Perspective on the Influence of Leadership on Job Satisfaction and Lower Employee Turnover in the Mineral Industry

Abstract

A lower employee turnover rate depends on job satisfaction, working conditions, organizational commitment, and leadership factors. Unfortunately, the employee turnover rate is still higher in the mineral industry than in other industries in China. Although there are many research papers on employee turnover, there is little research investigating leadership factors and their influence on employee turnover. This research paper aims to explore the influence of leadership on job satisfaction and its effect on employee turnover in the mining industry. This paper evaluates those factors through the structural equation model (SEM), including a confirmatory factor analysis (CFA) and a path analysis of the model to test the hypotheses. The results of a survey with 368 respondents indicated that the influence of good leadership had positive effects on both job satisfaction and employee turnover, while fair working conditions had positive mediation effects on both leadership and job satisfaction. Organizational commitment had strong effects on employee turnover (estimate values β = 0.572, p < 0.001). However, organizational commitment was not a qualified mediator with both leadership and employee turnover (β = 0.312, p < 0.001). Consequently, the working conditions variable in the work environment was an important independent variable and also one of the key factors for job satisfaction. The higher estimate value (β = 0.541, p < 0.001) of leadership to employee turnover means that it indicated good leadership was a key factor in lowering employee turnover. The results of this study will offer the mining industry a future reference for sustainability and for the field of academic research in the future.

Employee performance analysis of Paul Bakery Restaurant in Jakarta during the COVID-19 pandemic by measuring leadership, motivation and compensation through job satisfaction

“…Thus, the first hypothesis can be accepted: Leadership has a significantly positive effect on employee satisfaction. This is in line with previous research reports (Baquero et al, 2019;Chan, 2019;Chen, 2020;Musinguzi et al, 2018;Nur, Widhi, 2019) which revealed that when group-oriented managers use an effective leadership style, it can strengthen the relationship between leaders and employees. Also, increasing the trust and participation of workers in decision making who will be able to share knowledge effectively.…”

“…Stwierdzenie to jest zgodne z wynikami wcześniejszych badań (Baquero i in., 2019;Chan, 2019;Chen, 2020;Musinguzi i in., 2018;Nur, Widhi, 2019), które wykazały, że menedżerowie zorientowani na pracowników stosują skuteczny styl przywódczy, co pomaga wzmacniać relacje między liderami a ich podwładnymi. Korzystne jest również okazywanie pracownikom większego zaufania oraz zwiększanie ich udziału w procesie podejmowania decyzji, co daje im szansę dzielenia się swoją wiedzą.…”

Upaya Meningkatkan Kepuasan Kerja Melalui Pengembangan Karir Dan Kepemimpinan Pada PT. Traglopindo Utama

“…Berdasarkan hasil analisis data menunjukkan bahwa nilai signifikan t pengaruh variabel kepemimpinan kerja terhadap kepuasan kerja thitung 2,372 > ttabel 1,992 (sig 0,00), dimana signifikan t lebih kecil dari  = 0,05. Penelitian ini sejalan dengan hasil penelitian yang dilakukan oleh (Chen, 2020) (Xiaobao, 2020) (Supriyanto, 2021)…”

Examining Effect of Green Transformational Leadership and Environmental Regulation through Emission Reduction Policy on Energy-Intensive Industry’s Employee Turnover Intention in China

“…Internal organizational or leadership behavior-related factors refer to organizational training, compensation systems, organizational culture, internal service quality, leadership behavior, and other variables that affect turnover intention [31][32][33]. For example, Zhang researched private companies' managers to explore the reasons for the sales managers turnover in private companies in Guangdong and revealed that the main reasons were job compensation and the companies' development prospects [34].…”