High-involvement work practices, work engagement and their effects on bank employees' turnover intentions: the moderating role of functional competence

Abstract

PurposeThis study aims to propose and examine a research model where work engagement mediates the impacts of high-involvement work practices (HIWPs) on bank employees' turnover intentions. Specifically, the paper assesses: (a) the effects of empowerment, information sharing, rewards and training on work engagement and turnover intention, (b) work engagement as a mediator of the effects of these HIWPs on turnover intention (c) and functional competence as a moderator of the effects of these HIWPs on work engagement.Design/methodology/approachAn online survey was employed to gather data from 343 employees working in commercial banks in Bangladesh. The authors applied partial least squares structural equation modeling to assess the aforesaid linkages.FindingsEmpowerment and information sharing increase bank employees' work engagement, while training and rewards reduce their proclivity to leave. Work engagement partly mediates the relationships of empowerment and information sharing to turnover intention. Functional competence moderates the relationship between three HIWPs (empowerment, information sharing and rewards) on work engagement.Originality/valueThe paper examines the association between HIWPs and turnover intention, which has been subjected to little empirical inquiry among bank employees during a crisis (e.g. Covid-19 pandemic). The paper provides new insights into the underlying mechanism linking HIWPs and turnover intention and highlights the moderating effect of functional competence. Additionally, the study offers new knowledge on the impact of the pandemic on bank employees' HIWPs. Finally, this paper used data gathered from bank employees in Bangladesh, which is an underrepresented Asian country in the extant service research.

The mediating role of employee commitment in the relationship between compensation system and turnover intentions

“…Studies found that a compensation system can be used as a key strategy for improving employee commitment and retention (Horwitz et al ., 2003; Mahmood et al ., 2019). Researchers have shown that rewards and recognition are crucial factors influencing affective commitment, work engagement and turnover intention (Islam et al. , 2023a, b).…”

The buffering role of collective mindfulness in customer incivility and service sabotage: a multilevel study of Indian banks

“…In turn, this tarnishes FLEs' service encounters (Hur and Kim, 2020;Kamran-Disfani et al, 2022), thereby leading to service sabotage (Kao et al, 2014;Kashif and Zarkada, 2015;Yue et al, 2021) and hindering of their performance (Walker et al, 2014;Yavas et al, 2013). Ultimately, turnover rates amongst FLEs increase, resulting in higher recruitment costs (Islam et al, 2023;Han et al, 2016). Nonetheless, examining customer incivility and its effects reveals a lack of coverage in the existing literature, as reported in a recent systematic review (Chaudhuri et al, 2023).…”

“…, 2013). Ultimately, turnover rates amongst FLEs increase, resulting in higher recruitment costs (Islam et al. , 2023; Han et al.…”

The paradoxical effects of high involvement work practices on employees and service outcomes: a trichromatic perspective

“…There are so many gaps pointed out by the researchers over time. Firstly, studies often focus on either positive or negative impacts, overlooking two contrasting perspectives: the optimistic view (mutual gains) and the pessimistic view (conflicting outcomes; Islam et al, 2023 ). Studies on positive relationships between HIWPs and employee outcomes are common, suggesting that employers and employees benefit from HIWPs, leading to positive employee behavior and improved organizational performance ( Dongsen, 2023 ).…”