Abstract:
This research focuses on Employee motivation and its impact on employee retention. In addition to
explaining why employee retention is important, researcher has also explained how to retain employees through
motivational theories. In today’s competitive environment retaining the best talent has become a challenge to all
the companies. Most scholarly articles point out the reason as poor motivational practices has made employees
leave the organization. This research aimed at following objectives to achieve: To identify the factors affecting
employee retention, to identify the reasons that led Marketing staff leave, and to provide recommendations to
improve employee motivation and retention. This research targeted the Marketing staff at ABC Financial
Company. Out of 180 non-executive Marketing employees a sample of 123 employees were selected using
stratified sampling technique. Data collection methods are questionnaire and interviews. Questionnaire had a
Cronbach Alpha of 0.746 that suggest the instrument is reliable. Employee retention is dependent variable and
Employee motivation is independent variable. Rewards, career development, job security, employee recognition
are the selected independent variables for this research. Based on data gathered using questionnaire and interviews
the data was analyzed and presented. Hypotheses were tested using ANOVA test, Correlation, Regression and
found out that all four independent variables have a significant impact on employee retention.
