IMPACT OF HRM PRACTICES ON EMPLOYEE RETENTION AT KARACHI SHIP YARD & ENGINEERING WORKS (KS & EW)

Abstract

The purpose for this research is to scrutinize effect of HRM practices on employee retention in Karachi Ship Yard & Engineering Works (KS&EW). The HRM practices considered for this study are Career Development Opportunities, Working Culture, Training and Development, Performance evaluation, Compensation and Rewards, and Employee relations with Employer. Methodology/sample: For determining viewpoint of employees with respect to employment fulfillment and readiness to continue with work at Karachi Ship Yard and Engineering Works (KS&EW), the information was gathered through a survey. For better representation, every department of KS & EW was considered, a sum of 152 representatives of different departments were picked (approx. 50 from every department). Findings: An organization cannot survive if its employee’s have a tendency of leaving the organization. Employee retention can be associated with several organizational HRM policies/ practices which allow the employees to restrict to an organization for a several years. Reducing employee turnover through retention practices is an area of great interest to employers who depend on a highly skilled workforce. This research is carried out to know the impact of Human Resource practices on employee retention and Commitment to its organization. The result shows that human resource practices have a significant impact on the employee loyalty and retention. However, due to lack of HRM practices at various departments’ leads towards mismanagement and low morale of employees and as a result, it impacts the overall organizational performance and profitability. Practical implications: The outcomes of this research can be supportive for the organizations for retaining their employees for extended period. The study also provides the works for future researches.