Effects of supportive work environment on employee retention

Purpose The purpose of the present study is to investigate the mediating effect of organizational engagement in the relationship between supportive work environment (SWE) and employee retention. Design/methodology/approach Primary data of 211 respondents from 67 organizations were analysed. Confirmatory factor analysis was used to assess the dimensionality and validity of study variables. Further, the hypothesized model was tested with the help of multiple regression analysis. Findings The findings suggest that SWE plays a crucial role in predicting employee retention. Organizational engagement partially mediates the relationship between SWE and employee retention. Research limitations/implications The data were limited to the Indian setting and of cross-sectional design only; so, it may not be generalized across the world. Further, the sample size is also comparatively smaller but the results are not affected adversely. Originality/value The role of SWE along with organizational engagement is currently under-researched in the Indian context. The present study is an intense effort to analyse the mediating effect of organizational engagement in the relationship between SWE and employee retention.