Influence of human resource practices on employees’ intention to stay in small and medium enterprise in Kuching / Cydiana Usat

In the context of the country's economic transformation, Small and medium sized companies also called as SMEs also are main elements of economics and important role in all economies all around the world. The main objective carried out in this study is to observe the influences of human resource (HR) practices toward employee’s intention to stay in Kuching, Sarawak. Four dimensions of HR practices are training development, career development, compensation and benefits, and performance appraisal. All of these sub-factors were assessed as the predictor of employee intention to stay. This research will investigate the most determinant which affect employee’s intention to stay. A total of 450 questionnaires were distributed to employee in several companies in the Kuching and 390 questionnaires were used for data analysis. Descriptive, Pearson correlation coefficient and multiple regression analyses were done to test the relationships of all the variables. The results indicate that the HR practices were positive and significant correlation with employee’s intention to stay. Finally, conclusions and recommendations were also addressed.