Employee Turnover in the Fast Food Restaurants: Investigating the Role of Human Resource Management Practices

Fayez Bassam Shriedeh

Abstract


High Turnover (TO) rate among Fast Food Industry (FFI) employees is a critical issue faced by the Jordanian hospitality industry and be detrimental to the growth of the industry. Following that, is important to analyse the factors that lead to high TO rate among FFI employees. This study aims to examine the effect of Human Resource Management Practices (HRMP) and Intention to Leave (ITL) among FFI employees in Jordan. Five HRMP have been included in this study namely training, reward, benefit, performance appraisal and staffing. Using a sample of 245 FFI front-line employees working in Amman, this study has employed a quantitative research approach to answer the research questions. Multiple regression analyses using SPSS was performed to test the hypotheses of this study. As expected, HRMP namely, reward and benefit dimensions of HRMP found to be most significant practices in influencing ITL in this study. The findings of this study contribute to existing literature on the management of Human Resource (HR) and employee TO. It provides insights on the relationships between HRMP and ITL. Practical implications are also provided to managers to reduce TO among FFI employees in Jordan.


Full Text:

PDF

References


Abeysekera, R. (2007). The impact of human resource management practices on marketing executive turnover of leasing companies in Sri Lanka. Contemporary Management Research, 3(3).

Abubakar, R., Chauhan, A., & Kura, K. M. (2014). Relationship between perceived organizational politics, organizational trust, human resource management practices and turnover intention among Nigerian nurses. Human Resource Management Practices and Turnover Intention among Nigerian Nurses (May 14, 2014).

Al Momani, M. (2017, November 26). Improving Nurse Retention in Jordanian Public Hospitals. Retrieved September 24, 2019, from Medscape website: https://www.medscape.com/viewarticle/584052_2

Aladwan, K., Bhanugopan, R., & Fish, A. (2014). Managing human resources in Jordanian organizations: challenges and prospects. International Journal of Islamic and Middle Eastern Finance and Management, 7(1), 126-138. https://doi.org/10.1108/imefm-09-2013-0104

Alfes, K., Shantz, A. D., Truss, C., & Soane, E. C. (2013). The link between perceived human resource management practices, engagement and employee behaviour: A moderated mediation model. International Journal of Human Resource Management, 24(2), 330-351. https://doi.org/10.1080/09585192.2012.679950

Allen, D. G., Hancock, J. I., & Vardaman, J. M. (2014). Analytical mindsets in turnover research. Journal of Organizational Behavior, 35(S1), S61-S86.

Allen, T. (2017). Effects of human resource factors on employee retention in the quick service industry. 1–51. Retrieved from https://digitalcommons.northgeorgia.edu/honors_theses

Almalki, M. J., FitzGerald, G., & Clark, M. (2012). The relationship between quality of work life and turnover intention of primary health care nurses in Saudi Arabia. BMC health services research, 12(1), 314.

Awang, Z. (2012). Research methodology and data analysis. Shah Alam: Penerbit Universiti Teknologi MARA Press.

Awang, Z. (2015). SEM made simple: A gentle approach to learning structural equation modeling. Selangor: MPWS Rich Resources.

Baru, P. A., Ali, S., Amin, S. M., & Hamid, R. A. (2016). A Review on Relationship between Reward and Turnover Intention. Journal of Advanced Review on Scientific Research ISSN, 19(online1), 2289-7887. Retrieved from http://www.akademiabaru.com/doc/ARSRV19_N1_P1_16.pdf

Blomme, R. J., Van Rheede, A., & Tromp, D. M. (2010). The use of the psychological contract to explain turnover intentions in the hospitality industry: a research study on the impact of gender on the turnover intentions of highly educated employees. The International Journal of Human Resource Management, 21(1), 144-162.

Bowling, N. A., & Hammond, G. D. (2008). A meta-analytic examination of the construct validity of the Michigan Organizational Assessment Questionnaire Job Satisfaction Subscale. Journal of Vocational Behavior, 73(1), 63-77.

Cesário, F., & Magalhães, S. (2017). Human resources management, citizenship behavior, and turnover intention in the Portuguese public administration. International Journal of Public Administration, 40(11), 979-988.

Chang, P. L., Chou, Y. C., & Cheng, F. C. (2007). Career needs, career development programmes, organizational commitment and turnover intention of nurses in Taiwan. Journal of Nursing Management, 15(8), 801-810.

Chen, M. F., & Tung, P. J. (2014). Developing an extended theory of planned behavior model to predict consumers’ intention to visit green hotels. International journal of hospitality management, 36, 221-230.

Choi, J., Boyle, D. K., & Dunton, N. (2014). A standardized measure: NDNQI nursing care hours indicator. Western Journal of Nursing Research, 36(1), 105-116

Davis, O. (2018). Strategies for Low Employee Turnover in the Hotel Industry labourshortagehosp... Solution: Minimum-M... Solution: Rewards, i... Solution: WBL. Retrieved from https://scholarworks.waldenu.edu/dissertations/5069/

Deery, M., (2008) Talent Management, Work-Life Balance and Retention Strategies. International Journal of Contemporary Hospitality Management, 20, 792-806. http://dx.doi.org/10.1108/09596110810897619

Derindag, O. F., & Canakci, M. (2019). Strategic Human Resources Management in Innovative Firms. Anadolu Akademi Sosyal Bilimler Dergisi, 1(1), 52–77. Retrieved from https://dergipark.org.tr/anadoluakademi/issue/42510/508395

Derycke, H., Vlerick, P., Burnay, N., Decleire, C., D'Hoore, W., Hasselhorn, H. M., & Braeckman, L. (2010). Impact of the effort–reward imbalance model on intent to leave among Belgian health care workers: A prospective study. Journal of Occupational and Organizational Psychology, 83(4), 879-893.

Edgar, F., & Geare, A. (2005). HRM practice and employee attitudes: different measures–different results. Personnel review, 34(5), 534-549.

Ferreira, A. I., Martinez, L. F., Lamelas, J. P., & Rodrigues, R. I. (2017). Mediation of job embeddedness and satisfaction in the relationship between task characteristics and turnover: A multilevel study in Portuguese hotels. International Journal of Contemporary Hospitality Management, 29, 248–267. doi: 10.1108/IJCHM-03-2015-0126

Feuerhahn, N., Kühnel, J., & Kudielka, B. M. (2012). Interaction effects of effort–reward imbalance and overcommitment on emotional exhaustion and job performance. International Journal of Stress Management, 19(2), 105.

Food & Beverage Magazine. (2019, March 4). Global Fast Food Market set for Explosive Growth, to Reach USD 645 billion by 2020 - Food & Beverage Magazine. Retrieved September 22, 2019, from Food & Beverage Magazine website: https://www.fb101.com/2019/03/global-fast-food-market-set-for-explosive-growth-to-reach-usd-645-billion-by-2020/

Haider, S., Ahmed, M., & Ali Asadullah, M. (2019). Effect of Relational Coordination on Employee Turnover Intentions through Job Satisfaction: The use of Structural Equation Modeling and Monte Carlo Simulation. ESIC MARKET Economic and Business Journal, 50(1), 19–42. https://doi.org/10.7200/esicm.162.0501.1i

Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate data analysis (7th ed.). Upper Saddle River, NJ: Pearson Prentice Education

Halawi, A. H. (2014). Stimuli and effect of the intention to leave the organization. European Scientific Journal, ESJ, 10(10), 184-197.

Hashim, S., Ghazali, H., Mohamad, S. F., Rasdi, R. M., & Othman, M. (2019). The Effect of Distress and Social Support on Workplace Incivility and Turnover Intention among Malaysian Casual Dining Restaurant Employees: A Proposed Framework. International Journal of Academic Research in Business and Social Sciences, 9(6), 774-783. https://doi.org/10.6007/IJARBSS/v9-i6/6071

Holbrook Jr, R. L., & Chappell, D. (2019). Sweet Rewards: An Exercise to Demonstrate Process Theories of Motivation. Management Teaching Review, 4(1), 49-62.

Holston Okae, B. (2018). The Effect of Employee Turnover in the Hospitality Industry: Quantitative Correlational Study. International Journal of Learning and Development, 8(1), 156. https://doi.org/10.5296/ijld.v8i1.12513

Holtom, B. C., Mitchell, T. R., Lee, T. W., & Eberly, M. B. (2008). 5 Turnover and Retention Research: A Glance at the Past, a Closer Review of the Present, and a Venture into the Future. Academy of Management annals, 2(1), 231-274.

Hur, A., & Achen, C. H. (2013). Coding voter turnout responses in the Current Population Survey. Public Opinion Quarterly, 77(4), 985-993.

Ikechukwu, O. C. (2017). The relationship between human resource management practices and intention to leave: The mediating role of job satisfaction. Unpublished thesis. Sintok, Universiti Utara Malaysia

Ikhlas, A., & Al-kilani, M. H. (2010). Human resource management and diversity. The Dynamics of Managing Diversity: A Critical Approach: Third Edition, (January), 225–247. https://doi.org/10.4324/9780080966175

Iqbal, S., Ehsan, S., Rizwan, M., & Noreen, M. (2014). The impact of organizational commitment, job satisfaction, job stress and leadership support on turnover intention in educational institutes. International Journal of Human Resource Studies, 4(2), 181.

Jaffari, A. R., Aziz, J., Hussain, Z., & Akhtar, N. (2011). Prime and sub-prime factors of employee voluntary turnover in boom phase of industry: Empirical evidence from banking sector of Pakistan. African Journal of Business Management, 5(15), 6408–6414. https://doi.org/10.5897/AJBM10.1556

Jansen, P. G., & Roodt, G. (2014). Conceptualising and measuring work identity. New York: Springer.

Jekanowski, M., Binkley, J. K., & Eales, J. (2001). Convenience, accessibility, and the demand for fast food. Journal of Agricultural and Resource Economics, 26(1), 58-74.

Jeswani, S., & Jaiswal, S. (2014). Impact of Organizational Commitment on Turnover Intention: An Empirical Study on Faculty Members of Technical Education Institutes of India. Asian Journal of Management, 5(2), 211-217.

Jha, S. (2009). Determinants of employee turnover intentions: A review. Management Today, 9(2).

Jordanlens. (2016). Restaurants Upgrade | USAID LENS. Retrieved September 22, 2019, from Jordanlens.org website: https://jordanlens.org/activity/restaurants-upgrade

Karavardar, G. (2013). Determining the mediating effect of job satisfaction on turnover intention: A study in the hazelnut industry of Giresun. Journal of Academic Research in Economics (JARE), (3), 376-396.

Khawaldeh, K., Muala, A. M. Al, & Ziadat, M. T. AL. (2014). Antecedents and Mediator of Turnover Intention amongst Employees in Private Communications Sector in Jordan: A Structural Equation Modeling (SEM) Approach. Journal of Management and Sustainability, 4(3), 135–144. https://doi.org/10.5539/jms.v4n3p135

Kinicki, A. J., Carson, K. P., & Bohlander, G. W. (1992). Relationship between an organization's actual human resource efforts and employee attitudes. Group & Organization Management, 17(2), 135-152.

Kumar, R., Ramendran, C., & Yacob, P. (2012). A Study on Turnover Intention in Fast Food Industry: Employees’ Fit to the Organizational Culture and the Important of their Commitment. International Journal of Academic Research in Business and Social Sciences, 2(5), 2222–6990.

Long, C. S., & Perumal, P. (2014). Examining the impact of human resource management practices on employees’ turnover intention. International Journal of Business and Society, 15(1), 111–126.

Maltarich, M. A., Reilly, G., & DeRose, C. (2019). A theoretical assessment of dismissal rates and unit performance, with empirical evidence. Journal of Applied Psychology. Advance online publication. http://dx.doi.org/10.1037/apl0000448

March, J. G., & Simon, H. A. (1958). Organizations. New York: John Wiley.

Mburu, M. W. (2018). Factors Influencing Employee Turnover in the Hospitality Industry in Kenya: A Case Study of Hill Park Hotel (Doctoral dissertation, United States International University-Africa).

Memon, M. A., Salleh, R., Harun, H., Rashid, R. A., & Bakar, Z. A. (2014). Training, engagement, social exchange ideology and employee turnover: A proposed moderated mediation conceptual framework. Australian Journal of Basic & Applied Sciences, 8(5), 151-156.

Meyer, J. P., & Smith, C. A. (2000). HRM practices and organizational commitment: Test of a mediation model. Canadian Journal of Administrative Sciences/Revue canadienne des sciences de l'administration, 17(4), 319-331.

Mvula, R. T. (2018). Empirical study of the reverse-causality between organisational performance and employee behaviour in the agricultural manufacturing sector of Malawi. University of the Witwatersrand., 10(2), 1–15.

Obeidat, O. (2014, September 11). Restaurants of all types and shapes ‘good business’, thanks to change in lifestyles, refugee influx. Retrieved September 22, 2019, from Jordan Times website: http://www.jordantimes.com/news/local/restaurants-all-types-and-shapes-good-business%E2%80%99-thanks-change-lifestyles-refugee-influx

Omar, S., & Noordin, F. (2013). Career Adaptability and Intention to Leave among ICT Professionals: An Exploratory Study. Turkish Online Journal of Educational Technology-TOJET, 12(4), 11-18.

Omar, S., & Noordin, F. (2015). Work Happiness and Intention to Leave of ICT Professionals in Malaysia: An Exploratory Study. In Proceedings of the Colloquiumon Administrative Science and Technology (pp. 69-77). Springer Singapore.

Omar, S., & Noordin, F. (2016). Career Commitment and Intention to Leave Among ICT Professionals in Malaysia. In Proceedings of the 1st AAGBS International Conference on Business Management 2014 (AiCoBM 2014) (pp. 309-318). Springer Singapore.

Pei, C. L., & Chee, L. W. (2019). The impacts of work-life balance and self-efficacy on job satisfaction among fast food industry workers in Ipoh, Perak. Unpublished thesis. Universiti Tunku Abdul Rahman. Negeri Perak, Malaysia

Phillips, J. (1996). Accountability in human resource management. Houston, USA: Gulf Publishing

Tews, M. J., Michel, J. W., & Ellingson, J. E. (2013). The Impact of Coworker Support on Employee Turnover in the Hospitality Industry. Group and Organization Management, 38(5), 630–653. https://doi.org/10.1177/1059601113503039

Türkmen, E., & Taşpınar, O. (2019). The Effects of Job Satisfaction of Employees in Fast-Food Businesses on the Intention to Leave Job: The Case of Kırklareli. Journal of Tourism and Gastronomy Studies, 7(2), 885–897. https://doi.org/10.21325/jotags.2019.397

Prouska, R., Prouska, R., Psychogios, A. G., Psychogios, A. G., Rexhepi, Y., & Rexhepi, Y. (2016). Rewarding employees in turbulent economies for improved organisational performance: Exploring SMEs in the South-Eastern European region. Personnel Review, 45(6), 1259-1280.

Reid, C. (2007). Encyclopedia of Business and Finance (2nd edition). Reference Reviews, 21(5), p28. https://doi.org/10.1108/09504120710755518

Saraih, U., Aris, Z., Zuraini, A., Sakdan, M. F., & Ahmad, R. (2016). Factors affecting turnover intention among academician in the Malaysian Higher Educational Institution. Review of Integrative Business and Economics Research, 6(1), 1-15.

Sawaneh, I. A., & Kamara, F. K. (2019). An Effective Employee Retention Policies as a Way to Boost Organizational Performance. Journal of Human Resource Management, 7(2), 41-48.

Self, T. T., & Gordon, S. (2019). The impact of coworker support and organizational embeddedness on turnover intention among restaurant employees. Journal of Human Resources in Hospitality & Tourism, 18(3), 394–423. https://doi.org/10.1080/15332845.2019.1599789

Soane, E. (2013). Leadership and employee engagement. Employee Engagement in Theory and Practice, Routledge, London, 149-162.

Stewart, G. L., & Brown, K. G. (2019). Human resource management. Wiley.

Straits Research. (2019). Fast Food Market: Information by Type (Burgers, Pizzas, Chinese Food), Distribution Platform (Quick Service Restaurants, Food Delivery Services) and Regional Outlook—Forecast Till 2026. Retrieved September 22, 2019, from Straitsresearch.com website: https://straitsresearch.com/report/fast-food-market

Sun, Z. F., Wei, J., & Lu, H. Z. (2010, December). Turnover of airlines employees: Examining empirically the influence of work life-benefits. In Information Science and Engineering (ICISE), 2010 2nd International Conference on (pp. 834-837). IEEE.

Tuji, A. (2013). An Assessment of the Causes of Employee Turnover in Oromia Public Service Organizations (Doctoral dissertation, Thesis. 90).

Wayne, S. J., Shore, L. M., & Liden, R. C. (1997). Perceived organizational support and leader-member exchange: A social exchange perspective. Academy of Management Journal, 40(1), 82–111. https://doi.org/10.2307/257021

Xiao, A., Yang, S., & Iqbal, Q. (2018). Factors Affecting Purchase Intentions in Generation Y: An Empirical Evidence from Fast Food Industry in Malaysia. Administrative Sciences, 9(1), 4. https://doi.org/10.3390/admsci9010004

Yamona T, M. (2014). A study on employee's turnover intention in banking industry (Doctoral dissertation, Universiti Utara Malaysia).

Yumusak, & Yildiz, H. (2011). Mediating Role of Affective Commitment in HRM Practices and Turnover Intention Relationship: A Study in a Developing Context. Business and Economics Research Journal, 2(4), 135–158.

Zimmerman, R. D., & Darnold, T. C. (2009). The impact of job performance on employee turnover intentions and the voluntary turnover process: A meta-analysis and path model. Personnel review, 38(2), 142-158.

Zion Market Research. (2019, July 12). Global Industry Trends in Fast Food Market Size & Share Will Surpass USD 690.80 Billion by 2022. Retrieved from GlobeNewswire News Room website: https://www.globenewswire.com/news-release/2019/07/12/1882007/0/en/Global-Industry-Trends-in-Fast-Food-Market-Size-Share-Will-Surpass-USD-690-80-Billion-by-2022.html




DOI: https://doi.org/10.5296/ijhrs.v9i4.15559

To make sure that you can receive messages from us, please add the 'macrothink.org' domain to your e-mail 'safe list'. If you do not receive e-mail in your 'inbox', check your 'bulk mail' or 'junk mail' folders.

Copyright © Macrothink Institute   ISSN 2162-3058

'Macrothink Institute' is a trademark of Macrothink Institute, Inc.