The Mediating Effect of Employee Remuneration on the Relationship Between Leadership Practices and Turnover Intention of Technical Staff in Kenyan Schedule Operating Passenger Airlines

Abstract

Purpose of the study: The objective of the study was to examine the mediating effect of employee remuneration on the relationship between leadership practices and turnover intention of technical staff in the Kenyan schedule operating passenger airlines.

Statement of problem: The global airline industry is facing various challenges. One of the major challenges is related to the turnover of highly skilled technical staff. The turnover intention of staff is viewed as a direct predictor of actual intention. The turnover intention of employees is heavily affected by leadership practices and remuneration policies.

Research Methodology: The data for the study was collected from all the 12 Kenyan schedule operating passenger airlines. The research design used by the study was descriptive cross-sectional survey design. A total of 335 sample respondents were selected using proportionate stratified sampling technique from the population of 2058 technical staff.

Research Findings: The results from the data analysis indicated that there is no significant mediating effect of employee remuneration on the relationship between leadership practices and turnover intention as there is no significant influence of employee remuneration on turnover intention when controlling for leadership practices (β =0.02 & p-Value=0.224>0.05).

Conclusions: The study concluded that there is no significant mediating effect of employee remuneration on the relationship between leadership practices and turnover intention of technical staff in Kenyan schedule operating passenger airlines

Recommendations: The study recommended practitioners to deviate from the traditional assumption of considering remuneration as a sole influencer of staff turnover intention and consider leadership practices in the staff retention strategy of an organization.