CHASING THE RETENTION: EXAMINING THE DIVERSE EFFECTS OF JOB SATISFACTION AND WORK ENVIRONMENT ON EMPLOYEE RETENTION IN THE INFORMATION TECHNOLOGY SECTOR

Abstract

       In this study, we investigate employee retention in the dynamic IT sector in India, employing an exploratory research approach. Our research included 110 participants from various organizational levels, encompassing both established and prominent organizations such as Infosys, TCS, Ernst & Young, HCL, and Wipro, situated in key Indian cities. Data was collected through a structured questionnaire comprising 24 questions, utilizing a five-point rating scale, and meticulously recorded using Google Forms. To analyze the data, we utilized the robust Statistical Package for Social Sciences (SPSS) and descriptive statistics. Our findings reveal crucial insights into the determinants of employee satisfaction and retention within the IT industry. Firstly, personal, and individual context factors, such as competitive compensation and robust career development initiatives, were identified as powerful predictors of employee satisfaction and retention. Factors like recognition systems, training programs, and promotional opportunities significantly motivated employees to remain loyal to their organizations. Secondly, our research underscores the significance of work context factors in predicting employee satisfaction. Favourable working environment like flexible schedules, collaborative team dynamics, supportive leadership, and alignment with organizational values all significantly contributed to retaining employees. Technical support, particularly for high-performing individuals, played a pivotal role in offering developmental opportunities and on-site learning experiences. The performance appraisal process emerged as a critical factor, providing employees with valuable feedback, enhancing their understanding of their role within the organization, and boosting motivation and commitment. Demographic data revealed that most respondents (83.64%) were aged between 20-40 years, providing important insights into the age composition of our sample. This research offers valuable guidance to organizations in the Indian IT sector, allowing them to refine their strategies and practices to foster higher levels of satisfaction and loyalty among their workforce effectively.