Workforce Retention in an Industrial Inspection Services Company: The Effect of Work Motivation, Job Satisfaction, and Organizational Commitment on Employee Turnover Intention

Abstract

Employee turnover is a critical workforce management issue for industrial service companies whose operations depend on skilled and experienced personnel. PT. XYZ, a testing, inspection, certification, training, and consulting company, recorded annual turnover rates of 25%, 11%, and 24% in its inspection department from 2019 to 2021. This study aims to analyze the partial and simultaneous effects of work motivation, job satisfaction, and organizational commitment on employee turnover intention at PT. XYZ. This study used a quantitative approach, collecting primary data through a questionnaire distributed to 43 employees selected by saturated sampling. The data were tested for validity, reliability, and classical assumptions and then analyzed using multiple linear regression with partial t tests and a simultaneous F test. The partial test results show that work motivation significantly affects turnover intention (t = 3.069; p = 0.004), whereas job satisfaction (t = 1.602; p = 0.117) and organizational commitment (t = −0.003; p = 0.998) do not. Together, the three variables significantly affect turnover intention (F = 420.518; p < 0.001). These findings indicate that employees’ intention to leave is shaped by work motivation, job satisfaction, and organizational commitment, with work motivation as the dominant factor. The results provide a basis for designing workforce retention strategies, particularly reward systems and career development programs, in industrial service companies.