The Effect Of Staff Retention Policies On Employees Organizational Commitment The Case Of Berhan International Bank S.c.

This research was conducted to examine the effect of staff retention policies on organizationalrncommitment in the case of Berhan International Bank Share Company (BrIB) using drivers ofrnorganizational commitment as an indicator. Data was gathered from Head Office and almost allrnbranches(both city and outlying). Descriptive and inferential statistics was used to analyze thernempirical data and also cluster sampling was used followed by systematic sampling to select thernsamples. Primary data were collected using five Point Likert-Scale questionnaires and arnstructured interview and 184 responses were properly filled and returned. Statistical package forrnsocial science studies (SPSS) version 20 was used to analyze empirical data collected throughrnthe close ended questionnaire. The independent variables are compensation, job security,rnTraining and development, working conditions, supervisor support culture, and organizationalrnjustice whereas the dependent variable is employees’ organizational commitment. The mean andrnstandard deviation of the dependent and independent variables were computed and interpreted.rnPearson correlation Coefficient (r) was used to determine the relationship between eachrnindependent variable with the dependent variable. The descriptive statistics result indicated thatrnthe mean value for compensation (mean=2.65), Supervisor Support Culture (mean=2.69), WorkrnEnvironment (mean=2.75), Organizational Justice (mean=2.87), and OrganizationalrnCommitment (mean2.78) were below average which indicate that employees in general are notrncommitted in BrIB. The correlation result indicated that there were positive relationship betweenrnall of independent variables and the dependent variable, rejecting all null hypotheses. Thisrnimplies that any increase or decrease on the independent variable will bring correspondingrnchange on employees’ organizational commitment. It’s found that the independent variables hasrna 48% influence on the dependent variable while the remaining 52% is influenced by factorsrnunaccounted in this research. It was concluded that the organization’s management expectationrnto increase overall employees’ commitment as a result of the said staff retention policies did notrnmaterialize for various reasons such as lengthy and bureaucratic process, various eligibilityrncriterion… etc

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