Suleeha Binmama 2437949

The Impact of Job Satisfaction on Employee Turnover Intention

Abstract

Employee turnover intention is a growing concern for organizations worldwide. High

turnover can lead to disruptions in productivity, increased hiring costs, and a decline in
workplace morale. One of the key drivers influencing turnover intention is job satisfaction,
which includes salary, work-life balance, career growth opportunities, and managerial
support. This study investigates the relationship between job satisfaction and employee
turnover intention using quantitative analysis. The research will employ a survey-based
data collection method targeting 200 employees across different industries. Responses will
be measured using a Likert scale (1–5), and data will be analyzed using correlation and
regression analysis. The findings will help organizations understand which aspects of job
satisfaction significantly impact turnover intention and provide insights into improving
employee retention strategies.

Introduction

Employee retention is a major challenge for organizations, and understanding the factors that
drive employees to consider leaving is essential for workforce stability. Job satisfaction
plays a crucial role in influencing turnover intention, yet different aspects of
satisfaction—such as salary, career development, and work-life balance—affect employees
differently. While many studies confirm the connection between job satisfaction and turnover,
there is still a lack of clarity on which specific factors hold the most weight. This research
aims to explore how job satisfaction influences employees’ intentions to leave and identify
the most influential job satisfaction factors in turnover decisions.

Keywords:

​ •Job Satisfaction •Employee Turnover Intention •Work-Life Balance

​ •CareerGrowth. •Compensation and Benefits. •OrganizationalCommitment

​ •Human Resource Management •Employee Retention

•Workplace Motivation. •Job Embeddedness

Statement of the Problem

Despite numerous employee retention strategies, organizations continue to face high

turnover rates. Job satisfaction has been widely acknowledged as a factor in turnover
intention, but it is unclear which specific dimensions of job satisfaction have the greatest
impact. Are employees leaving due to salary dissatisfaction, lack of career opportunities,
or poor management support? This research seeks to provide quantitative evidence on the
link between job satisfaction and turnover intention, helping organizations address these
challenges effectively.

Research Questions

​ 1.​ How does job satisfaction impact employee turnover intention?

​ 2.​ Which aspects of job satisfaction (salary, work-life balance, career growth,
management support) have the strongest influence on turnover intention?

​ 3.​ To what extent does job dissatisfaction increase the likelihood of an

employee leaving?

Variables

1. Independent Variable (IV) – Job Satisfaction

Measured across four dimensions:

​ •​ Salary Satisfaction

​ •​ Work-Life Balance

​ •​ Career Growth Opportunities

​ •​ Management Support

2. Dependent Variable (DV) – Employee Turnover Intention

Measured using:

​ •​ Turnover Intention Surveys (e.g., “I plan to leave my job within the next
year”)

​ •​ Job Search Behavior (e.g., actively seeking new job opportunities)

Research Objectives

​ 1.​ To analyze the impact of job satisfaction on employee turnover intention.

​ 2.​ To identify the most influential job satisfaction factors that contribute to
turnover intention.

​ 3.​ To provide evidence-based recommendations for organizations to improve

employee retention.
Hypothesis

​ •​ H₀ (Null Hypothesis): Job satisfaction does not significantly affect employee

turnover intention.

​ •​ H₁ (Alternative Hypothesis): Job satisfaction significantly affects employee

turnover intention.

Here is a detailed literature review explaining each study in depth.

Literature Review

Understanding the factors that influence employee turnover intention is essential for
organizations aiming to retain talent. Researchers have explored various aspects of job
satisfaction, organizational commitment, and external influences that contribute to
employees’ decisions to leave their jobs. Below is a detailed discussion of key studies on this
subject.

1. Griffeth, Hom, & Gaertner (2000) – Job Satisfaction as a Strong Predictor of

Turnover Intention

Griffeth, Hom, and Gaertner (2000) conducted a meta-analysis of turnover studies and
concluded that low job satisfaction is a significant predictor of turnover intention. Their
research emphasized that employees who experience dissatisfaction in their work
environment are more likely to seek new job opportunities. The study also found that while
other factors like job alternatives and personal characteristics influence turnover, job
satisfaction remains one of the most powerful predictors. This finding has been widely cited
in subsequent research, reinforcing the importance of improving job satisfaction to reduce
turnover rates.

2. Mobley (2001) – The Relationship Between Job Dissatisfaction and Withdrawal

Behaviors

Mobley (2001) expanded on earlier work by developing a conceptual model that outlines the
withdrawal process leading to turnover. His model suggests that job dissatisfaction first leads
to thoughts of quitting, followed by job search behavior, an evaluation of job alternatives, and
ultimately, resignation. The study highlights that turnover is not an impulsive decision but
rather a gradual process influenced by dissatisfaction. Organizations can intervene at various
stages by addressing employee concerns, improving work conditions, and offering career
development opportunities to prevent voluntary turnover.

3. Mitchell et al. (2001) – Job Embeddedness Theory and Workplace Relationships

Mitchell et al. (2001) introduced the Job Embeddedness Theory, which argues that strong
workplace relationships and organizational ties reduce turnover intention. The theory
identifies three key dimensions:

​ •​ Fit: How well an employee aligns with the organization’s culture and values.

​ •​ Links: The connections employees have with coworkers, managers, and the
community.

​ •​ Sacrifice: The perceived cost of leaving the job, such as losing benefits, career
growth, and workplace friendships.

The study found that employees with strong job embeddedness were less likely to leave, even
if they experienced job dissatisfaction. This suggests that organizations can enhance retention
by fostering positive workplace relationships and creating a supportive environment.

4. Locke & Latham (2002) – The Role of Career Goals in Reducing Turnover Intention

Locke and Latham (2002) explored how career goal-setting influences turnover intention.
Their study found that employees who have clear career objectives and a sense of
professional growth within their organization exhibit lower turnover intention. When
employees perceive opportunities for skill development, promotions, and career
advancement, they are more likely to stay. The researchers emphasized that goal-setting
enhances motivation and commitment, which in turn reduces the likelihood of employees
seeking alternative employment.

5. Maertz & Campion (2004) – Avoidable Turnover and the Role of HR Policies

Maertz and Campion (2004) examined different types of turnover and highlighted that
avoidable turnover, which occurs due to job dissatisfaction, can often be prevented through
effective HR policies. Their research identified several key strategies to reduce turnover:

​ •​ Improving work-life balance

​ •​ Offering competitive salaries and benefits

​ •​ Providing meaningful recognition and rewards

​ •​ Ensuring fair treatment and organizational justice

The study concluded that organizations that proactively address employee concerns and
create a positive work environment can significantly reduce turnover rates.

6. Hausknecht, Rodda, & Howard (2009) – The Importance of Career Growth and
Supervisor Support
Hausknecht et al. (2009) challenged the assumption that fair pay alone can reduce turnover.
Their study found that while competitive compensation is important, factors such as career
growth, skill development, and supportive leadership play a more significant role in
retaining employees. The research highlighted that employees who receive mentorship and
opportunities for professional advancement are more likely to remain committed to their
organization. Additionally, employees who feel valued and supported by their supervisors
tend to have lower turnover intention.

7. Tett & Meyer (2011) – The Difference Between Job Satisfaction and Organizational
Commitment

Tett and Meyer (2011) conducted a study that distinguished between job satisfaction and
organizational commitment. They found that while an employee may be satisfied with their
job responsibilities, they might still lack commitment to the organization as a whole. This can
occur due to:

​ •​ A mismatch between personal values and organizational culture

​ •​ Lack of trust in management

​ •​ Poor work-life balance

The study emphasized that organizations should not only focus on improving job satisfaction
but also strengthen affective commitment, which refers to employees’ emotional attachment
to the organization. High organizational commitment can significantly reduce turnover, even
when job satisfaction fluctuates.

8. Hom, Lee, Shaw, & Hausknecht (2017) – The Role of External Job Opportunities in
Turnover Intention

Hom et al. (2017) conducted a comprehensive review of voluntary employee turnover,

emphasizing that while job satisfaction significantly influences turnover intentions, the
availability of external job opportunities also plays a crucial role. Their research highlighted
that employees with high perceived employability or those possessing in-demand skills are
more likely to consider leaving their current positions, especially if they are dissatisfied. This
underscores the importance for organizations to not only enhance internal job satisfaction but
also to be aware of external labor market conditions. By offering competitive compensation,
career development opportunities, and fostering a positive work environment, employers can
mitigate the allure of external opportunities and retain valuable talent.

9. Kim & Kao (2021) – Impact of Remote Work Flexibility on Turnover Intention

In their 2021 study, Kim and Kao explored the relationship between remote work flexibility
and employee turnover intentions. The COVID-19 pandemic accelerated the adoption of
remote work, prompting an examination of its effects on employee retention. The researchers
found that offering remote work options significantly reduces turnover intentions, particularly
among employees who value work-life balance. Remote work flexibility was associated with
increased job satisfaction, reduced burnout, and a greater sense of autonomy. However, the
study also noted that the effectiveness of remote work policies depends on organizational
support, clear communication, and the nature of the job. Organizations that implement
structured remote work policies with adequate support systems are more likely to retain
employees in the evolving work landscape.

10. Li, Akhtar, & Peng (2022) – Fear of Job Replacement by AI and Turnover
Intentions

Li, Akhtar, and Peng (2022) investigated the emerging concern of job displacement due to
artificial intelligence (AI) and its impact on employee turnover intentions. As AI technologies
become increasingly integrated into various industries, employees may experience anxiety
about the security of their roles. The study revealed that employees who fear their jobs are at
risk of being replaced by AI exhibit higher turnover intentions. This fear can lead to
decreased job satisfaction, lower organizational commitment, and proactive job searching
behavior. To address these concerns, the researchers suggest that organizations should:

​ •​ Communicate Transparently: Clearly articulate how AI will be integrated

and its intended role in supporting, not replacing, employees.

​ •​ Invest in Reskilling: Provide training programs that equip employees with

skills complementary to AI, enhancing their value and job security.

​ •​ Involve Employees in AI Initiatives: Engage employees in the development

and implementation of AI projects to foster a sense of ownership and reduce uncertainty.

By proactively managing AI integration and addressing employee fears, organizations can

reduce turnover intentions and build a more resilient workforce.

Research Gap

Although extensive research has established that job satisfaction significantly impacts
employee turnover intention, several gaps remain in the literature. Industry-specific studies
are limited, as most research treats employees as a uniform group, despite unique challenges
across sectors like IT, healthcare, and manufacturing. Additionally, most studies focus on
immediate turnover intention rather than distinguishing between short-term and long-term
intentions. While job satisfaction is well-studied, organizational commitment is often
overlooked, despite its role in retaining satisfied employees. Remote and hybrid work models
have also changed workplace dynamics, yet their long-term effects on turnover remain
unclear. Furthermore, job security concerns due to AI and automation are an emerging issue,
particularly in technology-driven industries. Work-life balance vs. salary satisfaction is
another area needing deeper analysis, as career growth and supervisor support may play a
greater role in retention than financial compensation alone. Generational differences in
employee expectations and turnover behavior remain underexplored, as do the effects of
external job markets, workplace stress, and leadership styles. Future research should address
these gaps by examining evolving workforce trends, industry-specific factors, and external
economic influences, helping organizations develop more targeted retention strategies to
improve long-term employee engagement and satisfaction.

Theoretical Model

This research is based on Herzberg’s Two-Factor Theory (1959):

​ 1.​ Hygiene Factors (e.g., salary, job security) – Prevent dissatisfaction but do
not create satisfaction.

​ 2.​ Motivators (e.g., career growth, recognition) – Increase job satisfaction and
reduce turnover intention.

Method

1. Research Design

​ •​ Type: Quantitative study

​ •​ Method: Survey-based research

2. Measurement Scale

There are 2 scales I will use for this research

Minnesota Satisfaction Questionnaire (MSQ):

Typically, the MSQ scoring is based on a Likert scale, where respondents rate their
satisfaction with various job aspects. The scoring system can vary depending on whether the
short-form (20 items) is used. The responses are usually rated as follows:

​ •​ 1 = Very Dissatisfied

​ •​ 2 = Dissatisfied

​ •​ 3 = Neither Satisfied nor Dissatisfied

​ •​ 4 = Satisfied

​ •​ 5 = Very Satisfied
The total score is calculated by summing up the responses. Higher scores indicate greater job
satisfaction. The MSQ also provides Intrinsic Satisfaction, Extrinsic Satisfaction, and General
Satisfaction scores by grouping relevant questions.

To accurately interpret the scoring method for the Minnesota Job Satisfaction Questionnaire
(MSQ) based on your research topic, let’s break it down:

1. Understanding the MSQ Scoring System

The MSQ measures job satisfaction using a Likert-type scale where respondents rate their
satisfaction with different job aspects. Typically, the response options are:

Response,Score

Very Dissatisfied,1

Dissatisfied,2

Neutral,3

Satisfied,4

Very Satisfied,5

2. Types of MSQ Scores

The MSQ provides three types of satisfaction scores:

​ 1.​ Intrinsic Satisfaction (Job-related factors such as achievement,

independence, social status)

​ 2.​ Extrinsic Satisfaction (External factors such as company policies,

supervision, salary)

​ 3.​ General Satisfaction (Overall job satisfaction, a combination of intrinsic and

extrinsic factors)

Each type is calculated by summing up the relevant item scores.

3. Interpretation of Scores

​ •​ High Scores (above 80% of the maximum possible score) → High job
satisfaction

​ •​ Moderate Scores (50%-80%) → Average job satisfaction

​ •​ Low Scores (below 50%) → Job dissatisfaction

For example, if the short-form MSQ (20 items) is used, the scoring range would be:

​ •​ Minimum Score: 20 (if all answers are “Very Dissatisfied”)

​ •​ Maximum Score: 100 (if all answers are “Very Satisfied”)

The Turnover Intention Scale (TIS-6) scoring and interpretation follow a structured
approach based on six key items measuring an employee’s intention to leave an organization.

1. Scoring System

The TIS-6 uses a Likert scale, typically rated as follows:

Response Score

Never 1

Rarely 2

Sometimes 3

Often 4

Almost Always 5

Each of the six items in the TIS-6 is scored based on this scale.

2. Calculation of Total Score

​ •​ The total score is obtained by summing the scores of all six items.

​ •​ Minimum Score: 6 (if all answers are “Never” – indicating no turnover

intention)

​ •​ Maximum Score: 30 (if all answers are “Almost Always” – indicating a high
turnover intention)
3. Interpretation of Scores

The interpretation of scores depends on the threshold set by the organization or researcher. A
general guideline is:

Total Score Range Interpretation

6 - 12 Low turnover intention

13 - 18 Moderate turnover intention

19 - 24 High turnover intention

25 - 30 Very high turnover intention (likely to leave

soon)

4. Application in Research

​ •​ A higher TIS-6 score indicates a stronger intention to leave the job.

​ •​ The scale has been validated to differentiate between employees who leave
and those who stay.

​ •​ It can be used as a predictor for actual employee turnover.

3. Sampling & Data Collection

​ •​ Target Population: Employees across various industries (IT, healthcare,

retail, manufacturing)

​ •​ Sample Size: 200 employees

​ •​ Sampling Technique: Stratified random sampling

​ •​ Data Collection Tool: Online survey (Google Forms, SurveyMonkey)

4. Data Analysis Techniques

​ •​ Descriptive Statistics – Summarizing satisfaction levels.

​ •​ Correlation Analysis (Pearson’s r) – Checking relationships between

satisfaction and turnover intention.

​ •​ Regression Analysis – Identifying the most significant predictors of turnover

intention.

​ •​ Analysis Tools: SPSS, Excel

Methodology

This study will collect data through self-administered surveys distributed online. The
responses will be analyzed using statistical methods to measure correlations and identify
key turnover predictors.

Importance/Benefits of the Study

✔ Helps organizations identify key job satisfaction factors affecting turnover.

✔ Provides data-driven insights for HR strategies.

✔ Reduces hiring costs by improving retention.

✔ Contributes to academic research on workforce management.

Limitations of the Study

✖ Self-reported data may have response bias.

✖ The study does not consider external job market factors.

✖ Sample size is limited to 200 employees, which may not generalize to all industries.

References

​ 1.​ Griffeth, R. W., Hom, P. W., & 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, 26(3), 463–488.
https://doi.org/10.1177/014920630002600305
​ 2.​ Mobley, W. H. (2001). Employee turnover: Causes, consequences, and
control. Addison-Wesley Publishing Company.

​ 3.​ Mitchell, T. R., Holtom, B. C., Lee, T. W., Sablynski, C. J., & Erez, M.
(2001). Why people stay: Using job embeddedness to predict voluntary turnover. Academy of
Management Journal, 44(6), 1102–1121. https://doi.org/10.2307/3069391

​ 4.​ Locke, E. A., & Latham, G. P. (2002). Building a practically useful theory of
goal setting and task motivation: A 35-year odyssey. American Psychologist, 57(9), 705–717.
https://doi.org/10.1037/0003-066X.57.9.705

​ 5.​ Maertz, C. P., & Campion, M. A. (2004). Profiles in quitting: Integrating

process and content turnover theory. Academy of Management Journal, 47(4), 566–582.
https://doi.org/10.2307/20159579

​ 6.​ Hausknecht, J. P., Rodda, J., & Howard, M. J. (2009). Targeted employee
retention: Performance-based and job-related differences in reported reasons for staying.
Human Resource Management, 48(2), 269–288. https://doi.org/10.1002/hrm.20279

​ 7.​ Tett, R. P., & Meyer, J. P. (2011). Job satisfaction, organizational

commitment, turnover intention, and turnover: Path analyses based on meta-analytic findings.
Personnel Psychology, 64(2), 259–290. https://doi.org/10.1111/j.1744-6570.2011.01219.x

​ 8.​ Hom, P. W., Lee, T. W., Shaw, J. D., & Hausknecht, J. P. (2017). One
hundred years of employee turnover theory and research. Journal of Applied Psychology,
102(3), 530–545. https://doi.org/10.1037/apl0000103

​ 9.​ Kim, S., & Kao, K. (2021). Remote work and job satisfaction: The impact of
flexible work arrangements on employee retention. Human Resource Management Journal,
31(4), 567–589. https://doi.org/10.1111/1748-8583.12372

​ 10.​ Li, X., Akhtar, M. N., & Peng, M. Y. P. (2022). Artificial intelligence and
job satisfaction: The role of perceived job security in predicting employee turnover intention.
International Journal of Human Resource Management, 33(5), 920–945.
https://doi.org/10.1080/09585192.2022.2054705