Exploring the Relationship between Work Expectations and Employee Retention among Generation Z in Selected Small and Medium Enterprises in Nigeria

Aderounmu G.A., Oni K. A, Otegbade T.o and Shonola Olayinka Sakirat
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Aderounmu G.A.: Department of Business Administration, Moshood Abiola Polytechnic, Abeokuta, Ogun State, Nigeria
Oni K. A: Department of Business Administration, Moshood Abiola Polytechnic, Abeokuta, Ogun State, Nigeria
Otegbade T.o: Department of Business Administration, Moshood Abiola Polytechnic, Abeokuta, Ogun State, Nigeria
Shonola Olayinka Sakirat: Department of Business Administration, Moshood Abiola Polytechnic, Abeokuta, Ogun State, Nigeria

Lead City Journal of the Social Sciences (LCJSS), 2026, vol. 11, issue 1, 43-58

Abstract: Employee retention continues to challenge small and medium enterprises (SMEs) in Nigeria today more than ever before, especially with generation Z starting to enter the workforce. The current study explored the relationship between work expectations and employee retention among generation Z employees in a sample of SMEs in Ogun State. Our approach was descriptive survey design and we collected data from 300 respondents representing five SME sectors using multi-stage stratified sampling. A structured questionnaire was used to measure six constructs including career growth opportunities, work life balance, autonomy, loyalty, engagement, and career clarity. The data were analyzed through descriptive statistics, correlation, and regression analysis. The findings showed that career growth opportunities, work life balance, and autonomy explicity accounted for the employee retention outcome. Career growth was the greatest predictor (β = 0.421) and work life balance and autonomy were both statistically significant and positive influences on employee retention outcomes. The correlation results suggested that work expectations all had strong associations with loyalty, engagement, and career clarity. On the whole, the model on work expectations explained 47.8 percent of employee retention outcomes variance. The study concluded that Human Resource practices that incorporate work expectations matter, because they help to align Generation Z expectations which engenders commitment, reduces turnover, and improves sustainability. The findings generally supported empirical evidence for the socially exchange theory, Herzberg's two factor theory, and Person–Organisation Fit theory. This study recommend that SMEs consider structured career development, positive work atmosphere, and employee autonomy as means of securing their workforce over the longer term

Keywords: Work expectations; employee retention; Generation Z; SMEs; Nigeria. (search for similar items in EconPapers)
Date: 2026
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