The Effect of Recruitment Practices and Job Welfare on Employee Retention, with Job Satisfaction as a Mediator, at Sari Asih Hospital in Serang City

Ayat Muhammad Ayatullah; Khaeruman Khaeruman; Tata Rustandi

doi:10.55681/economina.v5i9.4335

Authors

Ayat Muhammad Ayatullah Universitas Bina Bangsa, Indonesia
Khaeruman Khaeruman Universitas Bina Bangsa, Indonesia
Tata Rustandi Universitas Bina Bangsa, Indonesia

DOI:

https://doi.org/10.55681/economina.v5i9.4335

Keywords:

Recruitment Practices, Employee Welfare, Job Satisfaction, Employee Retention, SEM-PLS

Abstract

This study aims to analyze the effect of recruitment practices and workplace welfare on employee retention through job satisfaction as a mediating variable at Sari Asih Hospital in Serang. This study was motivated by the importance of retaining competent human resources to support the quality of hospital services.

The study employed a quantitative approach using a survey method. The population consisted of 250 permanent employees, and a sample of 154 respondents was determined using the Slovin formula. Data were collected via a Likert-scale questionnaire and analyzed using Structural Equation Modeling-Partial Least Squares (SEM-PLS) with SmartPLS 4.

The model evaluation results showed that all indicators met the validity and reliability requirements with outer loading values > 0.70, AVE > 0.50, and Composite Reliability and Cronbach’s Alpha > 0.70. R² values of 0.72 for job satisfaction and 0.76 for employee retention indicate that the model has strong predictive power.

The results of the hypothesis testing confirm that recruitment practices and workplace well-being have a positive and significant effect on both job satisfaction and employee retention. Job satisfaction also has a positive effect on employee retention and was found to mediate the influence of recruitment practices and workplace well-being on employee retention.

This study concludes that employee retention can be improved through effective recruitment practices, enhanced workplace well-being, and increased job satisfaction. These findings are expected to provide insights for hospital management in developing human resource management policies

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