Factors determining retirement decisions of construction workers in Ghana

Abstract

Purpose Efficient decision-making must be reinvigorated to make a good decision towards retirement by construction workers. In developing countries such as Ghana, researchers conducted investigations into the effects of investing in retirement decision-making and planning, but none has considered to examine and identify the factors/determinants influencing efficient decision-making by construction workers towards retirement. This study aims to examine and identify the determinants/factors that affect the retirement decision-making of construction workers in developing countries such as Ghana. Design/methodology/approach This study used primary data collected from workers of four construction companies in Ghana. The sampling technique adopted for the study was a purposive sample approach, with a survey questionnaire as a collection instrument. Means score was adopted to reveal the major determinant/factor prioritized by the respondents while binary logistic regression was used to examine and identify the effect of the retirement determinants on the retirement decision of construction workers. Findings The findings established the main significant determinants impacting retirement decision, namely, “financial condition,” “homeownership,” “age” and “family issues.” Among the determinants, “financial condition” was revealed as the major determinant of retirement decision-making in the construction industry of developing countries, which is an economic condition by which the workers can easily secure credit. Practical implications Practically, the outcome of this study serves as a base for policymakers and practitioners in making decisions concerning the retirement of workers, especially construction workers. This study also serves to provide lesson for other classifications of workers aside from the construction workers in Ghana and other developing countries. Originality/value This study contributes to knowledge by filling in the lacuna in research by examining and identifying the determinants/factors that impact the efficient decision-making by construction workers in developing countries towards retirement.