The Impact of Effective Communication on Employee Retention: A Study of Operational Level Employees in the Sense Micro Distributions (Pvt) Ltd

Abstract

The purpose of this research is to examine the impact of effective communication between operational-level employees on employee retention. The selected company for the study is one of the reputed companies in Sri Lanka that provides IT services. This research was conducted using a survey research strategy and quantitative research method. Operational-level employees of Sense Micro Distributions (Pvt) Ltd Company were chosen as the population of the study. Data was collected through a structured questionnaire. A convenient sampling technique was applied to select the sample, and the final sample consisted of 169 operational-level employees of the selected company. Statistical Package for Social Science (SPSS), version 23.0, was used to analyze data. According to the results of the study, it was found that effective communication strongly impacts employee retention. Quality of the information is the highest impacted variable out of Supervisor – Subordinate communication, opportunities for upward communication, and reliability of the information. It can be concluded that there is a significant positive impact of effective communication between operational-level employees on employee retention. The findings revealed that it is widely understood that the quality of data and information is essential in a knowledge-based, data-intensive economy since information integrity and decision quality are strongly correlated.