Effect of Sustainable HRM Practices on Job Performance: Mediating Role of Employee Retention

Abstract

The primary objective of this research was to investigate the mediating role of employee retention in the relationship between employee empowerment, high-performance work systems, and job performance in the health sector. A cross-sectional study design was used, and data was collected from the health sector operating in South Punjab, Pakistan. Statistical random sampling method was employed, to a sample of 550 employees the questionnaires was randomly distributed for data collection through a self-administered plan. SPSS software was used and Partial Least Squares Structural Equation Modelling (PLS-SEM) technique was employed for testing of research hypotheses. Current study based its investigation into theory of performance. The findings showed that the relationship between employee empowerment and job performance was insignificant, but the relationship between high-performance work systems and job performance was significant. Additionally, employee retention has a significant mediating effect on the relationship between High Performance Work System, and job performance. The results provide insight for the government, practitioners, and policymakers to better understand the impact of various sustainable human resource management practices on job performance.