The interplay of mergers and acquisition and digitization on employee turnover in commercial banks

This study investigates the interplay between mergers and acquisitions and digitalization and their effects on employee turnover in commercial banks. Based on the Job Demands-Resources (JD-R) Theory, the study analyzed the influence of organizational and technological changes on job demands and employees’ turnover intentions. A descriptive-correlational research design was employed. The participants were 100 employees from selected commercial banks in Nueva Ecija, Philippines, who were selected through purposive sampling. Data were collected using a structured questionnaire and analyzed using frequency, percentage, weighted mean, standard deviation, Pearson correlation, and multiple regression analysis. The results showed that employees experienced moderate job demands related to company restructuring, job security, role clarity, cultural integration, technological adaptation, skill requirements, and workload changes, as well as moderate turnover intentions. Multiple regression analysis revealed that role clarity, job security, organizational restructuring, and cultural integration were significant predictors of employees’ turnover intentions. Among these factors, role clarity was the strongest indicator of employees’ intention to leave. The combined effects of digitalization and mergers and acquisitions may increase employee stress, workload, and adjustment challenges, which may negatively affect employee retention. There is a need to strengthen leadership support, communication, employee training, and change management practices to facilitate successful organizational change and enhance employee retention. The study was limited to 100 employees from selected commercial banks in Nueva Ecija. Thus, future studies should involve larger and more diverse samples to enhance the generalizability of the findings.