An Empirical Analysis of Factors Influencing Employee Retention: Evidence from Organizations in Chennai

Abstract

                Employee retention remains a significant challenge for contemporary managers and organizations. The endeavor involves proactive measures to motivate employees to remain with the organization for extended periods. Employees frequently seek better work opportunities and environments, while employers, facing fierce competition, adopt innovative approaches to retain top talent. To reduce turnover costs, organizational focus has shifted from turnover management to retention strategies. Prior research has identified critical factors contributing to retention, including the work environment, motivational initiatives, and succession planning. This study investigates the efficacy of retention strategies employed by organizations in Chennai, India, to retain their workforce. Direct input from employees was sought to identify the elements fostering commitment to their organizations. The study’s outcomes reveal strong positive correlations between employee retention and the identified independent variables supervisor support, career development, rewards and recognition, work environment, job satisfaction, and work-life balance underscoring the relevance of these strategies in the Chennai context.