The Determinants Of Employee Satisfaction And Retention In Hotel Business: A Case Of Asean Employees In Bangkok
The emerging of South East Asian countries to form ASEAN Economic Community (AEC) bring in a new chapter of Thai’s economy. The value of employee retention is a great success factor in tourism industry. Thus, this research seeks to examine the extent to which pay-for-performance and non-pay-for-performance systems impact employee retention for ASEAN hotel workers of in Bangkok, Thailand. The objectives for this study are to examine the impact of pay for performance on employee satisfaction, to examine the impact of non-pay for performance on employee satisfaction and to examine the impact of employee satisfaction on employee retention. The research was extended to investigate whether there are differences among ASEAN employees (Thai, Laos, Burmese and and Cambodia) who work for hotel in Bangkok toward employee retention. The survey was conducted through collecting 400 questionnaires from hotel’s employees in Bangkok. Spearman Correlation analysis was used to observe the relationships and One-way ANOVA was used to compare the difference among targeted ASEAN nations. The findings revealed that Employee satisfaction is strongly influenced by pay for performance; but moderately influenced by non-pay for performance. Moreover, Employee retention is moderately influenced by employee satisfaction. Interestingly enough, this research was supported by several previous studies that, unlike western people, employee retention in Asian countries depends more heavily on extrinsic rewards. Among targeted nation, Thai employees’ job retention is quite differ from Burmese and Cambodia. However, job retention of Thai employees are not significantly different from Laos. The results are contribute to management team and human resource management in hospitality industry to project proper employment policy to enhance employee retention.
Keywords: Pay for Performance, Non Pay for Performance, Employee Satisfaction, Employee Retention