The Effect of Economic Job Satisfaction on Turnover Intention in the Hotel Industry
2017, 41(4), pp.45-62
Publisher : The Tourism Sciences Society Of Korea
Research Area : Tourism
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This research studies the effect of economic job satisfaction factors such as cash worth, compensation worth, and future worth on turnover intention. To fulfil this research goal, three research hypothesis were established: H1) According to the demographic variables of employees, the level of economic job satisfaction will be different. H2) The level of economic job satisfaction will be different depending on the job environment of the employee. H3) The economic job satisfaction of employees will affect their turnover intention. 244 questionnaires were distributed to Hotel employees in five-star hotels. The research identified a significant relationship between an employee’s economic job satisfaction and their subsequent turnover intention. Unsatisfied cash worth and unsatisfied compensation worth affected the employee’s turnover intention. This indicates that it is material rewards such as payroll or incentives that determine turnover intention rather than subjective factors. Even in situations of low job security and economic downturn, it is likely that hotel employees who do not believe they are receiving the proper compensation for their work could change jobs. For effective personnel management, hotel executives should introduce a personnel management system that is suited to each individual employee rather than a single compensation and promotion system for all hotel employees. Managers need to pay close attention to minimizing the stress that results from clashes between hotel employees and supervisors of job performance or from excessive overtime. Apart from unidirectional personnel management, it is essential that the company diversify their compensation system not just in terms of payroll but also in terms of job performance. This should be done according to the company management style and the company size. Therefore, hotels must find a measure that could prevent turnover intention by securing cash worth and compensation worth for hotel employees that can be applied to current hotels.
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