IMPACT OF EMPLOYEE ENGAGEMENT IN EMPLOYEE RETENTION AT A SELECTED APPAREL MANUFACTURING COMPANY IN SRI LANKA

Abstract

This study investigates the impact of employee engagement on employee retention at ABC Manufacturing Limited, focusing on key factors such as recognition, work-life balance, communication, and training and development.

A quantitative research approach was employed, utilizing a structured questionnaire distributed to 156 employees. Data were analyzed using SPSS: Pearson correlation and regression analysis to identify relationships between variables.

The findings revealed strong positive correlations between employee retention and the independent variables, with communication being the most significant factor (R = 0.893). Recognition, work life balance and training & development also showed substantial positive impacts.

The research underscores the importance of enhancing communication, recognition programs, initiatives for work life balance and training programs to improve employee retention. Organizations should prioritize these areas to foster a more engaged workforce to improve employee retention.