Reducing Turnover Intention through Organizational Trust and Self-Efficacy

Abstract

Purpose – The aim of this study is to investigate whether there is a decrease in employees' intention to leave their jobs due to organizational trust, and whether employees' self-efficacy plays a role in enhancing or mediating the impact of organizational trust on turnover intention. Design/methodology/approach – This research was carried out with the convenience sampling method model, which is one of the quantitative research methods. To investigate how organizational trust impacts turnover intention and assess the mediating role of self-efficacy in this relationship, a total of 299 completed surveys were gathered from employees in the service sector. These surveys were then subjected to validity and reliability analyses, as well as bootstrapping procedures, using Smart PLS 4 and IBM SPSS 26. Findings – The findings verify the adverse impact of organizational trust on turnover intention. It unveils a noteworthy direct negative correlation between employees' organizational trust and their turnover intention. Furthermore, the results identify self-efficacy as a statistically significant and partially observed mediator between organizational trust and turnover intention. Discussion – By revealing that organizational trust plays a pivotal role in curbing employee turnover intention—an imperative concern for organizations—this study contributes to the existing literature. Furthermore, it sheds light on how employees' self-efficacy enhances this dynamic. Consequently, this research not only enriches scholarly understanding but also offers a valuable perspective for managerial consideration.