The influence of green quality of work life, green employee engagement, and green rewards on green employee retention in SME employees

Putri Wicaksari (), Asep Rokhyadi Permana Saputra () and Aminah Nur Rahmah ()
Additional contact information
Putri Wicaksari: Mercu Buana Yogyakarta University (Bantul, Yogyakarta), https://orcid.org/0000-0001-9047-6739
Asep Rokhyadi Permana Saputra: Mercu Buana Yogyakarta University (Bantul, Yogyakarta), https://orcid.org/0000-0002-8145-5108
Aminah Nur Rahmah: Mercu Buana Yogyakarta University (Bantul, Yogyakarta), https://orcid.org/0009-0009-8824-2082

Small Business International Review, 2024, vol. 8, issue 1, e627

Abstract: One of the biggest challenges for employers is retaining employees, who are crucial for enhancing company performance, especially in SMEs. This research aims to determine the influence of Green Quality of Work Life, Green Employee Engagement, and Green Rewards on Green Employee Retention. The study employs a quantitative approach, sampling 204 SME employees in Indonesia, determined using the Slovin formula with a 7% margin of error. Quota sampling techniques and questionnaires distributed via Google Forms were used for data collection. The analytical tool used is SEM PLS version 4, incorporating validity and reliability testing, Fornell-Larcker Criterion, Heterotrait-Monotrait Ratio, and hypothesis testing, with responses measured on a 5-point Likert scale. The results indicate that Green Quality of Work Life does not significantly affect Green Employee Retention. However, Green Employee Engagement and Green Rewards have a significant impact on Green Employee Retention. The theoretical contribution of this research lies in the application of financial motivation theory, particularly regarding the lowest mean of the first indicator. This theory could be valuable as a moderator in future research models. Practically, the study suggests that increasing salaries and providing knowledge and training as forms of additional expertise can enhance employee retention.

Keywords: green quality of work life; green employee engagement; green rewards; green employee retention (search for similar items in EconPapers)
JEL-codes: L53 L84 M14 M21 M54 P21 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.26784/sbir.v8i1.627 (text/html)
https://sbir.upct.es/index.php/sbir/article/view/627/337 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aaz:sbir01:v:8:y:2024:i:1:p:e627

DOI: 10.26784/sbir.v8i1.627

Access Statistics for this article

Small Business International Review is currently edited by Sánchez Marín, Gregorio and Dieguez Soto, Julio

More articles in Small Business International Review from Asociación Española de Contabilidad y Administración de Empresas - AECA Contact information at EDIRC.
Bibliographic data for series maintained by Carlos Martinez ().