriptive analysis revealed that the mean score for
overall HRD program is slightly above the average mean indicating hardly implementation
of the independent variables. From the five programs of HRD, relatively, mentoring
(mean=3.18, SD=0.79) is practiced the highest and Job rotation (mean=3.44, SD=0.80)
the least practiced than the rest independent variables in the corporation. The correlation
analysis result showed that there is a significant moderate positive relationship exists
between overall and individual HRD programs and employee retention. Relatively, among
HRD programs Career development has the strongest positive relationships with employee
retention (r=0.635, p<0.01) whereas mentoring has the weakest positive relationships with
employee retention (r=484, p<0.01) in EIC. Moreover, the simple linear regression
analysis evidenced that HRD program is predictor of employee retention. It is also noted
that in multiple linear regression analysis career development, coaching and training are
found unique contributor of employee retention where as mentoring and job rotation were
statistically insignificant in predicting employee retention. The study exhibited all seven
hypothesis tests were accepted. Furthermore, on the basis of the research findings, career
development, training and coaching must be effectively implemented than mentoring and
job rotation to retain experienced insurance professionals
Description
Keywords
Human Resource Development, Employee Retention, Ethiopian Insurance Corporation