The effect of human resource practices on employee retention in food manufacturing industry in the Philippines: The moderating role of the work environment

Abstract

This study investigates the effect of human resource practices on employee retention in food manufacturers in the Philippines and whether the work environment moderates this relationship. The human resource practices examined are training and development, employee participation in decision-making, compensation, job security, and performance appraisal. The theoretical framework for this research is based on the Social Exchange Theory. The study uses a quantitative research design and collects data through online and offline survey from employees working in food manufacturing companies. A sample of 206 employees was used for data analysis through JAMOVI software. The findings reveal that employee participation in decision-making, compensation, job security, and performance appraisal positively influences employee retention, but training and development don't influence employee retention. Additionally, the work environment moderates the relationship between human resource management practices except training and development, and employee retention.These findings suggest that organizations need to create a conducive work environment to maximize the benefits of human resource management practices and retain employees in the food manufacturing industry in the Philippines.