EMPLOYEES RETENTION IN PRIVATE SECTOR

AN EXPLORATORY STUDY IN THE STATE OF

KUWAIT

BY

QADRIA ALKANDARI

AMANI ABDULLAH HAMMAD

OPEN UNIVERSITY MALAYSIA

I
 EMPLOYEES RETENTION IN PRIVATE SECTOR

AN EXPLORATORY STUDY IN THE STATE OF

KUWAIT

BY

QADRIA ALKANDARI

AMANI ABDULLAH HAMMAD

Project paper submitted in partial fulfillment of the requirement for the degree of
master of business administration

II
 Open University Malaysia
(2009)

DECLARATION

Student’s Name : QADRIA ALKANDARI

Matric . Number : 51070485

Student’s Name : AMANI ABDULLAH HAMMAD

Matric . Number : 51070784

We hereby declare that this project paper is the result of my own work,

except for quotation and summaries which have been duly acknowledge.

Signature: …Qadria…… Date: 20-5-2009

Signature: …………………….. Date: 20-5-2009

III
QADRIA ALKANDARI MBA 2009 OUM
AMANI ABDULLAH HAMMAD MBA 2009 OUM

IV
 APPLICATION TO CONDUCT RESEARCH PAPER

PART A: STUDENT'S PARTICULARS

Student’s Name : QADRIA ALKANDARI

Matric . Number : 51070485

Student’s Name : AMANI ABDULLAH HAMMAD

Matric . Number : 51070784

PART B: PARTICULAR ABOUT THE PROJECT

1. Title of the project: "Employees Retention in Private Sector (An Exploratory

Study in the State of Kuwait)"

2. Research Objectives: "The current study is attempts to enhance our

understanding and improve the shortage of retention

literature. The study focuses on the private sector

employees of the state of Kuwait and aims to

determinate those workforce retention sector."

3. Proposed Research Method: "quantitative methodology"

PART C: FACULT"S INPUTS

1. Topic Chosen: Acceptable / Not Acceptable

2. Suggested Supervisor for the student: Dr.Isa Al-Jeran

I
 RESEARCH PAPER SUBMSSION FORM

Project Paper Title: "Employees Retention in Private Sector (An

Exploratory Study in the State of Kuwait)"

Director
Open University of Malaysia (OUM)
Bahrain Branch

Dear Sir,
Attached are the following documents of your evaluation and approval

Chapter 1: Introduction
Chapter 2: Literature Review
Chapter 3: Research Method
Chapter 4: Data and Analysis
Chapter 5: Discussion
Chapter6: Summary and conclusion
References
Appendixes

We have thoroughly checked my work and we are confident that it is free from major
grammatical errors, weaknesses in sentence construction, spelling mistakes,
referencing mistake and others. We have checked with OUM MBA program
guideline for writing project paper and we are satisfied that the project paper
proposal satisfies most of its requirements.

Thank You,

Student Signature: Qadria

We have read the student's research proposal and we are satisfied that it is line with
the OUM MBA program guideline for writing project proposal. It is also free from
major grammatical errors, sentence construction weaknesses, citation and others.

Supervisor's Signature:

II
 DEDICATION

We dedicate this thesis to:

• Our Parents, You who taught, Persevered and prepared us to face

challenges with faith and humility.

• Our Husbands, It was your support and encouragement to persist

and continue our journey till the end.

• Our children, Grow up and bloom our lovely flowers.

III
 ACKNOWLEDGMENT

So many people have encouraged and supported us throughout the

writing of this project. We would like to acknowledge their contribution

by mentioning their names.

First and foremost, we would like to thank to Dr. Eisa Al-Jeran, without

his senior advices such work could not have been accomplished. Finally,

thank to all individuals who sacrificed their time to speak to me during

the interviews.

IV
 ABSTRACT

The retention of human resources has been shown to be momentous to the

development and the accomplishment of the organization’s goals and objectives. The

primary aim of this study is to explore the main factors that affect private sector

workforce retention in the state of Kuwait. 125 surveys distributed to private sector

workforce. The survey questions designed to determine three elements of retention;

Benefits factors, strategies factors and organizational culture factors.

The result of the study shows that benefits factors such as salary and compensation

were rated as most important to the private sector workforce in the state of Kuwait

followed by leave benefits and differed compensation. The three strategies rated most

important to private sector workforce are rewards and recognition, annual

performance appraisal and training opportunities. While work at home, voluntary

reduction in Work schedule and alternative work schedule were rated as least

important. The culture of private sector organizations in state of Kuwait are based

on openness and trusts, effectively communication and good deal of time spent from

supervisor listening to employees ideas and suggestions. finally The result employees

career plan shows that high percentage of private sector workforce had no plans to

leave or retire from state employment within the foreseeable future.

Keywords: Retention, Human Resource Management, Asymmetric Information, Kuwait

V
 TABLE OF CONTENT

• ABSTRACT

CHAPTER 1
(INTRODUCTION)

• BACKGROUND OF THEY STUDY

• PROBLEM STATEMENT

• RESEARCH OBJECTIVE

• SIGNIFICANCE OF THE STUDY

• PURPOSE OF THE STUDY

• ORGANIZATION OF STUDY

CHAPTER 2

• LITERATURE REVIEW

CHAPTER 3
(RESEARCH METHODOLOGY)
• DATA COLLECTION PROCEDURES

• STUDY POPULATION AND SAMPLING

• METHODS

VI
 CHAPTER 4

(DATA RESULTS)

DATA ANALYSIS

A. BENEFITS

B. STRATEGIES

C. ORGANIZATION CULTURE

E. CAREER PLANS

CHAPTER 5

(DISCUSSION)

DATA ANALYSIS AND RESULTS

CHAPTER 6

(SUMMARY AND CONCLUSION)

SUMMARY AND CONCLUSION

FUTURE STUDIES

REFERENCES

APPENDIX 1 - SURVEY

VII
 LIST OF TABLE

Table 1: Benefits Factors

Table 2: Organizational strategies factors
Table 3: organizational culture factors
Table 4: Demographic Factors
Table 5: Survey Responses – Benefits
Table 6: Survey Responses – Strategies

Table 7: Organizational Culture- development Plan

Table 8: Organizational Culture- task group assignments

Table 9: Organizational Culture- Career development program

Table 10: Organizational Culture- New project assignment

Table 11: Organizational Culture- Supervisor communication

Table 12: Organizational Culture- value of diversity

Table 13: Organizational Culture- openness and trust

Table 14: Organizational Culture- fairness and respect

Table 15: Organizational Culture- supervisor listening

Table 16: Organizational Culture- supervisor empowers

VIII
 LIST OF FIGURES

Figure 1:
Gender
Figure 2:
Age
Figure 3:
Years of Service
Figure 4:
Career plans
Figure 5:
Benefits
Figure 6: Strategies

Figure 7: Organizational Culture- development Plan

Figure 8: Organizational Culture- task group assignments

Figure 9: Organizational Culture- Career development program

Figure 10: Organizational Culture- New project assignment

Figure 11: Organizational Culture- Supervisor communication

Figure 12: Organizational Culture- value of diversity

Figure 13: Organizational Culture- openness and trust

Figure 14: Organizational Culture- fairness and respect

Figure 15: Organizational Culture- supervisor listening

Figure 16: Organizational Culture- supervisor empowers

Figure 17: Workforce of private sector employees

IX
 CHAPTER I

INTRODUCTION

This chapter is an introduction and intended to provide background information on

the nature of the present study and its objectives and purpose. It is divided into four

sections. The first section presents Background of the study the, the second part

presents the problem statement, the objective, purpose and significant of the study

reviled in the third section. The final section presents how this study is organized.

BACKGROUND OF THEY STUDY

The retention of employees has been shown to be significant to the development

and the accomplishment of the organization’s goals and objectives. Retention of

employees can be a vital source of competitive advantage for any organization.

This study attempted to explore the main factors that contribute to employee

retention existing in the private sector in Kuwait. The next paragraphs discuss the

background of the study by clarifying the theoretical framework for the main

problems with employee retention.

Today, changes in technology, global economics, trade agreements, and the like

are directly affecting employee/employer relationships. “Until recently, loyalty was

the cornerstone of that relationship. The loss of talented employees may be very

detrimental to the company’s future success. Out standing employees may leave an

organization because they become dissatisfied, under paid or unmotivated (Coff

1996), and while trying to retain employees within the organization they may

present other challenges as well. They may demand higher wages, not comply with

1
organization practices, and not interact well with their coworkers or comply with

their managers’ directions.

Besides these problems asymmetric in formation or lack of in formation about the

employees’ performance may complicate an organization’s Endeavour to retain

productive employees. With out adequate in formation an organization may not be

able to distinguish productive workers from non-productive ones. Employees often

may take credit for the successes and deflect failures to other employees. This is

known as a moral hazard problem. In many in stances companies may reward or

punish employees for an organization out come for which they had no impact (Kerr

1975).

Insufficient information about employees’ performance may result in adverse

selection by them (Gross man & Hart 1986). The better employees may move to

other organizations for better opportunities. The coworkers who cannot improve

their positions are more likely to stay. This is especially possible when due to

inadequate in formation out standing performance is not rewarded. Non productive

and productive workers end up receiving the same or nearly the same

compensation and pack age of perks be cause of management’s in ability to

distinguish talented employees from the rest of the labor force in the organization.

The problem of attempting to keep talented members of the work force is further

complicated be cause of bounded rationality (Simon 1976). It is another result of

asymmetric in formation where both the manager does not know the information

for which to ask from the employee and the employee does not know what to

provide. Therefore, productive workers cannot distinguish them selves from non-

productive coworkers.

2
Even if an organization is fortunate enough to retain talented employees, the

company may still have to cope with agency costs resulting from them and their

colleagues. When in formation about an employee’s activities are difficult to

gather, the employee may be motivated to act in his own interest which may

diverge from the interest of the organization. This divergence of interests results in

costs to the organization in the form of excessive perquisite consumption, shirking

of job responsibilities and poor in vestment decision making. Jensen and Meckling

(1976) explained that it is in an employee’s interest to over consume perks and

shirk job responsibilities of the firm if they are not sole owners of the organization.

Employees may also be enticed to make suboptimal in vestment decisions for the

firm. Since most company employees have their wealth tied up in the organization

for which they work, employees may at tempt to make in vestment decisions which

are less risky than the stock holders of the firm would prefer. This is done to

reduce the risk of failure by the company, which protects the no diversified

employee from loss of wealth. This in vestment strategy may also reduce the re

turn on investment that the diversified owners of the firm desire (Murphy 1985).

The employees or agents of the organization may also use a short sighted approach

in investment selection to enhance their own career chances (Narayanan 1985).

The employee can signal the labor market his superiority through the selection of a

fast starting project, which may fizzle out later for the firm. This strategy may

cause the firm to miss profitable long-term projects or much needed research and

development. Employees may also at tempt to in crease the size of the firm through

acquisitions and project selection regard less of the effect on company profitability

in order to in crease their own power base within the firm.

3
Another area contributing to decreased employee satisfaction is that of a

company’s motivational style. For example, Weinberg (1997) states that “Most

companies relied in the past on two traditional strategies for managing turnover.

First, they raised wages until the situation stabilized. If that did not work, they

increased training budgets for new hires and first-level supervisors. These solutions

do not work anymore.

PROBLEM STATEMENT

understanding employee perspectives and measuring their retention factors are

critical to an organization success. However, each employee in an organization

creates his or her own understanding of a phenomenon and assumptions (Argyris

and Schon, 1978). It is the understanding of the situation that provokes an action

(Weick, 1979, 1995). an employee interprets their organizational environment

through his or her own mental model, creating his or her own world; a reality of

the second order thus arises (Watzlawick, 1976) that is in some way imperfect

(Senge, 1990).

Many studies concerning employees retention have been conducted in mainly U.S

and Europe to determine the main factors that contribute to their satisfaction and

motivation to exist, few of these researches have conducted in Middle East, thus,

scarcity of researches are indicated. Replication of such studies in other regions is

highly justifiable. One of the regions that lack such studies is the Gulf region

(Kuwait, Saudi Arabia, United Arab Emirates, Qatar, and Oman and Bahrain). It is

one of the most prosperous regions in the world (Azzam, 1989). In Kuwait, the

retention of private sector employees has not been fully addressed. Many questions

related to private sector workforce retention have not been reported yet. For

4
example, how are the private sector workforce aware of any retention efforts in

their agency? What make private sector workforce think about leaving their work?

How do private sector workforce feels unique about their agency’s retention

situation? Does private sector organizations discuss with the workforce specific

reasons why they were leaving or not? Do private sector workforce in know of

specific retention problems in their agency? What type of work environment or

organizational culture e.g. supervisory style, work itself, is most appealing to

workforce?

Thus, the present study aimed to enhance our understanding and improve the

shortage of literature by focus on the state of Kuwait to explore the main private

sector workforce retention factors that lead to their existing in their work place.

RESEARCH OBJECTIVE

Thus, the present study aimed deepens our understanding and improve the shortage

of literature by focus on state of Kuwait to the main determinate of employee

retention to existing in private sector. The main research objectives can be

summaries as follows:

• Explore what types of benefits those are most important for the private

sector workforce in the state of Kuwait.

• Assess the most important organizational strategies that contribute to the

retention of the private sector workforce.

• Investigate what issues related to organizational culture contribute to the

retention of the private sector workforce.

• Explore the future plan of Private sector workforce that contribute to their
retention.

5
SIGNIFICANCE OF THE STUDY

This study derives its significant from its potential contribution at two primary

levels: theoretical and practical. At the theoretical level, the present study is

expected to bridge a gap in the literature for empirical research focusing on

employee's retention in the state of Kuwait. For the practical contributions, this

study is expected to provide new solutions and evidence on the usefulness of

segmentation techniques for human resource management.

PURPOSE OF THE STUDY

This paper aims to attempts to determine employee's retention in the private sector

in the state of Kuwait. The study designed to explore the main retention factors for

Private sector employees. The paper attempts to deepen our understanding about

employee's satisfaction and in private filed.

ORGANIZATION OF STUDY

This study comprises six major chapters. Chapter I provide a discussion of nature,

background and problems of the study and its objectives. Chapter II presents an

extensive review of the literature on employee's intention for the purpose of laying

out the theoretical foundation of the study. Chapter III presents research

methodology, it discuses the population and sampling, data collection procedures,

questions of the research and instrumentation. Chapter IIII presents the finding and

result of data analysis. Chapter V reveals the discussion of the study. Chapter VI

presents Summary, conclusion and other implications of the study.

6
 CHAPTER II

LITERATURE AND THEORETICAL BACKGROUND

In this chapter, the previous studies for employee’s retentions are presented to be

the framework to understand and systematically analyze factors the affect

employee’s intentions.

Retention defined as “an obligation to continue to do business or exchange with a

particular company on an ongoing basis” (Zineldin, 2000, p. 28). A more detailed

and recent definition for the concept of retention is “customer liking, identification,

commitment, trust, readiness to recommend, and repurchase intentions, with the

first four being emotional-cognitive retention constructs, and the last two being

behavioral intentions” (Stauss et al., 2001). Studies have indicated that retention

driven by several key factors, which ought to be managed congruently:

organizational culture, strategy, pay and benefits philosophy, and career

development systems (Fitzenz 1990).

The above mentioned definitions explain many situations in our contemporary life

while many employees are no longer having the sense of organization loyalty once

they leaved. Increasing numbers of organization mergers and acquisitions have left

employees feeling displeased from the companies that they work and haunted by

concerns of overall job security. As a result, employees are now making strategic

career moves to guarantee employment that satisfy their need for security.

On the other hand, employers have a need to keep their stuff from leaving or going

to work for other companies. This is true because of the great expenses associated

with hiring and retraining new employees. The adage, good help is hard to find, is

even truer these days than ever before because the job market is becoming

increasingly tight (Eskildesen 2000, Hammer 2000).

7
Literature of employees retaining again show that attracting existed employees

costs less than acquiring new talents as organizations know their employees and

what they want, and the initial cost of attracting the new employees has already

been expended (Davidow and Uttal, 1989). Employees retention also attain

benefits such as customers satisfaction, better service, lower costs (Reichheld,

1995), lower price sensitivity, positive word-of-mouth, higher market share, higher

productivity and higher efficiency (Zineldin, 2000).

Based on a review of the literature, many studies has investigate employees

intentions to exist, for example Eskildsen and Nussler (2000) in their research

suggested that employers are struggling to be talented employees in order to

maintain a successful business. In the same bases, Mark Parrott (2000), Anderson

and Sullivan (1993) and Rust and Zahorik (1993) believe that, there is a straight

line linking employee satisfaction and customer satisfaction. Thus, high

satisfaction has been associated to retention of both customers and employees. The

literature of employee retention clearly explain that satisfied employees who are

happy with their jobs are more devotion to doing a good job and vigorous to

improve their organizational customers satisfaction (Hammer2000; Marini 2000;

Denton 2000). Employees who are satisfied have higher intentions of persisting

with their organization, which results in decreased turnover rate (Mobley et al.,

1979). Fishbein and Ajzen’s (1975) attest the theory of reasoned action as the heart

retention of both the employee and the customer links between satisfaction and

behavior.

Potter-Brotman (1994) in his research explained how service could affect retention

and may result in improving the value of teaching employees to be service

providers, with the capability to enhance interaction with customers rather than

8
endanger them. In the same research, the authors recommended that firms should

focus on hearing customers unique voices as result to find out what kind of service

they consider to be extraordinary.

The earlier efforts of Desai and Mahajan (1998) in examine the concepts of

acquiring customers from a rational and affective perspective provides us with

different approaches of how cognition and affects are implemented to increase

retention. The authors recommended that in order to retain employees, companies

must continually develop their products and services so as to meet the evolving

needs of customers. Desai and Mahajan (1998) assumed that retained customers

are in fact satisfied, and not simply retained because of habit, indifference or

inertia. Included in retention strategies are the development of new products and

services to meet and satisfy the evolving required of the customers; thus

satisfaction is a component of retention.

However, Johnston (2001) in his research negated the relationship between

customer's satisfaction and their retention clarifying that such relation is very weak.

He explain that an understanding of the two concepts cannot always be achieved

by isolating them from each other, but rather by examining the relationship

between them. Gerpott et al. (2001) in his research attest Johnston (2001) as he

mentioned that customer retention and customer satisfaction should be treated as

distinct, but causally inter-linked constructs. Rust and Subramanian (1992), in their

study, link quality to customer satisfaction and argue that this has a direct effect on

customer retention and market share. In the same bases Athanassopoulos (2000)

explain satisfaction as an antecedent of customer retention. The authors study

customer satisfaction cues in retail banking services in Greece. The fining of his

study shows that product innovativeness, convenience, staff service, price and

9
business profile are dimensions of customer satisfaction. The authors also

mentioned that customers do not consider switching banks until they have

encountered a series of negative effects.

Heskett et al. (1994) and Schneider and Bowen (1999) suggested that, in some

cases, service suppliers may be unable to retain even those employees who are

satisfied. Thus, satisfaction itself may not be sufficient enough to ensure long-term

workers commitment to an organization. Instead, it may be essential to look

beyond satisfaction to other variables that strengthen retention such as conviction

and trust (Hart and Johnson, 1999). This explanation is consistent Morgan and

Hunt (1994) research on marketing channel, which shows that organizations often

look beyond the concept of satisfaction to developing trust and ensure long term

relationships with their employees. Further, this suggestion is based on the

principle that once trust is built into a relationship, the probability of either party

ending the relationship decreases because of high termination costs.

Other studies have proposed that the cost of replacing lost talent is even higher, as

much as 70 to 200 percent of that employee’s annual salary (Kaye, 2000).

Expanding on these thoughts, the EPF (2004) stated that “for a firm with 40,000

full-time employees, the difference between a 15- percent turnover rate and a 25-

percent turnover rate is over $50 million annually. The divergence between a 15-

percent turnover rate and a 40-percent turnover rate is over $130 million

annually”.

Abundant studies have hypothesized and empirically validated the link between

satisfaction and behavioral intentions and behaviors such as employee’s retention

and word of mouth (e.g. Anderson and Sullivan, 1993; Rucci et al., 1998, Bansal

and Taylor, 1999, Cronin et al., 2000). Indeed, this link is essential to the

10
marketing concept, which holds that satisfying employee’s needs and wants is the

key to exist in the organization (Kotler et al., 2002). Further, the importance of

satisfaction on retention is well recognized that some major economies now

measure satisfaction at the industry level using large sample surveys to predict

employee's retention and future financial performance (Fornell et al., 1995).

Kay (2000) describe costs as in “…advertising and recruiting expenses, orientation

and training of the new employee, decreased productivity until the new employee is

up to speed, and loss of customers who were loyal to the departing employee”. The

costs and expenses mentioned above open another area of concern which is

productivity. When high level of employees turnover existed, most of the

workforce is at an entry level stage of production. A very high cost is associated

with large numbers of employees who have not accomplish full productivity. This

cycle continues with very few employees performing at maximum productivity.

Numerous studies explain the importance of high employees involvement and how

it could enhance their retention (Arthur 1994; Huselid 1995; Koch and McGrath

1996). Flexible work schedules and assistance programs need to be considered,

however, only a small share of the workforce takes advantage of them (Perry Smith

and Blum 2000). as earlier studies indicated that young employees are more

interested in payment, advancement opportunities and time off. Such differences

may reflect stages in the career plan or deeper generation differences. Additionally,

there are often gender differences within demographic groups; e.g., young female

may want different things from what young male want (Beck 2001).

the lack of opportunities to learn and develop in the work can be the top reason for

employee dissatisfaction and thus turnover. a corporation namely Kimko,

implemented this information and provide a training program that gave employees

11
an opportunities to develop their path and career direction. Turnover tumbled from

75 percent to 50 percent (Withers 2001).

studies indicated that employees stay when they have strong relationships with

others with whom they work (Clarke 2001). this explain the efforts of

organizations to encourage team building, project assignments involving

work with colleagues and opportunities for interaction both on and off the job

(Johns et al 2001).

Other studies indicated that effective communications improve employee

identification with their agency and build openness and trust culture. Increasingly,

organizations provide information on values, mission, strategies, competitive

performance, and changes that may affect employees enthuse (Gopinath and

Becker 2000; Levine 1995). Many companies are working to provide information

that employees want and need in better way of communication, through the most

credible sources (e.g., CEO and top management strategies) on a timely and

consistent basis.

In summary, the literature defines retention as continuing relation between

customers (employees) and their organization. The benefits of retention are lower

costs for their agent, less price sensitivity, greater market share, improve

productivity, increase employees performance and thus increase profits and meet

their organizational goals and objectives. The relationship between satisfaction and

retention in many studies has described as weak, and researches shows that

satisfaction does not necessarily cause to retention.

12
 CHAPTER III

RESEARCH METHODOLOGY

In this chapter, the authors presents the methodology for the present study. The

researchers divided the chapter into three sections; the first section presents the

data collection procedures, the second section presents study population and

sampling, the final section presents data analysis.

As mentioned in the first chapter, the objectives of the current study is to:

• Explore what types of benefits those are most important for the private

sector workforce in the state of Kuwait.

• Assess the most important organizational strategies that contribute to the

retention of the private sector workforce.

• Investigate what issues related to organizational culture contribute to the

retention of the private sector workforce.

• Explore the future plan of Private sector workforce that contribute to their

retention.

DATA COLLECTION PROCEDURES

To accomplish the aforementioned research objectives, the data for this study was

collected through self-administered questionnaires. As part of its data gathering

efforts, the researchers asked the focus group participants to complete a written

survey about various aspects of their work place. The questionnaire used in the

study was added and developed some factors through interviews with private

sector employees by visiting different organizations and workplace in the five main

areas. By referring to the literature review on this topic, many items in the

organizational culture and retention strategies sections of the survey were adapted

13
from Griffeth and Horn (1983). The primary aim of this study is to explore the

factors that affect private sector workforce attention in their work place. To

achieve this purpose the survey asked respondents to rate the degree of importance

and level of agreement with a number of statements related to:

• Benefits factors

• Retention strategies factors

• Organizational culture factors

The first part of the questionnaire asked respondents to rate the relative importance

of 6 potential benefits factors, on their retention, using a five-point Likert type

importance scale ranging from “very important” to “not important at all”. Table 1

show these factors.

Table 1: Benefits Factors

Benefits Factors

1. Salary and monetary compensation

2. Leave benefits (including vacation, sick, personal, paid holidays).
3. Retirement plan
4. Health and other benefits (health insurance, vision, dental,
prescription).
5. Deferred compensation.
6. Employee assistance program.

The Second part elicited retention strategies factors, respondents asked to rate the

relative importance of 13 potential strategies factors on their retention, using a

five-point Likert type importance scale ranging from “very important” to “not

important at all”. Table 2 show Organizational strategies factors.

14
 Table 2: Organizational strategies factors

Organizational strategies Factors

1. Alternative Work Schedule

2. Voluntary Reduction in Work Schedule
3. Telecommuting/Work at Home.
4. Wellness Programs
5. Mentoring and coaching
6. Job Rotation and New Assignments
7. Help with career planning
8. On-site day care
9. Rewards and recognition
10. Employee Suggestion Program
11. Education opportunities
12. Training opportunities - job related
13. Annual Performance Appraisal

The third part of the survey address the organizational culture factors, respondents

asked to rate the relative importance of 10 organizational culture factors on their

retention, using a five-point scale type agreement scale ranging from “Strongly

Agree” to “Strongly disagree”. The following table shows the organizational

strategies factors.

Table 3: organizational culture factors

Organizational culture Factors

1. Supervisors in my workplace sit down with employees and discuss

their development plans at least every 6 months.
2. Employees are often given the opportunity to be part of task groups
and assignments outside their core job responsibilities.
3. My agency has a career development program that helps people
become more aware of and responsible for their own career
development.
4. Working on a new projector assignment is an open process with few
barriers.
5. Supervisors communicate effectively with employees.

15
 6. the workplace where I work has a culture that recognizes and values
diversity.
7. There is an environment of openness and trust in my agency.
8. Employees in my workplace are treated with fairness and respect.
9. Supervisors spend a good deal of time listening to employees' ideas.
10. Supervisors have a style that empowers people to take responsibility
and authority.

One section of the survey ask respondents about their retirement plan, four options

are given as follows: leave workplace employment within 1-2 years, 3-5 years, 6-

10 years or no plans to retire or leave work place in the foreseeable future. The

final section of the survey collects demographic information, with few lines space,

respondents are given an opportunity to provide general comments on any other

areas related to retention that they felt were not addressed in the focus groups or on

the survey. The focus group participants completed the survey for practical purpose

of this study, thus the findings cannot be generalized to the entire GCC countries.

Rather, the results provide a snapshot of opinions from a small sample of Kuwaiti

private sector employees who conduced their work in the state of Kuwait.

STUDY POPULATION AND SAMPLING

In convince approach, the authors selected five main cities to distribute the survey

where private sector workforce conducted their work. A total of 145 surveys were

distributed in equal numbers to the private organizations of these cities (29 survey

per location), commencing at 8.00 am, 10 am and 1 pm on a particular Tuesday,

Monday and Wednesday. In convenience method, private sector employees who

conducted their work in the sampling location during the chosen time intervals

were selected.

16
Distribution process took place in a two week period in the early part of April

2009. private sector workforce were approached, explaining the nature of the study

and asked if they would be prepared to fill in the questionnaire.

The survey took approximately 10-15 minutes to complete. The survey was

designed to obtain information about the main determinants of employees retention

to exist.

From a total of 145 questionnaires distributed, 125 were returned (only 25 surveys

were collected from each city), out of which 20 were usable (valid and completed),

thereby yielding a response rate of about 86.2 percent, a response rate considered

sufficiently large for statistical reliability and generalizability (Tabachnick and

Fidell, 1996; Stevens, 2002). This relatively high response rate attributed to the

self-administered approach undertaken in distributing questionnaires and

approaching respondents at the various locations.

METHODS

The responses obtained were analyzed using SPSS V.17. To ascertain which of the

private sector workforce retention factor criteria are perceived as more or less

important, the data were analyzed using descriptive statistics and factor analysis.

These techniques were deemed to be appropriate for this particular analysis

because the main purpose of this thesis is to explore the main determinate of

employee exiting retention.

17
 CHAPTER IIII

DATA RESULTS

This chapter prepared to give clear representation for the sample and presents the

data results from the study.

DATA ANALYSIS AND RESULTS

The sample of 125 represents the sample of private sector workforce in state of

Kuwait. The entire sample are Kuwaiti nationality and it consist of 55 percent male

and 70 percent female, and their average age was 35. The following figures and

Table represent the demographic factors.

Figure1: Gender Figure2: Age

Gender Age
3 17
55 9

Between 18 to 25

Between 26 to 35
70
Between 36 to 45

Male Between 46 to 55 40
56
Female Above 55

Figure3: Years of Service

Years of Service
3
32 50
Between 0 -5 years

Between 6 -10 years

Between 11 -15 years

Between 16 -20 years 19

over 25 Years 21

18
 Figure 4: career plans

Career Plans
Retire or leave State 5
employment within 1-2
14
years

Retire or leave State

employment within 3-5
years

Retire or leave State

employment within 6-10
years
23
No plans to retire or
leave State employment
in the foreseeable 83
future

Table 4: Demographic Factors

Demographic factors Frequency Percent
Gender Male 55 44.0
Female 70 56.0
Total 125
Retire or leave within 1-2 years 5 4.0
Retire or leave within 3-5 years 14 11.2
Career Retire or leave within 6-10 years 23 18.4
Plans No plans to retire or leave State
employment in the foreseeable future 83 66.4
Total 125
Employees 107 85.6
Managers 14 11.2
Position
Head Manager 4 3.2
Total 125
Between 18 to 25 17 13.6
Between 26 to 35 56 44.8
Between 36 to 45 40 32.0
Age
Between 46 to 55 9 7.2
Above 55 3 2.4
Total 125
Between 0 -5 years 50 40.0
Between 6 -10 years 21 16.8
Years of Between 11 -15 years 19 15.2
Service Between 16 -20 years 32 25.6
over 25 Years 3 2.4
Total 125

19
A. Benefits

The first section of the survey asked respondents to rate the benefits of state

employment on a scale from 1 to 5, where 1 = not very important and 5 = very

important. The results are illustrated in table 1.

Table 5: Survey Responses – Benefits

Descriptive Statistics
N Mean Std. Deviation

Salary and Compensation 125 4.75 .534

Leave benefits (including sick, vacation, personal, 124 4.52 .656

paid holidays)

Deferred Compensation 125 4.22 .822

Health and related benefits (health insurance, vision, 124 4.18 .865
dental, prescription)

Employee Assistance Program 124 3.98 .950

Retirement plan 122 3.87 1.098

Figure 5: Benefits

The Salary and compensation were rated as most important, with means of 4.72

and SD 0.534, followed by leave benefits (4.52) and Differed Compensation

20
 (4.22). The items with the lowest means, rated as least important by Private sector

workforce in Kuwait, were the retention Plan (3.87) and the Employee Assistance

Program (3.89).

B. STRATEGIES

The next section of the survey asked respondents to indicate what retention

strategies were being used in their agencies, and how important each strategy was

to them, whether it was available. Complete results for this section can be found in

table 2 .

Table 6: Survey Responses – Strategies

Descriptive Statistics
N Mean Std. Deviation

Rewards and recognition (e.g., service awards, employee of the year) 125 4.43 .776

Annual Performance Appraisal 125 4.41 .872

Training opportunities - job related 125 4.28 .980

Education opportunities 122 4.16 .945

Employee Suggestion Program 124 4.08 .925

Help with career planning 125 3.96 1.019

On-site day care 122 3.83 1.119

Job Rotation and New Assignments 125 3.82 .919

Mentoring/Coaching 124 3.78 1.017

Wellness Programs 124 3.72 1.017

Alternative Work Schedule 125 3.32 1.112

Voluntary Reduction in Work Schedule 123 3.22 .864

Telecommuting/Work at Home 125 3.00 1.276

21
 Figure 6: Strategies

The three strategies rated most important to workforce of private sector are

Rewards and recognition (4.43), Annual Performance Appraisal (4.41) and

Training Opportunities - other (4.28). Telecommuting/Work at Home (3.00),

Voluntary Reduction in Work Schedule (3.22) and Alternative Work Schedule

(3.32) were rated as least important. The importance of education and training

benefits is not surprising, since workforce of private sector emphasis on growth

and development through a variety of training. Another reason this benefit may be

important is because they are generally younger and in an early phase of their

career with private sector.

22
C. ORGANIZATION CULTURE

This next section asked respondents to rate their level of agreement or

disagreement with a number of statements related to organizational culture on a

scale of 1 to 5, where 1 = strongly disagree and 5 = strongly agree. comparing the

responses of each group for each statement can be found in table 3.

Sixty-five percent of private sector agreed or strongly agreed that supervisors in

their agencies discussed development plans with employees at least every six

months, only 9.6 % percent disagreed or disagreed strongly with that notion and

24.8 are nature. The next table and figure present these percentages.

Table 7: Organizational Culture- development Plan

Supervisors in my agency sit down with employees and discuss their

development plans at least every 6 months.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 5 4.0 4.0 4.0

Disagree 7 5.6 5.6 9.6

Neutral 31 24.8 24.8 34.4

Agree 35 28.0 28.0 62.4

Strongly Agree 47 37.6 37.6 100.0

Total 125 100.0 100.0

Figure 7: Organizational Culture- development Plan

23
The result show 51.2 % percent agree and strongly agreed that they are often given

the opportunity to be part of task groups and assignments outside of their core job

responsibilities. Only 24.8 % disagree and strongly disagreed with this statement,

while 24 % are natural. The next table and figure present these percentages.

Table 8: Organizational Culture- task group assignments

Employees are often given the opportunity to be part of task groups and
assignments outside their core job

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 3 2.4 2.4 2.4

Disagree 28 22.4 22.4 24.8

Neutral 30 24.0 24.0 48.8

Agree 42 33.6 33.6 82.4

Strongly Agree 22 17.6 17.6 100.0

Total 125 100.0 100.0

Figure 8: Organizational Culture- task group assignments

24
About 70.4 % of private sector workers has agreed and or strongly agreed that

their organization has a career development program that helps to become more

aware of and responsible for their career development. 16.8 % of workforce are

neither agreed nor disagreed with this statement and 29.6 are disagreed and

strongly disagreed. The next table and figure present percentages.

Table 9: Organizational Culture- Career development program

My agency has a career development program that helps people become more
aware of and responsible for their own career development.

Frequency Percent Valid Percent Cumulative P

Disagree 16 12.8 12.8 12.8

Neutral 21 16.8 16.8 29.6

Agree 52 41.6 41.6 71.2

Strongly Agree 36 28.8 28.8 100.0

Total 125 100.0 100.0

Figure 9: Organizational Culture- Career development program

25
Forty-four percent of private sector workers agreed or strongly agreed that working

on a new project was an open process with few barriers; however, 36 % are nature

and 19.2% disagreed strongly or disagreed with this statement. The next table and

figure present percentages.

Table 10: Organizational Culture- New project assignment

Working on a new project assignment is an open process with few barriers.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 3 2.4 2.4 2.4

Disagree 21 16.8 16.8 19.2

Neutral 45 36.0 36.0 55.2

Agree 37 29.6 29.6 84.8

Strongly Agree 19 15.2 15.2 100.0

Total 125 100.0 100.0

Figure 10: Organizational Culture- New project assignment

26
Sixteen percent of workforce agreed that supervisors communicate effectively with

employees, while another 5.6 % disagreed or strongly disagreed and 32 % are

nature with that statement. The next table and figure present percentages.

Table 11: Organizational Culture- Supervisor communication

Supervisors communicate effectively with employees.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 3 2.4 2.5 2.5

Disagree 4 3.2 3.3 5.7

Neutral 40 32.0 32.8 38.5

Agree 41 32.8 33.6 72.1

Strongly Agree 34 27.2 27.9 100.0

Missing 3 2.4

Total 125 100.0

Figure 11: Organizational Culture- Supervisor communication

Fifty-nine percent of private sector workers agreed or strongly agreed that their

agency had a culture that recognizes and values diversity. Only seven percent

27
disagreed or strongly disagreed that employees in their agency are treated with

fairness and respect. 31% of the respondent are neutral related to this statement.

The next table and figure present percentages.

Table 12: Organizational Culture- value of diversity

My agency has a culture that recognizes and values diversity

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 3 2.4 2.5 2.5

Disagree 6 4.8 4.9 7.4

Neutral 39 31.2 32.0 39.3

Agree 33 26.4 27.0 66.4

Strongly Agree 41 32.8 33.6 100.0

Total 122 97.6 100.0

Missing 3 2.4

125 100.0

Figure 12: Organizational Culture- value of diversity

Sixty-three percent of private sector workers agreed or strongly agreed that in their

organization an environment of openness and trust in is existed. Only 12% percent

28
disagreed or strongly disagreed while 24.8 % of the respondent are neutral. The

next table and figure present percentages.

Table 13: Organizational Culture- openness and trust

There is an environment of openness and trust in my agency.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 6 4.8 4.8 4.8

Disagree 9 7.2 7.2 12.0

Neutral 31 24.8 24.8 36.8

Agree 30 24.0 24.0 60.8

Strongly Agree 49 39.2 39.2 100.0

Total 125 100.0 100.0

Figure 13: Organizational Culture- openness and trust

the figure represent good percentage that reflect the sense of openness and trust

between employees and their agency, so does a feeling of community in the

workplace, which creates a sense of commitment and belonging. Closely linked to

community in the workplace is the concept of trust and openness, which reasons

that the more employees realize what they would be giving up if they leave an

organization, the more likely they are to stay. Efforts to enhance both openness and

29
trust culture include supporting activities that create personal connections, such as

after-hour get-togethers and departments caring for employees during life crises.

About 54.4% of private sector workers in the state of Kuwait has agreed and

strongly agreed that there is a fairness in treatment and respect in their organization

an environment of openness and trust in is existed. However 30.4 % percent

disagreed or strongly disagreed and 12.8 % of the respondent are neutral. The next

table and figure present percentages.

Table 14: Organizational Culture- fairness and respect

Employees in my agency are treated with fairness and respect.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 17 13.6 13.9 13.9

Disagree 21 16.8 17.2 31.1

Neutral 16 12.8 13.1 44.3

Agree 23 18.4 18.9 63.1

Strongly Agree 45 36.0 36.9 100.0

Missing 3 2.4

Total 125 100.0

Figure 14: Organizational Culture- fairness and respect

30
The result of organizational culture shows that 56 % of workforce agreed and

strongly agreed that their supervisor spend a good deal of time listening to their

ideas. only 14.4 % percent disagreed or strongly disagreed and 29.6 % are neutral.

The next table and figure present percentages.

Table 15: Organizational Culture- supervisor listening

Supervisors spend a good deal of time listening to employees' ideas.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 5 4.0 4.0 4.0

Disagree 13 10.4 10.4 14.4

Neutral 37 29.6 29.6 44.0

Agree 27 21.6 21.6 65.6

Strongly Agree 43 34.4 34.4 100.0

Total 125 100.0 100.0

Figure 15: Organizational Culture- supervisor listening

31
Finally, the result of organizational culture shows that only 63.2 % employees

agreed and strongly agreed that their supervisor have a style that empowers people

to take responsibility and authority. 15.6 % percent disagreed or strongly disagreed

and 15.2 % are neutral. The next table and figure present percentages.

Table 16: Organizational Culture- supervisor empowers

Supervisors have a style that empowers people to take responsibility and

authority.

Frequency Percent Valid Percent Cumulative P

Strongly Disagree 10 8.0 8.0 8.0

Disagree 22 17.6 17.6 25.6

Neutral 19 15.2 15.2 56.8

Agree 45 36.0 36.0 84.8

Strongly Agree 29 23.2 23.2 100.0

Total 125 100.0 100.0

Figure 16: Organizational Culture- supervisor empowers

32
The figure represent good percentage of agreement indicating well participation

and supervisor empowerment culture. The authors argue that this culture allow

employees to participate more in the decisions that affect them through additional

responsibilities that provide creative challenges, such as private sector workers

career ladders and work groups created to solve departmental problems. This

fosters Kuwaiti private sector workers development and reinforces the link

between the department and employees by demonstrating the value of the

organization for them and their abilities.

E. CAREER PLANS

When asked about future career plans, 5 % present of workforce said they planned

on retiring or leaving state employment within 1-2 years, and an additional 14%

said they planned to leave state employment within 3-5 years. Another 23% said

they planned to leave within 6-10 years. Roughly 83 % indicated that they had no

plans to leave or retire from State employment within the foreseeable future.

Reasons given for their intentions of leaving within 5 years included: salary, lack

of promotional opportunity, the length of time it would take to get from a grade to

higher grade within their organization, and lack of meaningful professional

development.

The result of career plans shows that the workforce aimed to build long-term

relationship and developed their career in the private sector. This could be explain

that private sector in the state of Kuwait provide good retention to their employees

that lead to improve their existence as well as their satisfaction. The eighty-three

percent presented high awareness of the importance of retention to the private

sector organizations. Figure 6 graphically present the result of career plans for

workforce.

33
 Figure 17: workforce career plans

Careful career development and planning, as well as the more typical rewards and

incentives, can be powerful retention tools. The result of the current study indicate

clearly high retention efforts provided private sector in the state of Kuwait to retain

workforce, thus, high percentage of career plan to exist in the state of employment are

not surprising. In general we can say that the result of career plan give good indication of

the high efforts of private sector to retain and build long-term relationship with their

private sector workforce. thereby, the authors argue that the 23 percent of workforce who

intended to leave the state of employment within 6-10 years are not necessary related to

the inefficiency of human resource management in the private sector to improve

employee retention but may be related to private sector workforce long-term life

planning.

34
 CHAPTER V

DISCUSSION

In this chapter, the authors discuss the main retention factors to the private sector

workforce. Kuwait private sector currently provide numerous benefits or practices

attractive to workforce. Some are negotiated benefits and some are optional and

may vary by agency and bargaining unit.

Prior literature shows that HRM practices in compensation and reward sharing can

lead to reduced turnover, improve the quality work, and better financial

performance (Arthur 1994; Delaney and Huselid 1996; Huselid 1995 and

MacDuffie 1995; Meyer and Allan 1991). The finding of this study assist literature

as it indicated that incentive compensation is one of the best method which is used

to reduce the problems surrounding the effort to retain employees. By aligning the

interests of the employees with the owners of the firm through pay incentives, the

agency problems of excessive perquisite consumption, shirking and poor in

vestment decision making may be reduced. Incentive pay may also give the

employee the incentive to stay in the organization, provide a competitive wage so

the employee is paid fairly, and encourage the employee to comply to

organizational practices. In addition to using pay incentives to reward the

employee for reaching company goals and demonstrating loyalty to the

organization, efforts can be made by the organization to improve job sat is faction.

This may also in crease the numbers of talented employees who stay in the

company. Incentive pay may consist of cash bonuses for employees upon reaching

pre determined goals. The bonus is normally tied to accounting measures and many

times specifically to the employee’s job area.

35
The study also indicate that sharing responsibility by private sector workforce is an

other type of pay incentive. It in essence makes the employee a involve and have

empowerment to aligning the interests of their organizations. Employee

involvement can come through openness and trust culture, which lead to improve

the organizational environment and cultures and build long-term relationship and

belonging to sense to the employees.

So far, we can say that some compensation that provided by private sector in

Kuwait is not being specific enough to truly motivate the employee to work hard

(e.g. retirement plan). The result of this study indicate that private sector should

improve retirement plan as to motivate employees and reduce agency costs and

retention problems. Kuwaiti Private sector workforce clearly explain that in order

to develop their intention such compensation should be meet their satisfaction.

One possible way to reduce the short comings of each pay component is to pay

organization employees with a combination of bonuses, extra compensation and

salary. An adequate base salary al lows the organization to compete for talents in

the labor market effectively. Including bonuses as a part of an employee’s

compensation package off sets the problems of employee retention and also may

motivate employees to focus on long-term relationship and high performance while

they conduct their work. The authors argue that cash bonuses based on specific

performance of the employee motivates the employees not to sit back and relies on

other productive colleagues. This may be the reason that employees in many

organizations have complex pay pack ages.

Pay incentives will help align the employees’ interests with those of the

organization's owners and efforts to improve job satisfaction through employee

autonomy, training, and pleas ant working conditions will help retain talented

36
employees. But be cause of asymmetric in formation it may be difficult to en

courage poor per formers to leave the organization. Better monitoring of

employees through audits and surveillance may help distinguish productive from

non productive employees.

Besides using compensation, retaining skilled employees may also be

accomplished through improving organization culture. Management can give

capable employees the autonomy in their job functions, and they can give them

meaning full assignments as well. Manager should allow –partially- their

employees to be involved in the decision making for their area of expertise.

improving the working conditions can also inveigle productive workers to exist in

their organization and reduce their turnover. In addition to compensation, the study

shows that offering these talented employees training to keep them current on their

job functions and allowing them to have the opportunities to develop their skills

can also be utilized to improve employee satisfaction with the organization (Rice,

Gen tile, & McFarlin 1991).

One retention strategies that the authors argues its importance to increase self-

actualization through education. Most of organizations in private sector in Kuwait

now reimburse tuition for employees, other organizations use other methods to

support education in an effort to increase workforce job satisfaction. the authors

suggested that Kuwaiti private sector organizations may provides a week per year

for education away from the facility as private sector workforce are paid both time

off and tuition. another suggestion is to provides a day off every four weeks for

education. These programs allow private sector workforce the opportunity to

develop their skills and to bring new ideas and concepts back to the department

that can be used to improve their workplace. Taking this proactive stance toward

37
education would yield the same results, giving private sector workforce more say

in departmental decisions because of their expert knowledge and increased

satisfaction with their current workplace.

Finally, the current study have found that private sector workforce workers for a

schedule that fits their needs. A department that offers a variety of schedules

increases its appeal to a wide spectrum of staff. Both flexible and self-scheduling

are significant ways to increase worker satisfaction. These methods go beyond

simply letting an employee pick the schedule that is best for him from existing

options; they allow employees to self-determine their schedule by providing the

latitude to individually tailor their work hours. Kuwaiti private sector workforce

want jobs that accommodate their family needs and personal activities. The finding

of the current study assisted by many finding who argue to minimize, if not

eliminate, shift rotation and allow creative and flexible staffing arrangements that

are tailored to meet staff needs. These innovative scheduling methods allow

employees to adjust their work schedules to the rest of their lives, resulting in

improved job satisfaction and job retention (AFSCME,2009).

38
 CHAPTER VI

SUMMARY AND CONCLUSION

This chapter intended to summaries the main finding. It divided into two sections,

Section one presents recommendation of the research and section present

suggestion for future studies.

The heart of this study has been to explore Kuwaiti private sector workforce in the

state of Kuwait. The literature shows that retention factors are critical and should

be well addressed by any organization in order to meet its goals and objectives.

The result of benefits retention factors shows that the salary and compensation

were rated as most important to the private sector workforce in the state of Kuwait

followed by leave benefits and differed compensation. The items needed to be

improved in private sector are retirement plan and the employee assistance

program. Improving these benefits will improve private sector workforce retentions

and thus ensure meeting organizational goals and objectives.

Other objective of this study is to explore the retention strategies which are a

priority for Kuwait private sector organizations. The literature emphasis that

retention strategies must be broad and varied to address the variety of reasons

private sector workforce leave private organizations. The value of creating diverse

strategies should manifest itself through increased employee satisfaction and an

increased sense of belonging to the organization. The result of strategies factors

shows that the three strategies rated most important to private sector workforce are

rewards and recognition, annual performance appraisal and training opportunities.

Telecommuting/Work at Home, voluntary Reduction in Work Schedule and

alternative work schedule were rated as least important.

39
The result of organizational culture shows that Sixty-five percent of Kuwaiti

private sector workforce agreed or strongly agreed that supervisors in their

agencies discussed development plans with employees at least every six months.

fifty-one percent of private sector workforce agree and strongly agreed that they

are often given the opportunity to be part of task groups and assignments outside of

their core job responsibilities, while twenty-four percent Kuwait private sector

workforce disagree and strongly disagreed with this statement.

The study indicated high percentage of agreement of private sector workforce in

the state of Kuwait who believe that that their organization has a career

development program that helps to become more aware of and responsible for their

career development, while thirty percent are disagreed and strongly disagreed.

Almost have of the population sample of private sector workforce agreed that the

working on a new project was an open process with few barriers while thirty-six

percent are nature and nineteen percent disagreed strongly or disagreed with this

statement.

More than half of private sector workforce agreed that supervisors communicate

effectively with employees. while only six percent of the sample disagreed and the

rest are nature with that statement. Fifty-nine percent of private sector workforce

agreed or strongly agreed that their agency had a culture that recognizes and values

diversity, while only seven percent disagreed or strongly disagreed and thirty-one

percent are neutral related to this statement.

Sixty-three percent of private sector workforce agreed or strongly agreed that in

their organization an environment of openness and trust in is existed. Only twelve

percent disagreed or strongly disagreed and twenty-four percent are neutral. About

fifty-four percent of private sector workforce in the state of Kuwait has agreed and

40
strongly agreed that there is a fairness in treatment and respect in their organization

an environment of openness and trust in is existed. However thirty percent

disagreed or strongly disagreed and thirteen percent are neutral.

Half of private sector workforce agreed and strongly agreed that their supervisor

spend a good deal of time listening to their ideas, only fourteen are percent

disagreed or strongly disagreed and thirteen percent are neutral.

Finally, forty-three private sector workforce agreed and strongly agreed that their

supervisor have a style that empowers people to take responsibility and authority,

while fifteen percent disagreed or strongly disagreed and thirty-one are neutral.

The result of private sector workforce career plan shows that high percent (eighty-

three) of private sector workforce had no plans to leave or retire from State

employment within the foreseeable future, twenty-three percent are planned to

leave within 6-10 years, fourteen percent private sector workforce are planned to

leave state employment within 3-5 years, and only five present Kuwaiti private

sector workforce are planned on retiring or leaving state employment within 1-2

years.

In summary, the purpose of this study was to explore how private sector workforce

dealing with the concepts of employees retention. The study found high efforts

provided by private sector in the state of Kuwait to attain and attract existed

employees. employees who have high retention factors have good and long-term

relationship with his agency, this explain the high percentage of why workforce

have no intention to leave their organization and have long-term career plan.

The importance of this study can be viewed from two dimensions: theoretical

contributions and practical implications. Theoretically, the study fills an important

gap in the literature; that is, exploring private sector workforce retention factors in

41
the state of Kuwait. Therefore, the findings of this study can add to the existing

body of the literature and can serve as a starting point on which future studies can

be built. On the practical side, this study can help the top-management decision

makers of private sector to enhance the major factors that may better develop their

employees retention and thus meeting organizational goals and objectives. Such

information should help human resource management of private sector in devising

appropriate human resource strategies for attaining and attracting Kuwaiti private

sector workforce.

FUTURE RESEARCH

For future research, the relation between private sector workforce retention and

their satisfaction need to be focused and studied. Our results revealed that although

private sector workforce tended to think that satisfaction and retention are

enhanced in similar ways, there were wide differences between how individual

employees perceived the two concepts. Questioners may be develop to give deep

understanding of private sector workforce feeling toward their agency’s and their

expectations when they conducted the work of private sector. For example, what

were the expectations you had when you first came to work for the private sector

that haven’t been met yet? Are the reasons you are staying with private sector

different than the reasons why you first came to? Finally Demographic factors

were among the most common predictors in the turnover literature.(Jinnett and

Alexander 1999; Miller and Wheeler 1992). Further studies may need to classify

the sample by employee position, income, nationality, gender and age.

42
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48
 Appendix
Employee Retention Survey
A. Benefits (‫)اﻟﺮاﺗﺐ واﻟﻔﻮاﺋﺪ اﻟﻤﺎﻟﻴﺔ‬
Please rate the following benefits of state employment on a scale of 1 to 5, where
1 = not at all important and 5 = very important.
‫اﻟﺮﺟﺎء ﺗﺤﺪﻳﺪ أهﻤﻴﺔ آﻞ ﻋﻨﺼﺮ ﻣﻦ اﻟﻌﻨﺎﺻﺮ اﻟﻤﺘﻌﻠﻘﺔ ﺑﺎﻟﺮواﺗﺐ واﻟﻔﻮاﺋﺪ اﻟﻤﺎﻟﻴﺔ وﻣﺪى ﺟﺬب هﺬﻩ اﻟﻌﻨﺎﺻﺮ إﻟﻴﻚ‬
.‫ ﻋﻦ اﻷهﻤﻴﺔ اﻟﺸﺪﻳﺪة ﻟﻠﻌﻨﺼﺮ‬5 ‫ ﻋﻦ ﻋﺪم أهﻤﻴﺔ اﻟﻌﻨﺼﺮ وﻳﻌﺒﺮ اﻟﺮﻗﻢ‬1 ‫ ﺑﺤﻴﺚ ﻳﻌﺒﺮ اﻟﺮﻗﻢ‬،‫ﻟﻠﻌﻤﻞ ﺑﻬﺬﻩ اﻟﺸﺮآﺔ‬
Not at All Not Very Somewhat Very
Neutral
Important Important Important Important
‫ﻣﺤﺎﻳﺪ‬
‫ﻏﻴﺮ ﻣﻬﻢ ﻋﻠﻰ اﻹﻃﻼق‬ ‫ﻏﻴﺮ ﻣﻬﻢ‬ ‫ﻣﻬﻢ‬ ‫ﻣﻬﻢ ﺟﺪا‬
Salary and Compensation ‫اﻟﺮاﺗﺐ اﻷﺳﺎﺳﻲ‬ 1 2 3 4 5
Leave benefits (including sick, vacation, personal, paid
holidays) (‫ اﻟﻌﻄﻼت‬،‫ اﻟﻤﺮﺿﻴﺎت‬،‫اﻹﺟﺎزة )اﻹﺟﺎزة اﻟﻤﺪﻓﻮﻋﺔ اﻷﺟﺮ‬
1 2 3 4 5
Retirement plan ‫ﺧﻄﺔ اﻟﺘﻘﺎﻋﺪ‬ 1 2 3 4 5
Health and related benefits(health insurance, vision,
dental, prescription) (‫ اﻟﻌﻼج‬،‫ﻓﻮاﺋﺪ اﻟﺼﺤﺔ )اﻟﺘﺄﻣﻴﻦ‬
1 2 3 4 5
Deferred Compensation ‫ ﺳﺎﻋﺎت ﻋﻤﻞ‬،‫اﻟﻔﻮاﺋﺪ اﻟﺘﻌﻮﻳﻀﻴﺔ )ﺑﺪﻻت‬
(‫إﺿﺎﻓﻴﺔ‬
1 2 3 4 5
Employee Assistance Program ‫ﺑﺮﻧﺎﻣﺞ ﻣﺴﺎﻋﺪة اﻟﻤﻮﻇﻔﻴﻦ‬ 1 2 3 4 5

B. Strategies (‫)إﺳﺘﺮاﺗﻴﺠﻴﺔ اﻟﺸﺮآﺔ‬

Please indicate if any of the following strategies are available in your agency.
Then rate how important each item is to you, whether it's available or not, on
a scale from 1 to 5 where 1 = not at all important and 5 = very important.
‫ ﻋﻦ‬1 ‫ ﺑﺤﻴﺚ ﻳﻌﺒﺮ اﻟﺮﻗﻢ‬،‫اﻟﺮﺟﺎء ﺗﺤﺪﻳﺪ ﻣﺪى ﺗﻮاﻓﺮ آﻞ ﻣﻦ اﻻﺳﺘﺮاﺗﻴﺠﻴﺎت اﻟﺘﺎﻟﻴﺔ ﺑﺎﻟﺸﺮآﺔ اﻟﺘﻲ ﺗﻌﻤﻞ ﻓﻴﻬﺎ‬
.‫ ﻋﻦ اﻷهﻤﻴﺔ اﻟﺸﺪﻳﺪة ﻟﻠﻌﻨﺼﺮ‬5 ‫ﻋﺪم أهﻤﻴﺔ اﻟﻌﻨﺼﺮ وﻳﻌﺒﺮ اﻟﺮﻗﻢ‬
Not at All Not Very Neutral Somewhat Very
Important Important ‫ﻣﺤﺎﻳﺪ‬ Important Important
‫ﻏﻴﺮ ﻣﻬﻢ ﻏﻴﺮ ﻣﻬﻢ ﻋﻠﻰ اﻹﻃﻼق‬ ‫ﻣﻬﻢ‬ ‫ﻣﻬﻢ ﺟﺪا‬
Alternative Work Schedule ‫ﺟﺪول ﻋﻤﻞ ﺑﺪﻳﻞ )آﺎﻟﻌﻤﻞ ﺑﺄوﻗﺎت أﺧﺮى‬
(‫إذا ﻟﻢ ﻳﺘﻢ اﻟﺤﻀﻮر ﺻﺒﺎﺣﺎ‬
1 2 3 4 5
Voluntary Reduction in Work Schedule
‫ﺗﺨﻔﻴﺾ ﺗﻄﻮﻋﻲ ﻓﻲ ﺟﺪول اﻟﻌﻤﻞ‬
1 2 3 4 5
Telecommuting/Work at Home ‫اﻟﺘﻮاﺻﻞ ﺑﺎﻟﻬﺎﺗﻒ اﻟﻌﻤﻞ ﻓﻲ اﻟﻤﻨﺰل‬ 1 2 3 4 5
Wellness Programs ‫ﺑﺮاﻣﺞ ﺻﺤﻴﺔ‬ 1 2 3 4 5
Mentoring/Coaching ‫ﻣﺮاﻗﺒﻪ وﺗﺪرﻳﺐ‬ 1 2 3 4 5
Job Rotation and New Assignments ‫اﻟﺘﺪوﻳﺮ وإﻋﻄﺎء ﻣﻬﺎم ﺟﺪﻳﺪة‬ 1 2 3 4 5
Help with career planning ‫اﻟﻤﺴﺎﻋﺪة ﻓﻲ اﻟﺘﺨﻄﻴﻂ اﻟﻤﻬﻨﻲ‬ 1 2 3 4 5
On-site day care ‫رﻋﺎﻳﺔ ﻓﻲ اﻟﻤﻮﻗﻊ‬ 1 2 3 4 5
Rewards and recognition (e.g., service awards, employee
of the year) ‫ﻣﻜﺎﻓﺂت وﺗﺸﺠﻴﻊ‬
1 2 3 4 5
Employee Suggestion Program ‫ﺗﻮﻓﺮ ﺑﺮﻧﺎﻣﺞ ﻻﻗﺘﺮاﺣﺎت اﻟﻤﻮﻇﻔﻴﻦ‬ 1 2 3 4 5
Education opportunities ‫ﻓﺮص ﺗﻌﻠﻴﻤﻴﺔ‬ 1 2 3 4 5
Training opportunities - job related ‫ﻓﺮص ﺗﺪرﻳﺐ‬ 1 2 3 4 5
Annual Performance Appraisal ‫ﺗﻘﻴﻴﻢ اﻷداء ﺳﻨﻮي‬ 1 2 3 4 5

49
 C. Organizational Culture ‫ﺛﻘﺎﻓﺔ اﻟﺸﺮآﺔ‬

Please rate the following statements on a scale of 1 to 5, where 1 = strongly

disagree and 5 = strongly agree.
‫ ﻋﻦ ﻋﺪم ﻣﻮاﻓﻘﺘﻚ وﺑﺸﺪﻩ‬1 ‫ ﺑﺤﻴﺚ ﻳﻌﺒﺮ اﻟﺮﻗﻢ‬،‫اﻟﺮﺟﺎء ﺗﺼﻨﻴﻒ اﻟﻌﻮاﻣﻞ اﻟﺘﺎﻟﻴﺔ اﻟﺘﻲ ﺗﺘﻌﻠﻖ ﺑﺜﻘﺎﻓﺔ اﻟﺸﺮآﺔ‬
.‫ ﻋﻦ ﻣﻮاﻓﻘﺘﻚ‬5 ‫وﻳﻌﺒﺮ اﻟﺮﻗﻢ‬
Strongly Neither Strongly
Disagree Disagree Agree nor Agree Agree
‫ ﻏﻴﺮ ﻣﻮاﻓﻖ ﻏﻴﺮ ﻣﻮاﻓﻖ‬Disagree ‫ﻣﻮاﻓﻖ‬ ‫ﻣﻮاﻓﻖ‬
‫ﺑﺸﺪة‬ ‫ﻣﺤﺎﻳﺪ‬ ‫ﺑﺸﺪﻩ‬
Supervisors in my agency sit down with employees and
discuss their development plans at least every 6 months. 1 2 3 4 5
‫ ﺷﻬﻮر‬6 ‫اﻟﻤﺸﺮﻓﻴﻦ ﺑﺎﻟﺸﺮآﺔ ﻳﻨﺎﻗﺸﻮن ﻣﻊ اﻟﻤﻮﻇﻒ ﺧﻄﻂ ﺗﻄﻮرهﻢ ﻋﻠﻰ اﻷﻗﻞ آﻞ‬
Employees are often given the opportunity to be part of task
groups and assignments outside their core job
responsibilities. ‫اﻟﻤﻮﻇﻔﻴﻦ ﻋﺎدة ﻳﺘﻮﻓﺮ ﻟﺪﻳﻬﻢ وﻓﺮص ﻓﻲ اﻟﻤﺸﺎرآﺔ ﻓﻲ اﻟﻌﻤﻞ‬
1 2 3 4 5
‫اﻟﺠﻤﺎﻋﻲ ﺧﺎرج ﻧﻄﺎق اﻟﻌﻤﻞ‬
My agency has a career development program that helps
people become more aware of and responsible for their own 1 2 3 4 5
career development. ‫ﺑﺮﻧﺎﻣﺞ ﺗﻄﻮﻳﺮ وﻇﻴﻔﻲ‬
Working on a new projector assignment is an open process
with few barriers. ‫اﻟﻌﻤﻞ ﻓﻲ ﻣﺸﺮوع ﺟﺪﻳﺪ ﻳﻌﺘﺒﺮ ﻓﺮﺻﻪ وﻣﺸﺎآﻠﻬﺎ ﻗﻠﻴﻠﻪ‬
1 2 3 4 5
Supervisors communicate effectively with employees.
‫اﻟﻤﺸﺮﻓﻴﻦ ﻳﺘﻮاﺻﻠﻮن ﻣﻊ اﻟﻤﻮﻇﻒ ﺑﻔﻌﺎﻟﻴﺔ‬
1 2 3 4 5
My agency has a culture that recognizes and values diversity
‫اﻟﺸﺮآﺔ ﺗﺘﻤﻴﺰ ﺑﺜﻘﺎﻓﺔ وﺗﻘﻴﻢ اﻟﺘﻨﻮع‬
1 2 3 4 5
There is an environment of openness and trust in my agency.
‫اﻟﺸﺮآﺔ ﺗﺘﻤﻴﺰ ﺑﺎﻻﻧﻔﺘﺎح واﻟﺜﻘﺔ‬ 1 2 3 4 5
Employees in my agency are treated with fairness and
respect. ‫اﻟﻤﻌﺎﻣﻠﺔ ﻓﻲ اﻟﺸﺮآﺔ ﺗﺘﻤﻴﺰ ﺑﺎﻟﻌﺪاﻟﺔ‬
1 2 3 4 5
Supervisors spend a good deal of time listening to employees'
ideas. ‫اﻟﻤﺸﺮﻓﻮن ﻳﺼﻐﻮن ﻟﻠﻤﻮﻇﻔﻴﻦ‬
1 2 3 4 5
Supervisors have a style that empowers people to take
responsibility and authority. ‫ﻳﻤﻨﺢ اﻟﻤﺸﺮﻓﻮن اﻟﻤﺴﺌﻮﻟﻴﺔ واﻟﺴﻠﻄﺔ‬ 1 2 3 4 5
‫ﻟﻠﻤﻮﻇﻔﻴﻦ‬

50
E. Career Plans ‫ﺧﻄﻂ اﻟﻌﻤﻞ‬

As you think to the future, which of the following best describes your career plans
at this time? ‫أي ﻣﻦ اﻟﻌﺒﺎرات اﻟﺘﺎﻟﻴﺔ ﺗﺼﻒ ﺧﻄﻄﻚ اﻟﻤﺴﺘﻘﺒﻠﻴﺔ ﻟﻌﻤﻠﻚ اﻟﺤﺎﻟﻲ؟‬

Retire or leave State employment within 1-2 years ‫ ﻋﺎم‬2-1 ‫اﻟﺘﻘﺎﻋﺪ أو ﺗﺮك اﻟﻌﻤﻞ ﺧﻼل‬

Retire or leave State employment within 3-5 years ‫ ﻋﺎم‬5-3 ‫اﻟﺘﻘﺎﻋﺪ أو ﺗﺮك اﻟﻌﻤﻞ ﺧﻼل‬

Retire or leave State employment within 6-10 years ‫ ﻋﺎم‬10-6 ‫اﻟﺘﻘﺎﻋﺪ أو ﺗﺮك اﻟﻌﻤﻞ ﺧﻼل‬

No plans to retire or leave State employment in the foreseeable future ‫ﻻ ﺗﻮﺟﺪ ﻟﺪي‬

.‫ﺧﻄﻂ ﺣﺎﻟﻴﺔ ﻟﺘﺮك اﻟﻮﻇﻴﻔﺔ‬

F. Demographics ‫اﻟﺒﻴﺎﻧﺎت اﻟﺸﺨﺼﻴﺔ‬

Please provide us with the following demographic information (All responses will
be kept confidential and reported in the aggregate only): – ‫اﻟﻌﻤﺮ – اﻟﺠﻨﺲ – اﻟﻮﻇﻴﻔﺔ‬
‫ﺳﻨﻮات اﻟﺨﺒﺮة‬

• Age: 18-25 26-35 36-45 46-55 over 55

‫اﻟﻌﻤﺮ‬
Gender: Male Female
‫اﻟﺠﻨﺲ‬ ‫ذآﺮ‬ ‫أﻧﺜﻰ‬
Years of Service: 0-5 6-10 11-15 16-20 21-25 over 25
‫ﻋﺪد ﺳﻨﻮات اﻟﺨﺒﺮة‬

General Comments: Please note any other comments you have that weren't
addressed in the sections above:

THANK YOU

51