Diversity in the US Federal Government: Diversity Management and Employee Turnover in Federal Agencies

Diversity scholars have argued that demographic heterogeneity in work groups is associated with decreased job satisfaction and organizational commitment of employees. As a result, employees in the diverse work groups tend to show higher probability of turnover. I examine how diversity affects job satisfaction and turnover intention of employees by analyzing the sample drawn from the Central Personnel Data File and the 2004 Federal Human Capital Survey. More specifically, the study focuses on the moderating and mediating effects of contextual factors on turnover intention of employees. To test models, I used the hierarchical regression analysis methods. The results show that job satisfaction partially mediates the moderating effects of diversity management and demographic context on turnover intention of employees. The findings of the moderating effects of contextual factors are somewhat mixed. Although effective management of diversity positively moderated job satisfaction in racially heterogeneous groups, it did not significantly affect turnover intention. In addition, ineffective management of diversity decreased turnover intention in racially diverse agencies, countering my expectation. The results suggest that more variables should be controlled to achieve an accurate pattern of the effects of diversity and contextual factors on turnover.