Organizational factors that influence employees’ loyalty in fast food restaurant: a study in McDonald’s Alor Setar / Nursuziera Zakaria and Syazwani Abd Halim

Employees’ loyalty is one of the major problems in the fast food industry because the turnover rates of employees in this industry is one of the highest rates compared to the other industries. In Malaysia, the turnover rates in the fast food industry had exceeded 100%. The study examines the organizational factors that influence the employees’ loyalty in fast food restaurant which involves a study in the Mcdonald’s branches in Alor Setar. The data from this study is collected through the distribution of the questionnaire. The numbers of questionnaire distributed were 190 completed questionnaires but only 150 were returned and usable. The data obtained were analyzed and these following findings were found out. The relationship of organization reward, workplace environment and the employee empowerment with the employee loyalty in the fast food restaurant were further examined. All these relationships were found to be significant. However, the employees’ loyalty in the fast food restaurant are still in moderate level. This study also provides strong evidence that it is important for the organization to improve the organizational factors so that they can increase the employees’ loyalty in the fast food industry.