The Impact of Leadership Style on Employees’ Turnover Intention
Duong Thi Thu Hoai
Additional contact information
Duong Thi Thu Hoai: Thai Nguyen University of Agriculture and Forestry, Thai Nguyen University, Thai Nguyen City, Vietnam.
Post-Print from HAL
Abstract:
Employee turnover is particularly costly for micro, small, and medium enterprises (MSMEs), which often depend on a limited number of experienced employees and operate with constrained human-resource systems. This study examines the effects of transformational and transactional leadership on employees' turnover intention in Vietnamese MSMEs. Survey data from 361 employees were analysed using partial least squares structural equation modelling. The measurement model demonstrated satisfactory reliability and validity. Transformational leadership had a significant negative effect on turnover intention (β = −0.264, t = 7.107, p < 0.001), while transactional leadership also reduced turnover intention (β = −0.232, t = 6.373, p < 0.001). Transformational leadership produced the stronger effect, but both leadership styles made meaningful contributions. The findings extend leadership research in an emerging-economy MSME context by showing that relational support, vision, development, role clarity, consistent feedback, and fair performance-linked rewards can jointly strengthen employee retention. MSME managers should therefore combine inspirational and individualised leadership with clear expectations, dependable feedback, and transparent reward practices.
Date: 2026-09-29
References: Add references at CitEc
Citations:
Published in Journal of Global Economics, Management and Business Research, 2026, 18 (3), pp.430-440
There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.
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:hal:journl:hal-05770539
Access Statistics for this paper
More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().