| dc.description.abstract | Business environment has become very competitive due to advances in technology, increased
globalization, and changing customer expectation, among others. Retention of key employees
remains key remedy in ensuring competitive advantage in any industry. Although
motivational theorists contend that employee retention is achievable through provision of
motivational factors, there is scanty information of the same with regard to Kenya Airways
Limited. Whereas Kenya Airways has in the past employed substantial resources on
motivational factors, it has lost about 17% of its ground staff between 2011 and 2014,
implying a disconnect between motivational factors and retention levels. Study findings
commonly give positive results between motivational factors and employee retention.
However, some of them give inconsistent results. The purpose of this study was to examine
the effect of motivational factors on employee retention in Kenya Airways. The specific
objectives were to: establish the effect of reward system; the effect of working relations; and
the effect of career development opportunity on employee retention. The research was based
on Hertzberg two factor theory of motivation; with independent variable being motivational
factors while dependant variable being employee retention. Correlation research design was
used. Target population of the study was 1168 employees. Stratified random sampling was
used to select a sample size of 34 management staff and 263 non-management staff. Primary
data was obtained using semi structured questionnaires. Split half method was used to test
reliability in a pilot study involving 16 Kenya Airways employees of which coefficient of 0.8
was accepted. Instrument validity was enhanced through the appraisal of experts from the
fields of social research, human resource management, from Maseno University. Data was
analysed using Pearson's correlation and multiple regression for testing the relationships. It
was found that Employee retention is generally poor (M=2.1111; SD=0.84096). Further,
working relations was found to correlate highly (r =.816, p<.OI) with employee retention, and
the stated aspects of motivational factors together explain 79.4% of the observed variance in
employee retention, with a significant model fitting (F=360.832; P<O.OO). Regression
analysis revealed that working relations contributes to 0.609 of employee retention; career
development opportunity to 0.468 of employee retention; reward system contributes to -0.164
of employee retention in Kenya Airways. This infers that working relations contribute most
to employee retention. The researcher concluded that poor employee retention at Kenya
Airways is due to poor working relations. The study recommends that working relations
should be enhanced in the organization so asto improve employee retention. For further
research, it is therefore recommended that a study be done on the contribution of trade unions
on enhancement of working relations and employee retention in Kenya Airways. The
findings in this study will be significant to managers in their endeavours to enhance employee
retention through provision of appropriate working relations. | en_US |
