Cross-sectional survey reveals employer branding and work environment improve employee retention in banking IT professionals, highlighting job satisfaction as an essential mediator.
The Indonesian banking industry is currently experiencing a rapid digital transformation, intensifying competition among banks to hire and retain digitally skilled employees. The increasing demand for digital talent, combined with a limited supply of qualified talent, has created a challenge for the banking industry in maintaining employee retention (ER). This study examines the effects of employer branding (EB) and work environment on ER, with job satisfaction as a mediating variable. This study employed a quantitative research design, using online surveys to collect 250 responses from IT employees in the private bank studied in Indonesia. The study used a validated measurement instrument adapted into Bahasa Indonesia, and the data were analyzed using Structural Equation Modeling (SEM) and Confirmatory Factor Analysis (CFA). The results show that EB and work environment have a positive and significant effect on job satisfaction and ER. Job satisfaction also positively influences ER and mediates the effects of EB and work environment on ER. These findings provide practical insights for human resources (HR) professionals to improve the retention of digital talent in Indonesia’s banking industry.
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Prasetya et al. (2026) studied this question.
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