TURNOVER INTENTION: EFFECT OF LEADERSHIP STYLE AND REWARD

Authors

  • Selvia Rusvita Dewi Universitas Stikubank Semarang
  • Anwar Mansyur Universitas Stikubank Semarang

Keywords:

Transformational Leadership, Transactional Leadership, Reward, Turnover Intention

Abstract

The purpose of this study was to analyze the effect of transformational leadership style, transactional leadership and rewards on employee turnover intention at PT. Bakti Putra Nusantara. Primary data is used here, which means that the data obtained is the original data from the source through a questionnaire. Employees of the production division of PT. Bakti Putra Nusantara was used as a sample. This sampling was carried out using a non-probability sampling technique with a conditional sampling technique (purposive sampling) and the number of samples was 182 respondents. The research data was then analyzed using multiple linear analysis to test the magnitude of the influence partially or simultaneously the dependent variable on the independent variable. The results showed that transformational leadership, transactional leadership, and reward simultaneously have an influence on turnover intention with an Adjusted R Square value of 0.423. The results of the partial test found that transformational leadership has a significant negative effect on turnover intention. Transactional leadership partially has a significant negative effect on turnover intention. Reward partially has a significant negative effect on turnover intention.

Downloads

Download data is not yet available.

References

(1) Cao, Z., Chen, J., & Song, Y. (2013). Does Total Rewards Reduce the Core Employees’ Turnover Intention? International Journal of Business and Management, 8(20). https://doi.org/10.5539/ijbm.v8n20p62

(2) Kabungaidze, T., Mahlatshana, N., & Ngirande, H. (2013). The Impact of Job Satisfaction and Some Demographic Variables on Employee Turnover Intentions. International Journal of Business Administration, 4(1), 53–65. https://doi.org/10.5430/ijba.v4n1p53

(3) Ali, S., Amin, S. M., & Hamid, R. A. (2016). Akademia Baru A Review on Relationship between Reward and Turnover Intention. Journal of Advanced Review on Scientific Research ISSN, 19(1), 1–16.

(4) Low, G. S., Cravens, D. W., Grant, K., & Moncrief, W. C. (2001). Antecedents and consequences of salesperson burnout. European Journal of Marketing, 35(5/6), 587–611. https://doi.org/10.1108/03090560110388123

(5) Sablik, M. J., Rios, S., Landgraf, F. J. G., Yonamine, T., De Campos, M. F., Kim, J. H., Semiatin, S. L., Lee, C. S., Babu, J., Dutta, A., ABNT, Asm, A. N., Publication, I., Huang, J. C., Barnes, J. E., Williams, J., Blue, C. A., Peter, B., Asaadi, E., … Foram, Q. (2012). No 主観的健康感を中心とした在宅高齢者における 健康関連指標に関する共分散構造分析Title. Acta Materialia, 33(10), 348–352. http://dx.doi.org/10.1016/j.actamat.2015.12.003%0Ahttps://inis.iaea.org/collection/NCLCollectionStore/_Public/30/027/30027298.pdf?r=1&r=1%0Ahttp://dx.doi.org/10.1016/j.jmrt.2015.04.004

(6) Robinson, P. A. (2011). Major Subject : Educational Human Resource Development. May.

(7) Ghafourian Sharifheravi, M., Shahidi, S. E., & Nik Mahmood, N. H. (2010). Investigating the relationships between leadership style and personnel turnover intention in IT companies in Iran. SIGMIS CPR’10 - Proceedings of the 2010 ACM SIGMIS Computer Personnel Research Conference, 48–54. https://doi.org/10.1145/1796900.1796923

(8) Long, C. S., Thean, L. Y., Ismail, W. K. W., & Jusoh, A. (2012). Leadership styles and employees’ turnover intention: Exploratory study of academic staff in a Malaysian college. World Applied Sciences Journal, 19(4), 575–581. https://doi.org/10.5829/idosi.wasj.2012.19.04.155

(9) Sulamuthu, G. A., & Yusof, H. M. (2018). Leadership style and employee turnover intention. Proceedings of the International Conference on Industrial Engineering and Operations Management, 2018-March(2001), 2298–2306.

(10) Naseer, A., Perveen, K., Afzal, M., Waqas, A., Syed, P., & Gillani, A. (2017). The Impact of Leadership Styles on Staff Nurses ’ Turnover Intentions The Impact of Leadership Styles on Staff Nurses ’ Turnover Intentions. October. https://doi.org/10.21276/sjmps.2017.3.10.20

(11) Mendis, M. V. S. (2017). The Impact Of Reward System On Employee Turnover Intention A Study On Logistics Industry Of Sri Lanka. International Journal of Scientific & Technology Research, 06(09), 67–72.

(12) Umar, M. (2016). Effect of Career Growth Opportunities and Rewards Satisfaction on Turnover Intention: Measuring Moderating Effect of Supervisor Support. IBT Journal of Business Studies, 12(2). https://doi.org/10.46745/ilma.jbs.2016.12.02.07

(13) Resource, H. (2021). REWARD SYSTEM AND TURNOVER INTENTIONS OF EMPLOYEES : A STUDY OF DEPOSIT MONEY BANKS IN SOUTH EAST , NIGERIA Ejim Emeka Patrick . PhD ( Nig ), Ajagu Eyuche Helen PhD and Onah , Sylvester. 10(10), 29–42.

(14) Hardianto, H. (2019). The Effect of Reward and Job Satisfaction toward Turnover Intention Private Junior High School. International E-Journal of Educational Studies, 3(6), 128–140. https://doi.org/10.31458/iejes.544742

(15) Shahid, H., Siddiqui, K. I., Usman, M., Mahmood, F., & Siddiqui, K. I. (2015). The relationship between reward management system and turnover intention: Mediating role of motivation. International Review of Social Sciences, 3(10), 440–450. http://irss.academyirmbr.com/papers/1444640799.pdf

(16) Griffeth, R.W., Hom, P.W. and Gaertner, S. (2000), “A meta-analysis of antecedents and correlates of employee turnover: update, moderator tests and research implications for the next millennium”, Journal of Management, Vol. 26 No. 3, pp. 463-488

(17) Zimmerman, R. D. (2008). Understanding the impact of personality traits on individuals’ turnover decisions: A meta-analytic path model. Personnel Psychology, 61(2), 309–348. https://doi.org/10.1111/j.1744-6570.2008.00115.x

(18) Smith, J. L. (2009). 12 Reasons Employees Leave Organizations. Retrieved from http://www.peoriamagazines.com/ibi/2009/dec/12- reasons-employees-leave-organizations

(19) Limsila, K., & Ogunlana, S. O. (2008). Performance and leadership outcome correlates of leadership styles and subordinate commitment. Engineering, Construction and Architectural Management, 15(2), 164–184. https://doi.org/10.1108/09699980810852682

(20) Hamstra, M. R. W., Van Yperen, N. W., Wisse, B., & Sassenberg, K. (2011). Transformational-transactional leadership styles and followers’ regulatory focus: Fit reduces followers’ turnover intentions. Journal of Personnel Psychology, 10(4), 182–186. https://doi.org/10.1027/1866-5888/a000043

(21) Yukl, G., & Mahsud, R. (2010). Why flexible and adaptive leadership is essential. Consulting Psychology Journal, 62(2), 81–93. https://doi.org/10.1037/a0019835

(22) Engelen, A., Gupta, V., Strenger, L., & Brettel, M. (2015). Entrepreneurial Orientation, Firm Performance, and the Moderating Role of Transformational Leadership Behaviors. Journal of Management, 41(4), 1069–1097. https://doi.org/10.1177/0149206312455244

(23) Bass, B. M. (1985). Leadership and performance beyond expectations. New York, NY: Free Press.

(24) Bass BM,Avolio BJ(2004). Multifactor leadership questionnaire: Manual and sampler set (3rd ed.). Palo Alto, CA: Mind Garden Inc

(25) Dyck, B., Walker, K., Starke, F. A., & Uggerslev, K. (2012). Enhancing Critical Thinking by Teaching Two Distinct Approaches to Management. Journal of Education for Business, 87(6), 343–357. https://doi.org/10.1080/08832323.2011.627891

(26) Pratheepkanth, P. (2011). Reward System And Its Impact On Employee Motivation In Commercial Bank Of Sri Lanka Plc, In Jaffna District. 11(4).

(27) Jiang, Z., Xiao, Q., Qi, H., & Xiao, L. (2009). Total Reward Strategy: A Human Resources Management Strategy Going with the Trend of the Times. International Journal of Business and Management, 4(11), 177–183. https://doi.org/10.5539/ijbm.v4n11p177.

(28) Casio and Nambudiri (2010) Managing Human Resources Productivity, 8th Edition, Tata McGraw Hill Education private Limited, New Delhi

(29) Wells, J. E., & Peachey, J. W. (2011). Turnover intentions: Do leadership behaviors and satisfaction with the leader matter? Team Performance Management, 17(1), 23–40. https://doi.org/10.1108/13527591111114693

(30) Park, T., & Pierce, B. (2020). Impacts of transformational leadership on turnover intention of child welfare workers. Children and Youth Services Review, 108, 104624. https://doi.org/10.1016/j.childyouth.2019.104624

(31) Ali, N., Ali, S., Ahsan, A., Rahman, W., & Kakakhel, S. J. (2014). Effects of Leadership Styles on Job Satisfaction , Organizational Citizenship Behavior , Commitment and Turnover Intention ... Life Science Journal, 11(4).

(32) Decker, A. (2012). IISTE November Issue . High Impact Factors , IISTE journals. 2.

(33) Qureshi, M. I., Iftikhar, M., Abbas, S. G., Hassan, U., Khan, K., & Zaman, K. (2013). Relationship between job stress, workload, environment and employees turnover intentions: What we know, what should we

(34) Shahid, H., Siddiqui, K. I., Usman, M., Mahmood, F., & Siddiqui, K. I. (2015). The relationship between reward management system and turnover intention: Mediating role of motivation. International Review of Social Sciences, 3(10), 440–450. http://irss.academyirmbr.com/papers/1444640799.pdf

(35) Suprapto. 2001. Statistik Teori dan Aplikasi, Cetakan Kedua, Jakarta: Penerbit. Erlangga.

(36) Sugiyono. 2013. Metode Penelitian Pendidikan Pendekatan Kuantitatif, Kualitatif, dan R&D. Bandung: Alfabeta.

(37) Sugiyono. 2014. Metode penelitian bisnis (pendekatan kuantitatif, kualitatif, dan R&D) cetakan ke-18.Bandung:Alfabeta, CV. 389.Sekaran 2006

(38) Ghozali, Imam. 2018. Aplikasi Analisis Multivariate dengan Program IBM SPSS 25. Badan Penerbit Universitas Diponegoro : Semarang

(39) Robbins, Stephen P. 2015. Perilaku Organisasi. Jakarta Selatan: Salemba Empat

(40) Pradana,M., Sunuharyo,B.S., Hamid,J. 2013. “Pengaruh Gaya Kepemimpinan Transaksional dan Transformasional terhadap Kinerja Karyawan.” Jurnal Administrasi Bisnis, Vol.4(1), pp. 1-11

(41) Robbin & Judge. 2015. Perilaku Organisasi Edisi 16. Jakarta. Salemba Empat

(42) Bass, B.M. and Avolio, B.J. (1990) Developing Trans-formational Leadership

(43) Ding, X., Li, Q., Zhang, H., Sheng, Z., & Wang, Z. (2017). Linking transformational leadership and work outcomes in temporary organizations: A social identity approach. International Journal of Project Management, 35(4), 543–556. https://doi.org/10.1016/j.ijproman.2017.02.005

(44) Wang, Y., & Hu, T. (2017). Transformational leadership behavior and turnover intention in China physical education. Eurasia Journal of Mathematics, Science and Technology Education, 13(9), 6357–6368. https://doi.org/10.12973/eurasia.2017.01070a

(45) Bycio, P., Hackett, R.D., and Allen, J.S. 1995. Further Assessments of Bass’s (1985). Conceptualization of Transactional and Transformational Leadership. Journal of Applied Psychology, 80 (4): 468-478.

(46) chuster, J.P. (1994), ``Transforming your leadership style'', Association Management,Vol. 46 No. 1, pp. 39-42.

Downloads

Published

2022-11-09

How to Cite

Dewi, S. R., & Anwar Mansyur. (2022). TURNOVER INTENTION: EFFECT OF LEADERSHIP STYLE AND REWARD. Jurnal Ekonomi, 11(03), 278–288. Retrieved from https://ejournal.seaninstitute.or.id/index.php/Ekonomi/article/view/663