Abstract:
This study examines the recruitment and retention challenges faced by the apparel industry in Sri Lanka,
focusing on a selected apparel company as a case study. Expansion of the service sector due to technological
advancement and flexibility in working conditions poses challenges to the traditional apparel industry in finding
skilled employees. The study uses Herzberg’s Two-Factor theory to investigate how motivation and hygiene
factors on job satisfaction, flexibility, and work-life balance and also it examines how technological advancement
and employee trends contribute to recruitment and retention. The qualitative methodology incorporates a case
study with interviews and secondary data analysis to provide an understanding of recruitment and retention
challenges. The main finding reveals that the apparel industry faces significant recruitment and retention
challenges due to a mismatch between employee expectations, particularly among younger workers, and the
traditional work environment offered by the manufacturing sectors. While flexibility, digital engagement, and
career development opportunities are prioritized by younger employees, the apparel industry’s on-site work
requirements and limited flexibility act as deterrents. Consequently, the industry struggles to attract and retain
talent, especially as the service sector and tech-based roles offer more appealing work conditions. Addressing
these gaps in flexibility and career growth opportunities could enhance job satisfaction and employee retention in
the apparel sector.
