A Better Deal Elsewhere? : The Role of Organisational Support for Development in Retaining Employees

Abstract

Employees are increasingly concerned of managing their own career and are thus becoming less loyal. However, to stay competitive organisations need to retain their best talents. The present study examined the relationship between organisational support for development and intentions to turnover, as well as affective commitment. Previous research has indicated inconsistent results between employee development and turnover, suggesting that organisational support for development might increase or decrease intentions to turnover. In addition, studies have implied that it is required to include mediating factors to explain the relationship. The relationship between organisational support for development and intention to turnover was assumed to be mediated by employability and moderated by perceived career opportunities. Psychological contract breach and career success were tested as mediators in the relationship between organisational support for development and affective commitment. The hypotheses were investigated in a sample of 961 managerial and non-managerial employees in an engineering company in Norway. A moderated mediation model and multiple mediation model were applied to analyse the data. Results indicated that organisational support for development is essential in promoting intentions to stay and affective commitment. A partial moderated mediation of perceived career opportunities (moderator) and employability (mediator) was established. Unexpectedly, perceived career opportunities increased intentions to turnover. Career success and psychological contract breach partially mediated the relationship between organisational support for development and organisational commitment. These results contribute to enhance knowledge about how organisational support for development improve retention and should be considered an important strategy in the organisation’s retention management.