Impact of Human Resource Management Practices on Employee Retention in Telecom Sector of Pakistan

Abstract

Purpose – For gaining competitive advantage in this highly volatile business environment, the organizations are facing many challenges and one of the most important challenge is to retain its most talented employees. Effective Human Resource Management Practices of an organization plays a significant role in gaining competitive advantage by retaining the valuable employees.  For this reason the present research study was carried out to identify how and up to which extend the Human Resource Management Practices i.e. Training and Development and Career Development Opportunities helps in the Retaining the Employees in Telecom Sector of Pakistan, as from the past few years the telecom industry experience most threatening period regarding employee retention.

Design/methodology/approach – This research is quantitative in nature. Data has been collected through a survey from 41 employees of sales and service departments of telecom sector from Warid, Mobilink and Telenor, as these companies are holding 85-90 % market share of Pakistan Telecom Industry. The purposed research hypotheses were tested through various statistical analyses.

Findings – The research Findings suggested that HR practices i.e. Training and Development and Career Development Opportunities significant correlates with Employee Retention.

Research limitations/implications – The present research study focused only two dimensions of Human Resource practices, so for future research studies other dimensions of HR practices should also be considered. Moreover this research is limited in terms of simple size, therefore by increasing the sample size in terms of number of respondents, departments, industries and cities could also provide more accurate and generalize results.

Practical implications – Human Resource Management Practices helps the companies to retain its most critical and talented employees for a long term, make them more committed, and they perform well for the development of the organization that leads towards increase profitability and productivity.

Originality/value – The research paper addresses the Impact of Human Resource Management Practices on Training on Employee Retention in Pakistan Telecom Industry particularly in twin cities of Rawalpindi and Islamabad.

Keywords: Human Resource Practices, Training and Development, Career Development Opportunities, Employee Retention, Telecom Sector Pakistan.