FACTORS AFFECTING EMPLOYEE TURNOVER INTENTION: THE CASES OF

BUNNA BANK S.C.

CPU-Business and Information Technology College

School of Business Postgraduate Program
Business Administration Department

BY: TIGIST TILAYE FETENE

ADVISOR: BEKELE RETA (ASST. PROF)

A THESIS SUBMITTED TO THE SCHOOL OF BUSINESS POSTGRADUATE PROGRAM

IN CPU COLLEGE IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE
MASTERS OF BUSINESS ADMINISTRATION IN MANAGEMENT.

December, 2023
Addis Ababa, Ethiopia
 DECLARATION
I do hereby declare that the work which is being presented in this thesis entitled “Factors
Affecting Employee Turnover Intention, in Cases of Bunna Bank S.C.” with the guidance
and support of the research supervisor is my own original work. It has not been submitted
partially or in full by any other person for an award of a degree in any other university or higher
education institution and all sources of material used for the thesis have been duly
acknowledged.

By: Tigist Tilaye Fetene

Signature:

Date:
 LETTER OF CERTIFICATION
This is to certify that the thesis prepared by Tigist Tilaye Fetene entitled “Factors Affecting
Employee Turnover Intention, in Cases of Bunna Bank S.C.”. I have supervised and directed
the student in undertaking the research reported herein and I confirm that the student has effected
all corrections suggested and suitable for submission for the award of master of business
administration to the best of my knowledge.

____________________________________ ____________________
Supervisor Date
 APPROVAL
This is to certify that the thesis submitted in partial fulfillment of the requirements for the award
of Master of Business Administration by Tigist Tilaye Fetene complies with the regulations of
the College and meets the accepted standards with respect to originality and quality.

______________________ ____________________ __________________

Supervisor Signature Date

_______________________ ____________________ __________________

Internal Examiner Signature Date

_________________________ ____________________ _____________________

External Examiner Signature Date

_________________________ ____________________ _____________________

Dean Signature Date
 ACKNOWLEDGMENTS
My deepest appreciation and thanks go to my research adviser Bekele Reta (Asst. Prof.) as he
provided me with all the necessary support, guidance, materials and constructive criticisms that
helped me stay focused from the beginning of this work to the end. My appreciation also goes to
the Management and Staff members of all sample organizations for their valuable comments and
their support in filling the questionnaires and other required information for the successful
accomplishment of the study.
 Table of Contents
DECLARATION..............................................................................................................................i
LETTER OF CERTIFICATION......................................................................................................ii
APPROVAL...................................................................................................................................iii
ACKNOWLEDGMENTS..............................................................................................................iv
List of Tables................................................................................................................................viii
List of Figures.................................................................................................................................ix
CHAPTER ONE..............................................................................................................................1
1. Introduction..............................................................................................................................1
1.1. Background of the Study...................................................................................................1
1.2. Statement of the Problem..................................................................................................3
1.3. Research Questions...........................................................................................................4
1.4. Research Objectives..........................................................................................................4
1.4.1. General Objectives.....................................................................................................4
1.4.2. Specific Objective......................................................................................................4
1.5. Significances of the Study.................................................................................................4
1.6. Scope of the Study............................................................................................................5
1.7. Limitations of the Study....................................................................................................5
1.8. Organization of the Study.................................................................................................6
CHAPTER TWO.............................................................................................................................7
2. Literature Review....................................................................................................................7
2.1. Theoretical Review...........................................................................................................7
2.1.1. Employee Turnover intention....................................................................................7
2.1.2. Hierarchy of Needs....................................................................................................7
2.1.3. Equity Theory............................................................................................................8
2.1.4. ERG Theory...............................................................................................................8
2.1.5. Maslow’s Theory Z....................................................................................................8
2.1.6. Expectancy Theory....................................................................................................9
2.1.7. Job Matching Theory.................................................................................................9
2.1.8. McClelland's Needs Theory.....................................................................................10
2.1.9. Reinforcement theory..............................................................................................10
 2.1.10. Career Development............................................................................................10
2.1.11. Training and Development...................................................................................10
2.1.12. Career Planning....................................................................................................12
2.1.13. Career Growth Opportunities...............................................................................12
2.1.14. Mentoring and Employee Turnover.....................................................................13
2.1.15. Performance Evaluations.....................................................................................15
2.2. Empirical Literature........................................................................................................19
2.3. Conceptual Framework...................................................................................................21
CHAPTER THREE.......................................................................................................................22
3. Research Methodology..........................................................................................................22
3.1. Introduction.....................................................................................................................22
3.2. Research Design..............................................................................................................22
3.3. Research Approach.........................................................................................................22
3.4. Data Type and Source of data.........................................................................................23
3.5. Methods of data collection..............................................................................................23
3.6. Target population............................................................................................................24
3.7. Sampling and Sampling technique..................................................................................24
3.8. Methods of data analysis.................................................................................................25
3.10. Reliability test...................................................................................................................26
3.10.1. Cronbach’s Alpha Reliability test..............................................................................26
3.11. Ethical Considerations......................................................................................................26
CHAPTER FOUR.........................................................................................................................27
4. Result and Discussion................................................................................................................27
4.1. Introduction.....................................................................................................................27
4.2. Descriptive statistics.......................................................................................................27
4.2.1. Respondents’ Demographic data.................................................................................27
4.2.2. Influence of career development on employee turnover intention..............................29
4.2.3. Influence of the employee-supervisor relationship on employee turnover intention.. 31
4.2.4. Influence of Salary and Benefit affect employee turnover intention...........................34
4.2.5. Influence of working Environment affect employee turnover intention.....................36
4.2.6. Employee Turnover.....................................................................................................39
 4.3. Inferential Statistics.........................................................................................................41
4.3.1. Correlation Analysis................................................................................................41
4.3.2. Assumptions Testing in Multiple Regression..........................................................45
4.3.3. Model Summary......................................................................................................51
4.3.4. Analysis of Variance (ANOVA)..............................................................................52
4.3.5. Regression Coefficients...........................................................................................52
CHAPTER FIVE...........................................................................................................................57
5. Summary of Major Findings, Conclusion and Recommendations............................................57
5.1. Summary of Major Findings...........................................................................................57
5.2. Conclusion......................................................................................................................58
5.3. Recommendations...........................................................................................................58
REFERENCES..............................................................................................................................60
ANNEX.........................................................................................................................................62
Questionnaire.............................................................................................................................62
 List of Tables
Table 1. Target Populations............................................................................................................24
Table 2:- Cronbach’s Alpha Reliability test for the 31 items of questions....................................26
Table 3:- Sex of the respondent.....................................................................................................28
Table 4: Age of the respondent......................................................................................................28
Table 5: Educational Qualification of respondents........................................................................28
Table 6: Employee role of the respondents....................................................................................28
Table 7: Descriptive Statistics Result for Career Development....................................................29
Table 8: Descriptive Statistics Result for Employee-Supervisor Relationship..............................31
Table 9: Descriptive Statistics Result for Salary and Benefit........................................................34
Table 10: Descriptive Statistics Result for Working Environment................................................36
Table 11: Descriptive Statistics Result for Employee Turnover....................................................39
Table 12. Classification of Correlation Coefficient Result............................................................42
Table 13: Correlation Matrix.........................................................................................................43
Table 14. Collinearity Statistics.....................................................................................................46
Table 15. Skewness and Kurtosis..................................................................................................47
Table 16. Model Summary.............................................................................................................51
Table 17. ANOVA Table................................................................................................................52
Table 18: Regression Coefficients.................................................................................................53
 List of Figures
Figure 1. Histogram Plot of Regression Standardized Residual....................................................46
Figure 2. Normal p-p plot of Regression Standardized Residual..................................................49
Figure 3. Scatterplot of Standardized Residuals............................................................................50
 CHAPTER ONE
1. Introduction
1.1. Background of the Study
The Government of Ethiopia gave permission to the establishment of private banks and
insurances in 2001, but doesn't yet permit foreign ownership inside the sector within the country.
The Ethiopian banking sector is currently consisting of a financial organization (National Bank
of Ethiopia or NBE), one in all state own development bank, a government owned bank and
twenty-one private banks.
Bunna Bank S.C (previously named as Bunna international Bank S.C) is establish as a Share
Company on 10th of September 2003 in contract with the Commercial Code of Ethiopia of 1980
and therefore the Licensing and Supervision of Banking Business Proclamation No. 84/1994 and
get hold of a banking services license from the full service bank of Ethiopia and is register
with the then Trade, Industry and Tourism Bureau of the capital of Ethiopia City. At the time of
its foundation, Bunna Bank's authorized capital was Br. 100 million, out of which Br. 20,865,100
was entirely subscribed and paid-up in cash by 335 founder-shareholders. Bunna Bank's main
concern within the coming years is to build up its capital base, maximizing return on equity and
get pleasure from the most current technology so as to keep on alongside each other with the
most up to date developments within the local and international financial services industry.
(www.bunna-bank.com.et,) Over the years, outsized and ever-increasing customers Bunna Bank
correspondent base is made itself into a progressive and modern banking institution, competent
with a powerful financial structure and strong management.
In the course of the year, the development of the Bank’s Head Quarters is reaching its end and
inauguration of the building been launched at the month of January 2022 as the researcher
fortunately confirmed by his presence there. Within connection, the procurement process for
acquiring the required article of furniture and fittings that may match the grand image of the
long-lasting Head Quarters building had already been set in motion. (Annual report of
2022/2023) Employee turnover can be describing as an employee stop to work for an
organization. On a larger scale, it is explaining as the percentage of employees leaving a
company in a specific period of time, typically a year (Armstrong, 2006). However, the
measurement of the number of people who left jobs and the reasons for their departure made
known whether any action was needed to improve protection rates. Due to miss production and
in excess of replacement expenses, lead turnover which is still more costly (Armstrong, 2008).
Academics and management have to give close consideration to employee turnover. A large
amount of the effort was focused on discovering what caused it. That is why employee turnover
turn out to be an important subject matter of human resource management.
Employee turnover can be divided into two which are voluntary Employee turnover and
involuntary Employee turnover. Voluntary turnover can be describe as the employee preference
to leave, but in the case of involuntary turnover, the employee has no right to choice. Employees
are terminating for causes further than their control, such as continuing illness, death, moving
abroad, or employer- kicked off termination (Martin, 2003). Internal employee turnover and
external employee turnover is restructuring by Ruby (2002). Employees leave-taking their
existing situation and taking new positions within the same organization are address to be
internal employee turnover. Classic human resource mechanics, such as an internal staffing
policy or formal chain planning, can help to limit and control internal turnover. External
employee turnover is a parting of the company because of external factors. Numerous academic
professional have associate turnover to work discontent and a lack of organizational commitment
as sign of intention to leave. The common explanations of personnel turnover are poor relations
between employees and managers (Blake, 2006). When there is a conflict, resolution mechanism
has also greatly influenced staff retention (Armstrong, 2006). Lack of a career planning is causes
staff turnover as high job dissatisfaction increases among employees (Grobler, Warnich, Carrell,
Elbert and Hatfield, 2006). And also inequality between the employee’s expectation and
profession and the job or the organization is impact too. (Barney et al 2009). The level of
compensation spreading and inequality within same company drives turnover as employees leave
when rewards, such as bonuses and incentives, are not allie with performance. (Luyt, 2008).
Therefore, researchers sought to establish causes that influenced employee turnover in terms of
career planning, growth opportunities, training, mentoring and coaching, employee relationships
with supervisors, performance evaluations, salaries, and bonuses at Bunna Bank. They also
measured the extent of influence of these different factors on employee turnover by testing
hypotheses and suggested possible solutions to address these most significant factors in Bunna
Bank S.C.
1.2. Statement of the Problem
Employees who leave the organization can cause interruption in operations, work panel
dynamics and component performance. Turnover makes costs for the business. These costs
comprises: employment costs of replacements, leaving costs, indirect cost, and training costs of
replacements of downtime need for brand new employees to attain proficiency. Anytime an
employee leaves the firm, productivity go down because of the training curve concern in
understanding the work and the organization. In addition to it, the loss of intellectual capital
includes to the current cost, it is not only the organizations loss of human capital and relational
capital of the departing employee, but also competitors are potentially acquiring these assets.
Currently, Bunna Bank is high rate of turnover rate treat. If we momentary look at the statistical
data of the bank in June 30, 2019, out of the whole number of 2921 employees 76 of them left
which description is 2.6% of the overall number of employees and if we glance at the recent data
of June 30, 2022 the overall number of employees reached 4064 from this employees 219
employees left the bank and also the percentage share of turnover reached at 5.4% (Annual
Management Meeting Reports, 2019 & 2022).
The Bank’s staff headcount had counted 4,433 (748 managerial, 2,410 clerical and 1,275 non-
clerical) as at June 30, 2023. The quantity demonstrated a rise of 369 employees as compared to
the general number of 4,064 employee’s reporter on June 30, 2022. The variation is account for
by the recruitment of 541 new and the attrition of 276 employees. Moreover, the Bank hiring by
agency a complete of 2,075 Security Officers and Searchers (1,077 for City Branches and 998 for
Outlying Branches). There have be also 28 (8 managerial, 2 clericals and 18 non clerical) staff
working for the Bank on contractual basis. Therefore, the combine total staff strength of the
Bank (permanent, contractual and outsource) stood at 6,508 as at June 30, 2023 (Bunna bank
annual report 2022/2023).
Turnover can bring decrease of organizational culture that develop within the whole bank life
time and might cause decline of service quality delivered to the customer. Because of the well
career and trained staffs leave the bank, all the knowledge, effort and means of accomplishment
of work also windswept from the bank. This got the bank a downturn in social reputation,
reduced its profit, and potentially incurred losses, unless the bank conducted such research,
considered the outputs of the research, and implemented them.
This study search for therefore to see those factors which influence turnover at Bunna Bank by
analyzing a number of areas include the present career development (career planning, Training
and development, and career growth opportunities), mentoring which incorporates (employee
supervisor relationship, and performance evaluations), and eventually reward system which is
(salary rewards and bonus rewards) at Bunna bank.
Researching factors affecting turnover intention can also be motivated by a concern for employee
well-being. High turnover rates can indicate underlying issues related to job satisfaction, work
environment, career development, or other factors that may affect employees' overall job
experience. By conducting this research, the aim is to identify and mitigate these factors,
ultimately promoting a healthier and more fulfilling work environment for employees at Bunna
Bank S.C.
1.3. Research Questions
The research was done on the following research questions: -
1. How career development affects employee turnover intention?
2. How employee-supervisor relationship affects employee turnover intention?
3. How low salary and benefits affects employee turnover intention?
4. How working environment affects employee turnover intention?
1.4. Research Objectives
1.4.1. General Objectives
The general objective of this research is investigating the factors affecting employee turnover
intention, in cases of Bunna bank S.C.
1.4.2. Specific Objective
 To investigate how career development affect employee turnover intention
 To investigate how employee-supervisor relationship affect employee turnover intention
 To investigate low salary and benefits affect employee turnover intention.
 To investigate how working environment affect employee turnover intention.

1.5. Significances of the Study

This study brings to light employees understanding and appreciation that causes the influence of
employee turnover in the given organization. It contributes to knowledge and literature because it
focuses on the causes that influence employee turnover. To forward the concern bodies to look
for the solution for the problems that takes place in the organization during high rate of turnover.
It was an input for managers to decision-making intention. It develops the researcher’s ability
and skill to carry out further research and also researchers gain more experiences. The research
findings generate new information which can help the managers and enable to understand the
causes that influences employee turnover. The produced information helped the organization.
to come up with involvements that improve the performance of employee retention within each
staff. The research also helped the management of the organization by exploring different
directions to understand the reasons why employees left the organization. And also, this study is
significance for future researchers to identify the gab and investigate further researches base on
the suggestions of this study.
1.6. Scope of the Study
The study would have been more comprehensive if it had included most of the outside city
branches found in the bank. However, due to resource and time constraints, it was impossible to
cover other outside branches. Therefore, the study was confined to the Head Office of Bunna
Bank and its two special branches located in Addis Ababa, specifically focusing on some A and
B grade branches. Descriptive and explanatory research design is use and closed and open-ended
questionnaires, and interview is use to collect data. The researcher delimited the study only on
the factors affecting employee’s turnover for the last three years in the head office of Bunna bank
S.C. (2020-2022G.C). These are totally 64 branches in the district where each branch on average
consists of at least 5 staffs including the branch manager apart from those graded big branches.

1.7. Limitations of the Study

The results of that study were very important; however, it was not without limitations.
Confidentiality of information hindered the respondents from giving the needed information.
Hence a researcher assures them that, the information given is to be use for academic purposes
and strictly not otherwise. Uncooperativeness spirit shown by some respondents having varied
reasons, either they don’t care, being busy or whatsoever. To overcome this, a researcher
prepares a timetable that coped with their situation and be easy for them to participate/follow.
Ensure an effective means of follow-up is sustain so as to win their cooperativeness in both
aspects. Lastly, financial constraint is an unavoidable issue. To meet an enormous number of
respondents, need not only sample time, but also money to visit them wherever they are and
whenever available.
 1.8. Organization of the Study
This research had five chapters. In the first chapter, the background of the research was
presented, followed by the problem statement, objectives to be achieved, research questions,
significance, and scope and limitations of the study. In chapter two, the literature review related
to the study and the conceptual and empirical review of the research were discussed. The third
chapter presents, research methodology this section discusses the research design and approach
of the study, data source and method of data Collection, Sampling method and sample size also
presented in this section. Chapter four –data analysis and interpretation Lastly, chapter five
results and discussions, in this section the main findings of the research are summarize and
conclusions on major findings is present. Sampling, data collection and analysis.
 CHAPTER TWO
2. Literature Review
2.1. Theoretical Review
2.1.1. Employee Turnover intention
Carrell et al, (2005), stated that turnover is the faction of employees out of the business and
results from resignations of employees, transfers out of the company’s units, discharges, leaving
at aged and death of employees. High turnover can be a serious obstruction to organizational
efficiency, importance, and productivity of firms of all sizes as confirmed by Blahna, (2005).
Arnolds and Boshoff, (2004) and atkinson et al, (2014) described that voluntary turnover are
reasoned by pull, push and outside factors are aspect that affect employee turnover. Pull factors
are related with the attraction of organization’s rivalries. The employees assure with better
paying job, a career advancement chance that they would not take discharge of in the short term
when they stayed with their nearby organization. External factors are related to situations in
which someone leaves for reasons that are unconnected to their work. The push factors are due to
employee’s displeasure in their jobs to search for another company. Employees start to leave
without having a new job ready about other choices, discussion to recruiters, looking at the job
announcement in the newspaper, on the internet or to others commercial sources.
According to Bilelign Lemma assessment on Dashen Bank page33 (2014) a causative to working
environment and training and career growth opportunity for the supervisor in the business unit
has to be perverted by the Human Resource Department.
Inadequate development opportunities, career planning and growth opportunity, training and
development, unsuccessful supervision, unfortunate performance evaluations and unmerited
reward systems are the most ordinary pick up the rate of factors for the employees to put down
their job. Wasti, (2003).

2.1.2. Hierarchy of Needs

Abraham Maslow's hierarchy of needs theory placed employees' wants into five progressive
categories, and one had to pass the lower level of satisfaction before entering the higher level.
This meant starting with basic physical needs and progressing towards needs for personal growth
and career development Ozodboyeva (2022). It is strong theory as it claims that through meeting
each level of employees' needs employers can motivate the employee to truly commit to
workplace goals. Even if employee satisfied better in their location they leave the organization,
because the organization cannot meet up every requirement of its employees and this theory does
not consider human needs are continual. This means no clear point showing that show the
highest level of satisfaction. This study can also guide by this theory because as it is depicted in
the case of Bunna Bank s.c , employees in some organization leave their job after they are
rewarded and well-motivated. According to Maslow, the failure to fulfill the lower-level needs
would compel employees to leave the organization, as their needs must be met in a sequential
manner. Consideration under this theory is that human needs are endless and in real facts the
organizations cannot meet every need of its employees.
2.1.3. Equity Theory
Equity theory, Yeong Joon (2022) talked about that employee consider even handedness on
equity by comparing their relevant with others against their efforts and rewards. The perceptions
of individuals about the equality of rewards relative to others do inspiration their level of
motivation. The theory argues that the more concentrated the employee considerations that he or
she is either more or less paid, the higher the stress and the stronger the motivation to act
(Huczynski and Buchanan 2007). Since it considered their productivity, rewards and its outcome
the theory was adapted for the research.
2.1.4. ERG Theory
Songkhla, Woraporn (2022), the ERG theory (existence, relatedness and growth theory)
requirements do not need to be met in ordered way which means at a particular time there can be
more than one need.
However, the theory has disregarded the fact that it is not easy for an organization to find out the
desires of each employee since they differ from one person to another and with time. Therefore,
this theory was not implied to direct this study.

2.1.5. Maslow’s Theory Z

Timothy T. F. Yu (2022) on his theory Z argued that organization should enlarge employee
devotion by providing a job for life with strong focus on employee security on job and off the
job. (http:en.m.wikipedia.org). Stable employment, high productivity, high employee morale and
satisfaction are the one that the companies should give stress to because workers have a high
want to be support by the company, and highly value a working environment in which such
things as family, cultures and traditions, and social institutions are regarded as equally
considerable as the work itself which is depicted in this theory. This theory is valued in the view
that managements must have a high degree of assurance in its workers in order for this nature of
participative management to work. Therefore, this theory was not to guide this research.
2.1.6. Expectancy Theory
On expectancy theory Anna Nikulina (2022) argued that employee look forward to take delivery
of in return equivalent to their commitment and amount of work put forth in the organization.
Employee may put minimal efforts in work and can quit the job if they get little compensation
and no growth opportunities in return of their work. According to Mullins (2001), incentives
work effectively when there is a functional relationship between the efforts exerted, perceived
potential outcomes, and the expectation that rewards linked to performance. The importance of
this theory in this study however, is on the fact that the spirit of employee turnover in banking
industry in Bunna bank can be examined and evaluated on the base of the workers conditions in
terms of their future and continuing expectations like upgrading of pay as the economy changes,
compensations and other rewards which might increase their working morale.
2.1.7. Job Matching Theory
Job Matching Theory, Byunghyun Lee (2022) assumes that for each employee a no degenerate
allotment of productivities is present from corner to corner of different jobs. The same is true for
the employer – employees change in their productivities in a given task that the employer needs
to have performed. Secondly take for granted that employers can acquire in touch with with
employees on an individual basis. The employer reward an employee with whom he matches
well by paying the employee relatively more. He discusses that firms search for better employees
and employees look for superior firms, an ongoing process until there is good struggle between
the two parties. Considering that employees in the banking industry are searching for jobs to ever
increasing number of financial institutions and a good number of financial institutions do look
for experienced workers who have adequate skills, experience and high degree of commitment.
The collapse to recognize these variables build this theory to be insufficient to direct this study.
Therefore, this theory was not taken to direct this research.
 2.1.8. McClelland's Needs Theory
According to McClelland's Needs Theory Ayu Dwi Nindyati (2022) there are three precise needs:
the need of achievement, the need for power and the need for affiliation (association). Everyone
prioritizes their need in a different way because s/he believes that individuals are not born with
their need but learned all the way through life experiences. The theory has a guide to this study
that individuals are strongly motivated by job situations with personal accountability, feedback,
and a transitional degree of risk.
2.1.9. Reinforcement theory
Through reinforcement, punishment, and extinction the employers can change the employee
behavior. As rewards are used to strengthen the behavior you want and punishments are also used
to stop the behavior you do not want. Viewing the fact, reinforcement can be divided as positive
and negative reinforcement.
Positive reinforcement occurs when the consequence that follows a behavior increases the
likelihood of the desired behavior being repeated. Negative reinforcement occurred when a
negative outcome was removed or suspended upon the establishment of a desired behavior,
thereby increasing the likelihood that the desired behavior would persist.
2.1.10.Career Development
From both the organization and employee’s perspective career development is the outcome of
career plans as stated by Puah and Ananthram (2006). Both for the employee, and for the
organization’s benefit career development is needed because it is the permanent process of
encouragement and educating individuals working skills through talent, skills and knowledge.
According to Ananthram (2006) research in banking industries employee turnover and career
development has a strong relationship between them.
2.1.11.Training and Development
Research done by Dwomoh and Korankye (2012) depicted that there are a significant correlation
between employee turnover in the banking sector and Training and development opportunities.

Therefore companies like bank, should invest on training and development to a comparative
advantage than their competitive.
According to Beruktawit Ayalew, (2017), training and development is a function of human
resource management concerned with organizational activity aimed at bettering the performance
of individuals and groups in organizational settings.
The research of Griffeth, and Hom (2002), revealed that the respondent depicted that the most
reasons for the employee turnover were the inadequate of training and development in the
organization.
There exist a high-involvement of employees in training directly and positively correlates to
decrease in employee turnover in the banking sector, as argued by Batt (2002).
As present by Woodruffe (2010) on his research on impact of training on employee’s turnover in
the banking sector in the UK depicted career goals are being addressed by an organization, the
more their commitment and loyalty to the organization found that training, education and
development are critical to the career development of an employee.
Those banks spend in the training and development of their employees would have acquire
strong employee base and bring out their commitment. (Noe, Holleneck, Gerhart, and Wright,
defined Training as the systematic planned attempt to facilitate employees’ achievement of job-
Related knowledge and skills so as to advance productivity. Wan (2007) states that
comprehensive training and development is the only strategy the companies can increases an
employee’s commitment of workforce productivity and trim down employee turnover. But shama
(2006) argues that by creating opportunities for employee training and development, banks
increase the chances of their employees’ ability to succeed in the market. Similarly, Testa (2008),
repeat the same opinions that employees’ skills development through training increase their
competitive advantage in the labor market hence their self-confidence of their job security. Batt
(2002) argues that in the banking sector high-involvement of employees in training and
development directly and positively associated to cutback in employee turnover.
In banking sector of UK as Woodruffe (2010) stated on his research on impact of training on
employee’s turnover, training, education and development are serious to career development of
an employee. The more an employee feels that his/her career goals are being addressed by an
organization, the more their commitment and loyalty to the organization. Study by Babakus, et
al., (2003) on retention in Nigerian banks found that training give a signal to employees that
management is dedicated to their retention. Lack of training and career development
opportunities were the most mentionned reasons for employees’ turnover in an organization in
the study of Griffeth, and Hom (2002). According to Bassett and LIoyd (2005) study an increase
in high-performance within Nigerian banks depicted as a result of a rigorous effort in training of
employees that resulted in low employee turnover. All this implies that, banks that provide
training to their employees have a large degree of reducing employee turnover.
2.1.12.Career Planning
career planning as the process that allows individuals to acquire requisite knowledge and skills,
so as to achieve their career goals for the dynamic job market as it is defined by Puah and
Ananthram (2006) . (Hall, 2002) also stated that career planning is the ongoing process of
refining, implementing and monitoring career goals made by an individual or an organization,
and evaluating the steps undertaken to achieve the goals.
DeVos, et al., (2003) showed that employee commitment to the organization is highly influenced
by the career planning towards employee. In the banking sector can no longer commit for job
security but it is important to the organization to ensure careers skill for key employees are
planned for them particularly in the banking sectors.
Employees turnover are negatively associated with the employees dissatisfaction with career
planning and development opportunities as argued by Choi, et al., (2012). Career planning is a
strategy of reduction in employee turnover besides that its function on the development of
employee career according to Liu et al., (2010).
2.1.13.Career Growth Opportunities
Career growth opportunity is an upward mobility that the availability of chances are provided by
the organization that employee wish to come across as stated by Mayrhofer et al., (2007). Salary
and other related remuneration cost are the one that hinder the organizations to not provide the
career growth opportunities. According to Puah & Ananthram, 2006) there is strong correlation
between career growth opportunities and employee turnover. Armstrong, 2009 argued that lack a
contingency plan in managing their employees’ career growth in an organization brings a high
employee turnover. Agarwal, et al., (2006) also portrayed that failure to meet employee’s
expectation in career growth opportunities results in high turnover with employees’ seeking these
opportunities elsewhere.

Duffy, et al., (2011) claims that organizations that place obstacles in employee’s career
development stand a greater chance of focusing dissatisfied employees who would quit the
organization at any best available opportunity for growth. Samuel (2010) associates moving up
the organization to moving out of the organization and counts for basic career growth that can
cause turnover. Opportunity for advancement or promotion outside the organization enforced the
inside organization employee turnover as Feldman and Nigel (2008) extrapolates their argument.
2.1.14.Mentoring and Employee Turnover
Mentoring is long-term relationship that exists between employee and mentor as stated by
Richard et al., (2009). According to Brashear, et al., 2006; Pullins and Fine, 2002) the tendencies
of employee turnover can be reduces by existence of strong relationship between the employee
and the supervisor, performance appraisals and working condition. There is also a significant
correlation between mentoring and employee turnover in the banking sector according to the
research executed by Levenson et al., (2006), Richard et al., (2009), and Brashear, et al., (2006).
Similarly researchers who have studied mentoring and employee turnover claim that there is a
significant correlation (Donald, Hollmann, and Gallan, 2006). Similarly, research done by
Levenson et al., (2006), Richard et al., (2009), and Brashear, et al., (2006) indicates that there is
a significant correlation between mentoring and employee turnover in the banking sector. It is the
lasting bond that enables employees to improve their commitment to an organization by
establishing relationships between the mentor and the responsibility as argued by Samuel (2010).
There is a positive significant relationship between employee performances and effective
mentoring programs on mentorship of the banking sector as the research done by Richard, et al.,
(2009).
Most organizations do pay more attention of employee’s performance appraisals as a way of
measuring performance but employee performance is tied to employee satisfaction which is tied
to coaching and mentoring because Mentoring builds the consistency of employee and the
organizations which have mutual relationship that not only cares for the objectives of the
organization, but also for the goals and career ambitions of the employee as it claimed by Samuel
(2010). There is a significant relationship between employee coaching and mentoring and
employee turnover at organizations as argued by Jones and McIntosh (2010).

For the built argument there are two principles that satisfied employees are committed employees
and committed employees are loyal to the organizations objectives as two researchers studies
claimed (Levenson, et al., 2006) and (Grosskopf and Atherman, 2011).
While supervisor assigning responsibilities, work, or the way they intervening with in employees
there may create a toxic environment which can be cruel for the organization that could be
sufficient reason that leads to employee turnover.
Research on millennial employees those supervisor who can empower millennial employees
meet their want because they assumed he is also working for them for greater success in their
careers. (Thomas and Tymon , 2009). Following this research and applying it on the Banking
industry’s, by Tareef, 2012) and argued that failure to fulfill empowering of millennial employee,
which create dissatisfied employee that hindered banks and leads to high turnover.
Dissatisfied employees cripples the concept of supervisors-employee autonomy since high
turnover the sectors to hire new for the organization or hiring fresh employee that take time to
adapt working environment and know the style of the supervisor. (Jaffari, (2011)
According to Khattak, 2011, Mentorship grants employee autonomy in the banking system but
lack of this autonomy create micro-management makes felling of the supervisors contempt and
hereafter employee turnover would be increased. Khattak argued that employee commitment can
be enhanced by this mentorship concept and built mutual relationship. But contrary to this
argument Firth et al., (2007) argued that in the banking sector mentorship autonomy decrease
turnover does not hold true. Millennial employees demanding freedom of doing their own way
using the direction of management and need flexibility to have work responsibilities according to
Mbah and Ikemefuna (2011).
Millennial employees demanding freedom of doing their own way using the direction of
management and need flexibility to have work responsibilities according to Mbah and Ikemefuna
(2011).
It is of necessity that employees’ personal strengths, uniqueness, and rights be treated as primary
elements that reduce turnover in the employee-supervisor relationship, (Ghosh & Sahney, 2010).
Consequently, Kuvaas&Dysvik, 2010) describes that the effective training of supervisors in
managing employees in the banking industry, has a direct correlation with the ultimate
employees’ job satisfaction and turnover. The degree of supervisor who granted the freedom in
his mentorship determined the rate at which the organization experienced turnover. Karl,
Pelucette, and Hall (2008), argue in the affirmative that there is a direct correlation between
effective supervisors – employee relations in the banking sector. This built the guideline that
supervisor facilitate professional development of employees that enables consistently model,
autonomy and growth enhance employees’ commitment to banks.
Armstrong, (2009); Ashar, (2013); Brashear et al., (2008) argued that a mentor to employees’
relationship under their imperative domain attempt to reduce employee turnover by making
appreciative positive contribution that enhances employees work experience and satisfaction.
Supervisors’ knowledge, attitudes and behavior towards employees’ have a significant impact on
employee turnover through their guiding, shaping and transforming employees. (Karl et al.,
2008).
2.1.15.Performance Evaluations
Under the instruction of their supervisors, performance evaluations provide employees sufficient
opportunity to establish their work plans, objectives, and goals. Cleveland et al.,(2003)
employees get frustration that have a significant relationship with employee turnover if they
perceived that the kind of evaluations are skewed negatively towards them and don’t get
sufficient feedback from their supervisors on expectations, performance, and goal setting.
Performance evaluations in the banking sector tied employee and supervisor because it can be
the source of acrimony between employees and their supervisors who are to have oversight and
mentorship role over them if there is failure to have employee evaluation discrete. (Pritchard &
Payne, 2008).
Equally Cleveland et al., (2003) argue that banking sector as any other sector used to evaluate an
employee’s performance to make decisions on promotions, demotions, or even termination.
Supervisors can use this appraisal system as an instrument for progressive performance or for
punishing employees
Based on how the appraisal is designed, the appraisal system can be an instrument for
progressive performance or for punishing employees (Bernardin, 1984). If the appraisal system is
Illogical and punitive or assumed as like this by the employee the resultant effects are massive
turnover. (Ahmed et al., 2012).
Banks practice performance appraisals to manage end year bonuses to their employees’ as
described by Ishaq et al., (2009). Loss of morale and subsequent turnover has happened after the
bonus which base the result of bad appraisal reviews. Dechev, (2010); Franken, (2012) argued
that employee negative perception on the fairness of appraisal system and rewarded based on it
limits the organization commitment or turnover intentions. Ahmed et al., (2012), Arbaiy &
Suradi, (2007) argued that job satisfaction levels can be determined by appraisals, which can
enhance the employee turnover or employee commitment to an organization.
Bank managers are reluctant to effectively administer appraisal for fear of the essential purpose
instead of terminating underperforming employees, they issuing reprisals and warnings. The
jittery employees fear to get guarantee of their future to continue with the bank increase the
turnover rate as described by Mbah & Ikemefuna, (2011).
Different researches such as Poon (2004), Ishaq, et al., (2009), Dechev, (2010), Franken (2012)
depicted that in the banking sector there is strong relationship mentoring process in conducting
performance evaluations and employee turnover.
Rewards systems are mechanisms through which organizations show appreciation towards
employees for their commitment, performance, skills, knowledge or loyalty towards the
organization. (Zhou et al.,(2009).
There were many kinds of reward systems like medical covers for employees, fully paid
vacations, paid leave, paid study leave, flexi working arrangements, and even promotions and
recognitions. However, for the purpose of this study, the research focused on salary and bonus
within the bank sector at Bunna Bank S.C. Managers that recognizing each employee’s effort and
rewards employees adequately have a higher rate of employee retention than the other who do
not appropriately be acquainted with.
Walia, et al., (2012) contends that managers determine levels and hierarchies of needs most often
focus on bonuses and salaries without conducting any survey within their employees. But
according to Choi, et al., (2012), for most employees’ salaries and bonuses are an important part
that forms both intrinsic and extrinsic motivation. They further argue that the segmentation of
rewards over and above the salaries and bonuses is what differentiates employee retention of
turnover.
Salary is the monthly payment for work done that an employee gets at the end of every month.
On the other hand, based on organizations profitability there is bonus. Bonuses are rewarding
that organizations monetary payment to their employee after the fiscal years end up and
rewarded based on their contribution level to the attainment of the profit. Simply it is a profit
sharing mechanism of organization with employees.
There had to be a professional bank policy on salaries, bonuses, and promotions; otherwise, it
would have resulted in favoritism and nepotism, which caused employee dissatisfaction and
resulted in employee turnover, as Zhou, et al., (2009) argued.
Foon, et al., (2010), in the banking sector, salaries, bonuses and promotions are tangible rewards
systems that enhance the deter employee not to leave the organization because remuneration
correlates with turnover rates within the bank. He also argued that the system is bedrock for the
organization for rewarding employees. And the organization shall not take is as punitive ways
because it might surges employee turnover. To reduce turnover intension and actual employee
turnover organizations custom better rewards system to attract and retain employees.
Employees tend to leave the banking system to other organizations that do offer more
competitive packages than organizations they are working for (Babakus, Yavas, Karatepe,
&Avci, 2003). However, organizations with perceived better rewards system, do attract and
retain employees, thus reducing the turnover intentions, and actual employee turnover.

According to Zhou, et al., (2009), organizations that don’t foster reward systems that are
structured on empirical and research do suffer from subjective rewards systems, rather than
objective rewards system. According to Adeniji, Osibanjo, and Abiodun (2013), subjective
rewards system are usually designed from a single prism, management prism. The desire of
organizations under subjective rewards systems is to enhance profits and organizational
performance at all costs. Employee’s requirements are not the right of way within organizations
objectives. Most organizations consider salary as an sufficient reward, and employees should be
appreciative they get paid.

Adeniji, Osibanjo, and Abiodun (2013) further argue that objective rewards systems are designed
to not only enhance organizations performance objectives, but also to advance employees goals.
Some of the rewards employees consider objective include career growth opportunities,
promotions, health facilities, pension facilities, bonus facilities among others. According to
Mitchell et al., (2014), objective rewards systems constitute the intrinsic rewards.

Intrinsic rewards are basically the motivations that employees appeal to depending on their
different stages and levels of needs and wants (Choi, et al., 2012).The Maslow hierarchy of
needs defines what most employees require as motivation. According to Adeniji, Osibanjo, and
Abiodun (2013), organizations that are able to articulate employee’s hierarchy of needs have a
higher rate of addressing them. Addressing employees needs leads to satisfied employees who
subconsciously pledge their loyalty to the organization, and as a result, leads to a reduction in
employee turnover.

2.1.1.1. Salary
To fulfill their basic survival needs such as food, clothing and shelter, people works to have an
income. This income can be in the form of monthly basis which is called salary. According to
Walia, et al., (2012) employee turnover is influenced by its factors salary and associated benefits.
Satisfaction through income gets further direct to employee maintenance. There is competitive
advantage for the bank to restrict any salary related turnover because they offered attractive
salaries than the market (Babakus, Yavas, Karatepe, &Avci, 2003).

Further, Researchers like Walia et al., (2012); Campbell, (1993) and Greenberg and Baron
(2008), argue that the tendency of turnover are increased highly when an employee is paid lesser
than the going market rate and they constantly searching and seeking other banks who could
offer better pay package.

Conversely, Choi et al., (2012) argued that even if there is a high turnover in the lower paid
employee the turnover cost to the bank is negligible than employees in higher paying units. He
further argues that regardless of salaries banks should concentrate on employee retention
strategies.

On the other hand Franken (2012), viewed that employee turnover is as a result of salary scale;
because they search for jobs that better than they currently have paid. Franken reasoned that
inequalities in wage structures leads to demotivation, poor performance and employee turnover.
Employees whom performing the same jobs and responsibilities but with different salary rates
get into turnover and discontent.

As Donald Jr, Hollmann, & Gallan, 2006) maintained, to eliminate contentions and office
politics salary compensation must be designed properly through standardization or professionally
designed grades.
2.1.1.2. Bonuses
Lee, (2021) contended that Bonus payments are annual or by-annual payments that organizations
give to their employees as a token of appreciation for good accounting performance of the
organization.
In the banking sector the main objective of these payments is to enhance motivation and elicit
loyalty and commitment to the bank and have different rate like flat rate, fixed rate, wage rage or
salary rate to effect bonus payment as stated by Adeniji, Osibanjo, &Abiodun, (2013). But
according to Mitchell et al., (2014), bonus payment could not effect while there is good financial
years. Besides managers can create disparity between the bonuses that are paid and those that are
not paid, and those that are paid to top managers and their subordinate have great difference
which usually elicit eventual turnover from employees who feel discomfort of their performance.
2.2. Empirical Literature
There are some researchers conducted around the world that showed the relationship between
effects Performance evaluation and employee turnover. Under this topic the researcher considers
only few studies to show the gap and the relationship between Performance evaluation and
employee turnover in the Bunna Bank.
The study conducted by (Cooper, 2021) with the primary purpose to explore the factors which do
determine the employee turnover. Further the study is also considered the mediators as well. One
of the mediators is the employee personal characteristics whereas the other one is related to
climate. The study hypothesized a relationship between performance evaluation and employee
turnover. The results of the study also support the hypothesis as the relationship is negative and
significant. In addition, the study also hypothesized that employee reward system influences the
employee turnover. The results of the study also supported the hypothesis. In addition, social
climate has also been considered as predictor of employee performance evaluation. The results of
the study also supported the hypothesis. Regarding the mediator study hypothesized both the
employee reward system and social climate as a mediator for the relationship between
performance evaluation and employee turnover. The results of the study also supported the both
hypotheses.
This study advances our knowledge of the performance evaluation chain and highlights the
important role of well-being-employee turnover as a tool to create sustainable workplaces. We
drew upon Mentoring and Coaching and a social relational perspective to conduct a multilevel
and multisource study in the context of the Chinese banking industry. The findings show there is
a negative relationship between performance evaluation practices and employee turnover; social
climate mediates the relationship between well-being-employee turnover practices and employee
reward; and there is a negative relationship between performance evaluation and employee
turnover; employee resilience, in turn, mediates the relationship between reward system and
Employee turnover. Our study has implications for firms that wish to build their sustainable
competitiveness through well-being-performance evaluation to enhance levels of employee
resilience and subsequent performance
As a limited research work is done in Ethiopia, we can find only a few studies on the relationship
of human resource management practices and employee performance in Ethiopia, specifically in
the sector of Private limited sector. So, related to this topic of research, there is a lot of capacity
in this area to understand this relationship properly. This capacity is creating a research gap in
this area of core importance for the economy of Ethiopia. This study is intended to narrow down
this gap.
 2.3. Conceptual Framework
In this research conceptual framework developed based on an insight gained from the literature
review. Various factors can be the cause of employee turnover which in turn have impacts in the
employee turnover and the future of the bank. All the factors that are considered in the research
depicted below.
The conceptual frameworks for the study have taken employee turnover as dependent variable
and, career development, employee-supervisor relationship, salary and benefits, working
environment as an independent variable which if not managed and implemented properly leads
to high turnover.
Independent variables Dependent Variables

Career
Development

Employee-
Supervisor
Relationship
Emloyee Turnover

Salary and Benefits

Working
Environment

Conceptual Framework: Compiled by the researcher, 2023

 CHAPTER THREE
3. Research Methodology
3.1. Introduction
This chapter includes the research design, population, sample and sampling technique, data
collection methods, research procedures, data analysis methods, and finally the chapter summary.
3.2. Research Design
A research design is summarizing or plan that use to generate answers to research problems by
collecting and scrutinizing the require data as stated by Cooper and Schindler (2008), and
Churchill (2002).
The researcher chose to use an explanatory research design for several reasons. One of the most
common reasons for using this type of research design is to test a hypothesis about the
relationship between two or more variables. In this case, the hypothesis is that there is a positive
relationship between performance evaluations and employee turnover. Explanatory research
design is particularly suitable for investigating causal relationships between variables. Because
of its focus on testing hypotheses, the explanatory design can determine whether the independent
variable (in this case, performance evaluations) has a causal effect on the dependent variable
(employee turnover). the explanatory research design allows the researcher to use statistical
analysis to test the study hypotheses. By using appropriate statistical techniques to analyze the
data, the researcher determined the strength and direction of the relationship between
performance evaluations and employee turnover.
In summary, the researcher used an explanatory research design because it enabled to test a
hypothesis about the causal relationship between performance evaluations and employee
turnover, control for extraneous variables, use statistical analysis, and guide future research.
3.3. Research Approach
Quantitative research approaches were those that used numerical data to answer research
questions. This type of research was often used in the social sciences, where it could be used to
measure things like attitudes, behaviors, and beliefs. In order to attain the intended objectives of
the study, the researcher used a research approach that was appropriate for the research question.
In this case, the researcher was interested in measuring the relationship between two variables, so
a quantitative research approach was the best choice.
The quantitative research approach enabled the researcher to effectively analyze and infer the
numeric data. This meant that the researcher was able to use statistical methods to analyze the
data and draw conclusions about the relationship between the variables.
In summary, the quantitative research approach was employed in this study because it was
considered the best way to answer the research question and analyze the data. The use of a
survey questionnaire allowed the researcher to collect quantitative data that was analyzed using
statistical methods. This resulted in a more accurate and reliable study.
3.4. Data Type and Source of data
There were two types of data collection methods: primary and secondary data collection. Primary
data was collected directly from the field through interviews and questionnaires. Primary data
was original in nature as it was collected for the first time through observation. On the other
hand, secondary data involved gathering information from various research papers, documentary
reviews, journals, and staff records from the Human Capital Department of the bank. Secondary
data referred to data that had already been collected and analyzed by someone else. This data
could be either published or unpublished (Kothari, 2004, p.111). This study primarily relied on
primary sources of data, supplemented to some extent by secondary sources. Primary data was
collected through a survey method using closed-ended questionnaires. Secondary data sources
such as journals, books, and the internet were also utilized. The closed-ended questionnaire was
developed based on tested previous empirical literature. The research made use of a
questionnaire survey, which was the most common method. The questionnaire consisted of five
sections: career planning, career development, employee-supervisor relationship, salary and
benefits, working environment and performance evaluations, and finally the reward system,
which included salary rewards and bonus rewards at Bunna bank. The questionnaire statements
were developed and evaluated on a 5-point Likert scale, where "1" indicated "strongly agree"
with the statement, "2" indicated "agree," "3" indicated "neutral," "4" indicated "disagree," and
"5" referred to "strongly disagree."
3.5. Methods of data collection
To acquire the intended information, the researcher used different data collection instruments like
distributing questionnaire. Regarding the primary data, questionnaires (consisting of open and
closed-ended questions) were distributed to the selected 157 clerical/professional employees in
an effort to answer the second research question, which involved analyzing employee turnover
along with another note.

3.6. Target population

Employees of Buna Bank in Addis Ababa particularly which is older in their operation to get
employees work with in the bank for lengthy time and at head office that from 1747 total
employees comprising 380 Staff is in Addis Ababa which were Central District employees,
Branch Managers, Assistant Branch Managers, Loan officers, Branch Controllers, Senior
Customer service officer, Customer Service Officer, and Junior Customer Service Officer were
under the target population.
Table 1. Target Populations
Central District employees Number of Employees
Branch Managers 55
Assistant Branch Managers 52
Loan officers 18
Branch Controllers 25
Senior Customer service officer 89
Customer Service Officer 113
Junior Customer Service 28
Officer
Total 380
(Source: Bunna Bank. HR report Dated, 2023)

3.7. Sampling and Sampling technique

Sampling techniques employed for this study included convenience and probability sampling
techniques. Due to constraints such as a large sample size, time limitations, and cost
considerations, a non-probability convenience sampling method was used to draw the sample
from the target population. This was mainly because the East Addis Ababa district, among the
districts operating in Addis Ababa, exclusively operated within the city and was convenient for
the researcher. Subsequently, after selecting the districts (which comprised approximately sixty-
four branches), the researcher employed a simple random probability sampling technique to
obtain the samples. This was primarily because the dataset was smaller and it allowed for making
statistical inferences about the population.
The sampling population consisted of all clerical employees of the bank in Addis Ababa who
worked under the branches of their respective districts. The sample selection was limited to
professional or clerical employees of the organization who worked under the East Addis District.
These selections were limited to specific job titles within the bank's branch staff establishment,
such as CSO, SCSO, loan officers, junior customer service officers, and branch managers,
among others, who were expected to be actively engaged in the bank.
The survey included the above-described professional employees under the Central Addis Ababa
District of Bunna Bank, forming the sample. The target population of this study consisted of 380
employees working in Bunna Bank Central Addis Ababa. There were a total of 64 branches in
the district, with each branch having an average of at least 5 staff members, including the branch
manager, except for the larger branches.
The total population of the research is clerical/professional employees of the 64 branch offices of
Bunna Bank in Addis Ababa under the east Addis Ababa districts. The total populations of the
selected branches professional employees are 380in number. By using of (Madow, 2012)
formula, thes researcher used around 157 sample employees at 95% confidence level. The
researcher then distributed questionnaire to those above determined samples been selected using
a simple random sampling techniques (Madow, 2012).

Where, n- The sample size

N- The population size
e- Accept able sampling error
=157
3.8. Methods of data analysis
The Statistical Package for Social Sciences (SPSS) version 24 was utilized for data analysis,
considering the selected variables and the questions asked. Descriptive and inferential statistics
were employed for the data analysis. Descriptive statistics were used to address the first specific
objective, while inferential statistics were employed to address the second specific objective. In
this regard, the data was processed using SPSS statistics (Statistical Package for Social
Scientists) software version 24.
The analysis process concerns the conversion of raw data into Tables, and charts, containing
frequency distribution and percentages that gave answers to the research questions. The study
data was ultimately analyzed using Statistical Package for Social Sciences (SPSS) 24.
Data analysis procedures referred to a detailed explanation of the steps to be taken and carried
out in the research, as provided by the purpose of the study. This pilot test was carried out to
detect any weaknesses in design and instrumentation and to gather data for measuring the study's
reliability and validity. According to Saunders et al. (2009), a comprehensive description of the
research process, including pilot testing, subject scheduling, and data collection instrument
selection, had to be conducted. After the questionnaire was developed, it underwent a pilot test
within one of Bunna Bank's branches, involving employees who were not participating in the
survey.
3.10. Reliability test
3.10.1. Cronbach’s Alpha Reliability test
According to (Bonett and Wright, 2015) Cronbach’s alpha is one of the most widely used
measures of reliability in the social and organizational sciences. Current practice is to report the
sample value of Cronbach’s alpha reliability, but a confidence interval for the population
reliability value also should be reported. Reliability analysis is concerned with the internal
consistency of the research instrument. As multiple items in all constructs were used, the internal
consistency/reliabilities of Career Development, employee supervisor relation, salary and benefit
and working environment were assessed with Cronbach’s Alpha and the reliability values for all
constructs are confirmed as greater than 0.7, which are considered acceptable. The following
tables shows the summary of reliabilities of all constructs of factors of turnover intention and the
average Cronbach’s alpha in the table below shows that 0.928 and Cronbach’s alpha based on
standardized items is 0.941 which is greater than 0.7, which confirms acceptability of the
research instrument.
Table 2:- Cronbach’s Alpha Reliability test for the 31 items of questions
Reliability Statistics
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
.928 .941 31
A reliability analysis was carried out on the perceived task values scale comprising 31 items.
Cronbach’s alpha showed the questionnaire to reach acceptable reliability, α =
0.928.

3.11. Ethical Considerations

This research is observing all ethical considerations. It dually acknowledges all city information
in both the body and the reference section. In other words, no review/accessed document is use
without acknowledging the sources. Regarding the questioner respondents’: their permission is
request to ascertain their voluntary participation. Full description of the study, the intention,
confidentiality and privacy protection is highlight with a brief cover letter beforehand. in
addition to this, the survey is kept anonymous

CHAPTER FOUR
4. Result and Discussion
4.1. Introduction
This chapter presents the discussion and interpretation of data collected through questionnaires
and interview. Data for the analysis was collected from Buna Bank S.C. firms. Two hundred
(200) questionnaires were distributed for employees and supervisors (line managers) out of
which one hundred seventy-five (175) questionnaires were returned, and the researcher found it
suitable for further analysis. And these data were supplemented with the data which was
obtained through review documents of the sample organizations regarding the training budget
that allocated by them for training.
4.2. Descriptive statistics
To examine the factors affecting employee turnover intention, in cases of Bunna bank s.c., mean
and standard deviation statistical analysis were performed using variable such as effect of
training on employee empowerment, how career development, employee-supervisor relationship,
salary and benefit, working environment affects the employee turnover intention. The mean and
group mean statistical values of approaching to 2.00 and indicates poor performance, 3.00
indicates average/moderate, while 4.00, and 5.00, indicate higher and very high/excellent
performance respectively.
4.2.1. Respondents’ Demographic data
The demographic profile of the respondent’s depicted in table below and their frequencies with
the valid percentage of total cases according to sex are 54.8% of females and 45.2% males,
according to age 5.7% are 18-29, 24.2% of 30-39 years, 49.0% of 40-49 years, 21.0% of above
50 years, according to Educational Qualification 1.3% are from diploma, 78.3% are first degree
and 20.4% are second degree and above. And finally, according to the title or position of the
respondent 13.4% are Assistant Branch Managers, 6.4% are Branch Controllers, 14.6% are
Branch Managers, 29.9% are Customer Service Officer, 7.6% are Junior Customer Service
Officer, 4.5% are Loan officers, and 23.6% are Senior Customer service officer. And the
respondent’s demography was summarized in the table below.
Table 3:- Sex of the respondent
Frequency Percent
Sex Male 71 45.2
Female 86 54.8
Total 157 100.0
Source: (Researcher’s Survey, 2023)
Table 4: Age of the respondent
Frequency Percent
Age 18-29 9 5.7
30-39 38 24.2
40-49 77 49.0
50+ 33 21.0
Total 157 100.0
Source: (Researcher’s Survey, 2023)
Table 5: Educational Qualification of respondents
Frequency Percent
Educational Diploma 2 1.3
Qualification First Degree 123 78.3
Second degree and 32 20.4
above
Total 157 100.0
Source: (Researcher’s Survey, 2023)
Table 6: Employee role of the respondents
Frequency Percent
Employee Assistant Branch Managers 21 13.4
role Branch Controllers 10 6.4
Branch Managers 23 14.6
Customer Service Officer 47 29.9
Junior Customer Service Officer 12 7.6
Loan officers 7 4.5
Senior Customer service officer 37 23.6
Total 157 100.0
Source: (Researcher’s Survey, 2023)
4.2.2. Influence of career development on employee turnover intention
Table 7: Descriptive Statistics Result for Career Development
S.No Mean Std.
Item
Deviation
1. I am satisfied with the career development opportunities in my 3.9363 .93837
organization.
2. My organization provides adequate training for career 4.0510 .69611
advancement.
3. I believe there is a clear career path for me in this organization. 4.1083 .80527
4. My job role aligns with my career goals. 3.9172 .96051
5. I feel my skills and talents are being fully utilized in my current 4.1975 .61435
role.
6. Group Mean 4.04206 0.802922
Source: Survey Result, 2023
The finding from the survey conducted at Bunna Bank reveals that employees generally have a
positive attitude towards the career development opportunities provided by the organization. The
mean value of 3.9363 indicates that, on average, employees tend to agree with the statement "I
am satisfied with the career development opportunities in my organization."
The mean value, also known as the average, is a measure of central tendency that represents the
typical response of the surveyed employees. In this case, the mean value of 3.9363 suggests that
the majority of employees have a favorable opinion regarding the career development
opportunities offered by Bunna Bank. The standard deviation value of 0.93837 provides
information about the dispersion or variability of responses among the surveyed employees. A
lower standard deviation indicates that responses are closer to the mean, while a higher standard
deviation suggests greater diversity in responses. In this case, the relatively small standard
deviation value of 0.93837 indicates that the responses regarding career development
opportunities in Bunna Bank are relatively consistent, with most employees sharing similar
views.
The findings from the survey conducted at Bunna Bank indicate that employees generally have a
positive attitude towards the adequacy of training provided by the organization for career
advancement. The mean value of 4.0510 suggests that, on average, employees tend to agree with
the statement "My organization provides adequate training for career advancement." The mean
value, or average, of 4.0510 indicates that the majority of employees perceive the training
provided by Bunna Bank to be sufficient for their career advancement. This suggests that the
organization has been successful in meeting the training needs of its employees and supporting
their growth and development.
The standard deviation value of 0.69611 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
indicates that the responses regarding training adequacy are relatively consistent and clustered
closely around the mean value. The small standard deviation value suggests that the majority of
employees share a similar perception regarding the organization's provision of adequate training
for career advancement.
The findings from the survey conducted at Bunna Bank indicate that employees generally have a
positive attitude towards the existence of a clear career path within the organization. The mean
value of 4.1083 suggests that, on average, employees tend to agree with the statement "I believe
there is a clear career path for me in this organization." The mean value, or average, of 4.1083
indicates that the majority of employees perceive the organization to have a clear career path.
This suggests that employees have a positive outlook and believe that the organization provides
opportunities for their career progression and advancement.
The standard deviation value of 0.80527 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the existence of a clear career path are relatively consistent
and clustered closely around the mean value. The small standard deviation value indicates that
the majority of employees share a similar perception regarding the presence of a clear career path
within the organization.
The findings from the survey conducted at Bunna Bank indicate that employees generally have a
positive attitude towards the alignment of their job roles with their career goals. The mean value
of 3.9172 suggests that, on average, employees tend to agree with the statement "My job role
aligns with my career goals." The mean value, or average, of 3.9172 indicates that the majority
of employees perceive a level of alignment between their job roles and their career goals. This
suggests that employees believe their current responsibilities and tasks contribute to their overall
career development and progression.
The standard deviation value of 0.96051 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there is some diversity in the responses regarding the alignment of job
roles with career goals. The moderate standard deviation value indicates that while the majority
of employees perceive alignment, there are some variations in how employees perceive this
alignment. The findings from the survey conducted at Bunna Bank indicate that employees
generally have a positive attitude towards the utilization of their skills and talents in their current
roles. The mean value of 4.1975 suggests that, on average, employees tend to agree with the
statement "I feel my skills and talents are being fully utilized in my current role."
The mean value, or average, of 4.1975 indicates that the majority of employees feel that their
skills and talents are fully utilized in their current roles. This suggests that employees believe
their current responsibilities allow them to make use of their abilities and contribute
meaningfully to their work. The standard deviation value of 0.61435 provides information about
the variability or dispersion of responses among the surveyed employees. In this case, the
relatively small standard deviation suggests that the responses regarding skill and talent
utilization are relatively consistent and clustered closely around the mean value. The small
standard deviation value indicates that the majority of employees share a similar perception
regarding the utilization of their skills and talents in their current roles.
4.2.3. Influence of the employee-supervisor relationship on employee turnover
intention.
Table 8: Descriptive Statistics Result for Employee-Supervisor Relationship
S.no Mean Std.
Item
Deviation
1. I have a good relationship with my supervisor. 3.7707 1.17054
2. My supervisor provides constructive feedback on my performance. 4.0764 .72094
3. I feel comfortable discussing work-related issues with my 4.0382 .74149
supervisor.
4. My supervisor recognizes and appreciates my work. 3.9236 .84384
5. My supervisor supports my professional development. 4.0828 .86944
6. Group Mean 3.97834 0.86925
Source: Survey Result, 2023
The findings from the survey conducted at Bunna Bank indicate that employees generally have a
positive attitude towards their relationship with their supervisors. The mean value of 3.7707
suggests that, on average, employees tend to agree with the statement "I have a good relationship
with my supervisor." The mean value, or average, of 3.7707 indicates that the majority of
employees perceive their relationship with their supervisors to be positive. This suggests that
employees generally feel that they have a good rapport and effective communication with their
supervisors. The standard deviation value of 1.17054 provides information about the variability
or dispersion of responses among the surveyed employees. In this case, the relatively large
standard deviation suggests that there is some variation in the responses regarding the quality of
the relationship with supervisors. The large standard deviation value indicates that while the
majority of employees perceive a good relationship with their supervisors, there are some
variations in perceptions among the employees.
The findings from the survey conducted at Bunna Bank indicate that employees generally have a
positive attitude towards the constructive feedback provided by their supervisors on their
performance. The mean value of 4.0764 suggests that, on average, employees tend to agree with
the statement "My supervisor provides constructive feedback on my performance." The mean
value, or average, of 4.0764 indicates that the majority of employees perceive that their
supervisors provide constructive feedback on their performance. This suggests that employees
feel that their supervisors effectively communicate areas for improvement, highlight strengths,
and provide guidance to enhance their performance.

The standard deviation value of 0.72094 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the provision of constructive feedback are relatively
consistent and closely clustered around the mean value. The small standard deviation value
indicates that the majority of employees share a similar perception regarding the constructive
feedback provided by their supervisors.
The findings from the survey conducted at Bunna Bank indicate that employees generally feel
comfortable discussing work-related issues with their supervisors. The mean value of 4.0382
suggests that, on average, employees tend to agree with the statement "I feel comfortable
discussing work-related issues with my supervisor." The mean value, or average, of 4.0382
indicates that the majority of employees perceive a sense of comfort when it comes to discussing
work-related issues with their supervisors. This suggests that employees feel that they can openly
communicate, seek guidance, and address concerns with their supervisors without hesitation.
The standard deviation value of 0.74149 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding comfort in discussing work-related issues with supervisors
are relatively consistent and closely clustered around the mean value. The small standard
deviation value indicates that the majority of employees share a similar perception regarding
their comfort level in discussing work-related matters with their supervisors.

The findings from the survey conducted at Bunna Bank indicate that employees generally feel
that their supervisors recognize and appreciate their work. The mean value of 3.9236 suggests
that, on average, employees tend to agree with the statement "My supervisor recognizes and
appreciates my work." The mean value, or average, of 3.9236 indicates that the majority of
employees perceive that their supervisors recognize and appreciate their work. This suggests that
employees feel valued and acknowledged for their contributions and efforts.
The standard deviation value of 0.84384 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the recognition
and appreciation of employees' work by supervisors. The moderate standard deviation value
indicates that while the majority of employees feel recognized and appreciated, there may be
some differences in how supervisors express their appreciation or in the extent to which
employees perceive the recognition.

The findings from the survey conducted at Bunna Bank indicate that employees generally feel
supported by their supervisors in terms of their professional development. The mean value of
4.0828 suggests that, on average, employees tend to agree with the statement "My supervisor
supports my professional development." The mean value, or average, of 4.0828 indicates that the
majority of employees perceive that their supervisors support their professional development.
This suggests that employees feel that their supervisors are invested in their growth, provide
opportunities for learning, and encourage their career advancement.
The standard deviation value of 0.86944 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the level of
support for professional development from supervisors. The moderate standard deviation value
indicates that while the majority of employees feel supported, there may be some differences in
the extent or methods of support provided by supervisors.
4.2.4. Influence of Salary and Benefit affect employee turnover intention
Table 9: Descriptive Statistics Result for Salary and Benefit
S.no Mean Std.
item
Deviation
1. I am satisfied with my current salary. 4.1210 .86492
2. The benefits provided by my organization meet my needs. 4.1401 .70218
3. My salary is competitive compared to similar roles in other 3.7898 1.04410
organizations.
4. My organization regularly reviews and adjusts salaries based on 3.7707 .80760
market trends.
5. The performance-based bonuses and incentives are satisfactory. 3.7643 .98801
6. Group Mean 3.9171 0.881362
Source: Survey Result, 2023
The findings from the survey conducted at Bunna Bank indicate that employees generally
express satisfaction with their current salary. The mean value of 4.1210 suggests that, on
average, employees tend to agree with the statement "I am satisfied with my current salary." The
mean value, or average, of 4.1210 indicates that the majority of employees perceive that their
current salary is satisfactory. This suggests that employees feel that their compensation aligns
with their expectations and meets their financial needs.
The standard deviation value of 0.86492 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding salary satisfaction
among employees. The moderate standard deviation value indicates that while the majority of
employees express satisfaction with their salary, there may be some differences in how
individuals perceive their compensation.
The findings from the survey conducted at Bunna Bank indicate that employees generally
perceive that the benefits provided by the organization meet their needs. The mean value of
4.1401 suggests that, on average, employees tend to agree with the statement "The benefits
provided by my organization meet my needs." The mean value, or average, of 4.1401 indicates
that the majority of employees believe that the benefits offered by the organization are sufficient
and fulfill their needs. This suggests that employees feel that the benefits package provided by
Bunna Bank adequately supports their overall well-being and addresses their personal and
professional requirements.
The standard deviation value of 0.70218 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the adequacy of benefits are relatively consistent and
closely clustered around the mean value. The small standard deviation value indicates that the
majority of employees share a similar perception regarding the benefits provided by the
organization meeting their needs.
The findings from the survey conducted at Bunna Bank indicate that employees generally
perceive their salary to be competitive compared to similar roles in other organizations. The
mean value of 3.7898 suggests that, on average, employees tend to agree with the statement "My
salary is competitive compared to similar roles in other organizations." The mean value, or
average, of 3.7898 indicates that the majority of employees believe that their salary is
competitive when compared to similar roles in other organizations. This suggests that employees
feel that their compensation is in line with industry standards and reflects the value of their work
and skills.
The standard deviation value of 1.04410 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively large standard deviation
suggests that there is a significant variation in the responses regarding the perceived
competitiveness of salaries. The large standard deviation value indicates that there is diversity in
how employees perceive the competitiveness of their salaries compared to similar roles in other
organizations.
The findings from the survey conducted at Bunna Bank indicate that employees generally
believe that their organization regularly reviews and adjusts salaries based on market trends. The
mean value of 3.7707 suggests that, on average, employees tend to agree with the statement "My
organization regularly reviews and adjusts salaries based on market trends." The mean value, or
average, of 3.7707 indicates that the majority of employees perceive that their organization
engages in regular salary reviews and adjustments in response to market trends. This suggests
that employees feel that their organization is proactive in ensuring that salaries remain
competitive and aligned with industry standards.
The standard deviation value of 0.80760 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the perception of
regular salary reviews and adjustments. The moderate standard deviation value indicates that
while the majority of employees believe that their organization engages in regular salary reviews
and adjustments, there may be some differences in how individuals perceive the frequency and
effectiveness of these reviews.
The findings from the survey conducted at Bunna Bank indicate that employees generally
perceive the performance-based bonuses and incentives provided by the organization to be
satisfactory. The mean value of 3.7643 suggests that, on average, employees tend to agree with
the statement "The performance-based bonuses and incentives are satisfactory." The mean value,
or average, of 3.7643 indicates that the majority of employees believe that the performance-
based bonuses and incentives offered by the organization are satisfactory. This suggests that
employees feel that the bonuses and incentives provided align with their performance and
provide a meaningful recognition of their contributions.
The standard deviation value of 0.98801 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the satisfaction
with performance-based bonuses and incentives. The moderate standard deviation value indicates
that while the majority of employees find the bonuses and incentives satisfactory, there may be
some diversity in how individuals perceive the effectiveness or fairness of these rewards.
4.2.5. Influence of working Environment affect employee turnover intention
Table 10: Descriptive Statistics Result for Working Environment
S.n Mean Std.
Item
o Deviation
1. The working environment in my organization is comfortable 3.8599 1.02818
and safe.
2. My organization has a positive and supportive culture. 3.9490 .74933
3. I have the resources and tools I need to perform my job 3.8599 .90198
effectively.
4. My workload is manageable and reasonable. 4.0828 .75923
5. My organization values work-life balance. 3.8535 .86836
6. Group Mean 3.92102 0.861416
Source: Survey Result, 2023
The findings from the survey conducted at Bunna Bank indicate that employees generally
perceive the working environment in the organization to be comfortable and safe. The mean
value of 3.8599 suggests that, on average, employees tend to agree with the statement "The
working environment in my organization is comfortable and safe." The mean value, or average,
of 3.8599 indicates that the majority of employees believe that the working environment in their
organization is comfortable and safe. This suggests that employees feel that their workplace
provides the necessary conditions and measures to ensure their well-being, physical safety, and
overall comfort.
The standard deviation value of 1.02818 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively large standard deviation
suggests that there may be some variation in the responses regarding the perception of the
working environment. The large standard deviation value indicates that there may be diversity in
how individuals perceive the comfort and safety of the working environment. Some employees
may have a stronger positive perception, while others may have a less positive perception of the
working conditions.
The findings from the survey conducted at Bunna Bank indicate that employees generally
perceive the organization to have a positive and supportive culture. The mean value of 3.9490
suggests that, on average, employees tend to agree with the statement "My organization has a
positive and supportive culture." The mean value, or average, of 3.9490 indicates that the
majority of employees believe that their organization has a positive and supportive culture. This
suggests that employees feel that the overall atmosphere and values within the organization are
conducive to their well-being, growth, and success.
The standard deviation value of 0.74933 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the perception of a positive and supportive culture are
relatively consistent and closely clustered around the mean value. The small standard deviation
value indicates that the majority of employees share a similar perception regarding the
organization's culture being positive and supportive.
The findings from the survey conducted at Bunna Bank indicate that employees generally
believe that they have the necessary resources and tools to perform their jobs effectively. The
mean value of 3.8599 suggests that, on average, employees tend to agree with the statement "I
have the resources and tools I need to perform my job effectively." The mean value, or average,
of 3.8599 indicates that the majority of employees believe that they have the resources and tools
necessary to perform their job effectively. This suggests that employees feel that the organization
provides them with the necessary support and infrastructure to carry out their work efficiently
and achieve their goals.
The standard deviation value of 0.90198 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the perception of
having the required resources and tools. The moderate standard deviation value indicates that
while the majority of employees believe they have the necessary resources and tools, there may
be some diversity in how individuals perceive the adequacy or availability of these resources.
The findings from the survey conducted at Bunna Bank indicate that employees generally
perceive their workload to be manageable and reasonable. The mean value of 4.0828 suggests
that, on average, employees tend to agree with the statement "My workload is manageable and
reasonable." The mean value, or average, of 4.0828 indicates that the majority of employees
believe that their workload is manageable and reasonable. This suggests that employees feel that
the amount and complexity of tasks assigned to them are within a reasonable range and can be
completed within the given timeframes.
The standard deviation value of 0.75923 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the perception of workload manageability are relatively
consistent and closely clustered around the mean value. The small standard deviation value
indicates that the majority of employees share a similar perception regarding the manageability
and reasonableness of their workload.
The findings from the survey conducted at Bunna Bank indicate that employees generally
believe that their organization values work-life balance. The mean value of 3.8535 suggests that,
on average, employees tend to agree with the statement "My organization values work-life
balance." The mean value, or average, of 3.8535 indicates that the majority of employees believe
that their organization values work-life balance. This suggests that employees feel that the
organization recognizes the importance of maintaining a healthy balance between work
responsibilities and personal life commitments.
The standard deviation value of 0.86836 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the perception of
the organization's commitment to work-life balance. The moderate standard deviation value
indicates that while the majority of employees believe that their organization values work-life
balance, there may be some diversity in how individuals perceive the organization's efforts in this
regard.
4.2.6. Employee Turnover
Table 11: Descriptive Statistics Result for Employee Turnover
S.no Item Mean Std. Deviation
1. I have considered leaving my organization in the past year. 3.9743 .54137
2. I believe there is a high turnover rate in my organization. 3.9548 .58127
3. Employee turnover in my organization affects my job 3.9554 .58116
satisfaction.
4. My organization takes steps to retain talented employees. 4.1401 .63507
5. The turnover rate in my organization affects team morale 4.0255 .62991
and productivity.
6. Group Mean 4.01002 0.593756
Source: Survey Result, 2023
The findings from the survey conducted at Bunna Bank indicate that employees generally have
not seriously considered leaving the organization in the past year. The mean value of 3.9743
suggests that, on average, employees tend to agree with the statement "I have considered leaving
my organization in the past year." The mean value, or average, of 3.9743 indicates that the
majority of employees have not seriously considered leaving the organization in the past year.
This suggests that employees generally feel satisfied and committed to their roles within the
organization.
The standard deviation value of 0.54137 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the consideration of leaving the organization are consistent
and closely clustered around the mean value. The small standard deviation value indicates that
the majority of employees share a similar perception regarding their loyalty and commitment to
the organization.
The findings from the survey conducted at Bunna Bank indicate that employees generally
believe that there is a high turnover rate in the organization. The mean value of 3.9548 suggests
that, on average, employees tend to agree with the statement "I believe there is a high turnover
rate in my organization." The mean value, or average, of 3.9548 indicates that the majority of
employees believe that there is a high turnover rate within the organization. This suggests that
employees perceive a significant number of colleagues leaving the organization, either
voluntarily or involuntarily, within a given time period.
The standard deviation value of 0.58127 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the perception of a high turnover rate are relatively
consistent and closely clustered around the mean value. The small standard deviation value
indicates that the majority of employees share a similar perception regarding the turnover rate
within the organization.
The findings from the survey conducted at Bunna Bank indicate that employees believe that
employee turnover in the organization affects their job satisfaction. The mean value of 3.9554
suggests that, on average, employees tend to agree with the statement "Employee turnover in my
organization affects my job satisfaction." The mean value, or average, of 3.9554 indicates that
the majority of employees believe that employee turnover has an impact on their job satisfaction.
This suggests that employees perceive a connection between the departure of colleagues and
their own level of job satisfaction.
The standard deviation value of 0.58116 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively small standard deviation
suggests that the responses regarding the impact of employee turnover on job satisfaction are
relatively consistent and closely clustered around the mean value. The small standard deviation
value indicates that the majority of employees share a similar perception regarding the
relationship between employee turnover and job satisfaction.
The findings from the survey conducted at Bunna Bank indicate that employees believe that their
organization takes steps to retain talented employees. The mean value of 4.1401 suggests that, on
average, employees tend to agree with the statement "My organization takes steps to retain
talented employees."
The mean value, or average, of 4.1401 indicates that the majority of employees believe that their
organization is actively taking measures to retain talented employees. This suggests that
employees perceive that the organization values and invests in retaining skilled and high-
performing individuals.
The standard deviation value of 0.63507 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the perception of
the organization's efforts in retaining talented employees. The moderate standard deviation value
indicates that while the majority of employees believe that their organization takes steps to retain
talent, there may be some diversity in how individuals perceive the organization's efforts in this
regard.
The findings from the survey conducted at Bunna Bank indicate that employees believe that the
turnover rate in the organization affects team morale and productivity. The mean value of 4.0255
suggests that, on average, employees tend to agree with the statement "The turnover rate in my
organization affects team morale and productivity." The mean value, or average, of 4.0255
indicates that the majority of employees believe that the turnover rate has a significant impact on
team morale and productivity. This suggests that employees perceive a connection between the
departure of colleagues and the overall functioning and atmosphere within their teams.
The standard deviation value of 0.62991 provides information about the variability or dispersion
of responses among the surveyed employees. In this case, the relatively moderate standard
deviation suggests that there may be some variation in the responses regarding the extent of the
impact of turnover on team morale and productivity. The moderate standard deviation value
indicates that while the majority of employees agree that turnover affects team morale and
productivity, there may be some diversity in how individuals perceive the extent of this impact.
4.3. Inferential Statistics
The researcher used regression analysis to determine the influence of global ocean alliances on
non-alliance liner shipping In Bunna Bank. The results of Correlation, ANOVA, and regression
coefficients are provided in the following sections.
4.3.1. Correlation Analysis
The researcher used Pearson’s Correlation analysis in order to examine the relationship between
the six dimensions of global ocean alliances (transit time, managerial background and shipping
knowledge, satisfaction level, pressure of policy compliance, uncertainty, and current alliance
trend) and non-alliance liner shipping performance. Pearson's correlation coefficient was used as
a statistical tool. Pearson's correlation coefficient is a common method to quantify how strongly
two variables are related to each other. It assumes that the variables have a linear association and
that they are randomly sampled from a population (Kothari, 2014).
The results of the correlation analysis between the independent variables (transit time,
managerial background and shipping knowledge, satisfaction level, pressure of policy
compliance, uncertainty, and current alliance trend) and the dependent variable (non-alliance
liner shipping performance) are presented in the following section. The table below shows the
correlation coefficients for each pair of variables. The coefficients range from moderate to high,
indicating that there is a significant relationship between the physical working environment
aspects and the non-alliance liner shipping performance.
Table 12. Classification of Correlation Coefficient Result
> 0.00 to 0.20; < -0.00 to –0.20 Very weak or very low
> 0.20 to 0.40; < -0.20 to –0.40 Weak or low
> 0.40 to 0.60; < -0.40 to –0.60 Moderate
> 0.60 to 0.80; < -0.60 to –0.80 Strong or high
0.80 to 1.0; < -0.80 to –1.0 Very high or very strong
Abbreviation
 CD=Career Development
 ESR=Employee Supervisor Relationship
 SB=Salary and Benefits
 WE=Working Environment
 ET=Employee Turnover
Table 13: Correlation Matrix
CD ESR SB WE ET
ED Pearson Correlation 1 .384** .569** .466** .747**
Sig. (2-tailed) .000 .000 .000 .000
N 157 157 157 157 157
ESR Pearson Correlation .384** 1 .216** .278** .504**
Sig. (2-tailed) .000 .006 .000 .000
N 157 157 157 157 157
SB Pearson Correlation .569** .216** 1 .579** .748**
Sig. (2-tailed) .000 .006 .000 .000
N 157 157 157 157 157
WE Pearson Correlation .466** .278** .579** 1 .664**
Sig. (2-tailed) .000 .000 .000 .000
N 157 157 157 157 157
ET Pearson Correlation .747** .504** .748** .664** 1
Sig. (2-tailed) .000 .000 .000 .000
N 157 157 157 157 157
**. Correlation is significant at the 0.01 level (2-tailed).
Source: Survey Result, 2023
The finding that career development significantly impacts employee turnover at Bunna Bank,
with a Pearson correlation of 0.747 (p < 0.05), resonates strongly with existing research, both in
Ethiopia and abroad. Let's delve deeper, exploring comparisons and potential explanations. This
finding is consistent with other studies that have identified low salary and benefit, unsuitable
working environment, lack of recognition and bad relationship with superiors as some of the
reasons of employee turnover in the bank (Abdulrahman et al., 2020; Kaur & Sharma, 2019).
However, it differs from a study that found staff promotion and remuneration package as the
main factors influencing employee turnover in the small domestic banks in Sri Lanka
(Rajapaksha & Wijesinghe, 2018). Therefore, the study suggests that career development
opportunities should be enhanced for the employees of Bunna Bank to reduce their turnover
intention.
The finding that a strong employee-supervisor relationship** (ESR)** significantly correlates
with lower turnover at Bunna Bank (r = 0.504, p < 0.05) aligns with numerous studies across
Ethiopia and beyond. Let's delve deeper, The finding that employee supervisor relationship has a
significant relationship with employee turnover is consistent with other studies in Ethiopia and
abroad. For example, a study by Assefa and Mekonnen (2020) found that bad relationship with
superiors was one of the reasons of employee turnover in the Commercial Bank of Ethiopia.
Similarly, a study by Tamirat (2022) found that employee supervisor relationship was one of the
factors that affect employees turnover in Bunna Bank S.C. in Ethiopia. Moreover, a study by
Davidson (2010) found that employee supervisor relationship was one of the determinants of
employee turnover in financial services in Australia. These studies suggest that employee
supervisor relationship is an important factor to consider in reducing employee turnover and
improving organizational performance.
The finding that salary and benefits (S&B) significantly correlate with employee turnover at
Bunna Bank (r = 0.748, p < 0.05) resonates strongly with numerous studies across Ethiopia and
beyond. Let's delve deeper, exploring comparisons and potential explanations for this well-
established connection. According to a study conducted on the factors affecting turnover of
employees working in Bunna Bank, salary and benefits has a significant relationship with
employee turnover. The study found that the Pearson correlation value between salary and
benefits and employee turnover was 0.748 at p < 0.05 (Tadesse, 2020). This finding is consistent
with other studies that have identified low salary and benefit as one of the reasons of employee
turnover in the Ethiopian banking industry (Alemu & Alemu, 2020). However, salary and
benefits are not the only factors that affect employee turnover. Other factors such as working
environment, recognition, and relationship with superiors also play a role in employees' retention
or turnover (Alemu & Alemu, 2020; Kebite, 2018; Sahle, 2017). Therefore, it is important to
consider the various factors that influence employee turnover and devise strategies to enhance
employee satisfaction and loyalty.
The finding that the working environment significantly impacts employee turnover at Bunna
Bank (r = 0.664, p < 0.05) resonates with a chorus of research across Ethiopia and the globe.
Let's unpack this connection, exploring comparisons and potential explanations. The working
environment is one of the factors that affect the turnover of employees in various organizations,
including banks. According to a study conducted on the factors affecting the turnover of
employees working at Bunna Bank, the working environment has a significant relationship with
employee turnover. The study found that the Pearson correlation value between working
environment and employee turnover was 0.664 at p < 0.05 (Alemu & Tadesse, 2020). This
finding is consistent with other studies in Ethiopia and abroad that have identified the working
environment as a determinant of employee turnover intention. For example, a study by
Alemayehu (2018) found that work environment was one of the main factors influencing
employee turnover intention in Development Bank of Ethiopia. Similarly, a study by Alshammari
(2017) found that work environment had a significant impact on employee turnover intention in
Saudi Arabian banks. These studies suggest that improving the working environment can help
reduce employee turnover and enhance organizational performance.
4.3.2. Assumptions Testing in Multiple Regression
To retain data validity and robustness of the research's regressed result under numerous
regression models, the fundamental assumptions must be met. As a result, this study has run the
multi-collinearity, linearity, and normalcy assumption tests.
4.3.2.1. Multicollinearity
Tolerance values are a measure of how much variation there is in a set of variables that are
related to each other. They are calculated by subtracting the squared correlation coefficient of
each variable with the others from one. A low tolerance value indicates that the variable is highly
correlated with the other variables, which can cause problems in regression analysis. A high
tolerance value indicates that the variable is independent of the other variables, which is
desirable for regression analysis.
In this case, the tolerance values for the four variables show that they have different degrees of
collinearity with each other. All the variables has a slightly lower tolerance value
of .591, .837, .548, and .626, which means that it is less independent of the other variables.
The result indicates that the VIF (Variance Inflation Factor) values for four variables were found
to be 1.692, 1.195, 1.824, and 1.598, and these values are significantly below the cutoff value of
3. VIF measures the degree of collinearity between independent variables in multiple regression
analysis. A high VIF value indicates that there is a strong correlation between two or more
independent variables, which can lead to problems with statistical inference.
Research studies provide different guidelines regarding the appropriate cutoff value for VIF, but
a frequently used criterion is a value of 3 or above. In this case, the VIF values for the four
variables are significantly below the cutoff value, indicating that there is a low degree of
collinearity between them. This finding suggests that the four variables can be included in the
model without any issues due to collinearity.
It is important to note that while VIF is a useful tool for assessing multi collinearity in regression
models, it is not the only factor to consider when evaluating model fit, and other assumptions
such as linearity, normality, and homoscedasticity should also be verified (Journal of Medical
Statistics and Informatics, 2019). Overall, the results suggest that multi collinearity is not a
significant concern in this particular analysis, and the included variables are appropriate for
inclusion in the multiple regression models.
Table 14. Collinearity Statistics
Collinearity Statistics
Item
Tolerance VIF
Career Development .591 1.692
Employee Supervisor Relationship .837 1.195
Salary and Benefits .548 1.824
Working Environment .626 1.598
Source: Survey Result 2023
4.3.2.2. Normality and Linearity
When analyzing data using SPSS, it is important to check for normality of the distribution of the
dependent variable and the residuals to ensure that the assumptions of the statistical tests are
being met. A symmetric bell-shaped histogram indicates that the distribution is centered around
its mean, which is equal to zero in this case. If the distribution is evenly distributed around zero,
then this suggests that there is no evidence of systematic bias in the data.

Figure 1. Histogram Plot of Regression Standardized Residual

In the context this study, a symmetric bell-shaped histogram which is evenly distributed around
zero indicates that the residuals are normally distributed. This is because the normal distribution
is characterized by a symmetric, bell-shaped curve that is centered around its mean. Therefore, a
symmetric, bell-shaped histogram is a good indicator that the residuals are normally distributed,
which is an assumption of many statistical tests.
Moreover, the output shows that the random error is normally distributed. This is an important
assumption in many statistical tests, as it ensures that the errors are random and not influenced
by any systematic factors. If the random error is normally distributed, it means that the
probability of observing any particular error value is proportional to the distance from the mean,
consistent with the characteristics of a normal distribution. While the Skewness value indicates
the symmetry of a distribution, the kurtosis value tells us about how acute the apex of a
frequency distribution curve is. Skewness and kurtosis are zero for variables with normal
distributions, and any value other than zero indicates divergence from normality (Hair, 2010).
Table 15. Skewness and Kurtosis
Skewness Kurtosis
Statistic Std. Error Statisti Std. Error
c
Career Development -.859 .194 .946 .385
Employee Supervisor Relationship -.667 .194 .058 .385
Salary and Benefits -.639 .194 .000 .385
Working Environment -.651 .194 .582 .385
Employee Turnover -.930 .194 1.949 .385
Source: Survey Result, 2023
The skewness and kurtosis values provide information about the shape and distribution of a
variable's data. Skewness measures the asymmetry of the distribution, while kurtosis measures
the degree of peakness or flatness of the distribution compared to a normal distribution. A
skewness value of -0.859 for the variable "Career Development" suggests that the distribution of
responses is negatively skewed. This means that the majority of responses are concentrated
towards higher values, with a tail extending towards lower values.
A skewness value of -0.667 for the variable "Employee Supervisor Relationship" indicates a
similar negatively skewed distribution, with responses concentrated towards higher values and a
tail extending towards lower values. A skewness value of -0.639 for the variable "Salary and
Benefits" also suggests a negatively skewed distribution, with most responses concentrated
towards higher values and a tail extending towards lower values.

A skewness value of -0.651 for the variable "Working Environment" indicates a negatively
skewed distribution, with responses concentrated towards higher values and a tail extending
towards lower values. A skewness value of -0.930 for the variable "Employee Turnover"
suggests a stronger negative skewness, indicating that the majority of responses are concentrated
towards higher values, with a longer tail extending towards lower values.
A kurtosis value of 0.946 for the variable "Career Development" suggests a moderately peaked
distribution compared to a normal distribution. A kurtosis value of 0.058 for the variable
"Employee Supervisor Relationship" indicates a relatively flat distribution, closer to a normal
distribution. A kurtosis value of 0.000 for the variable "Salary and Benefits" suggests a perfectly
normal distribution, with no deviation from the expected kurtosis value of 0.
A kurtosis value of 0.582 for the variable "Working Environment" indicates a moderately peaked
distribution compared to a normal distribution. A kurtosis value of 1.949 for the variable
"Employee Turnover" suggests a distribution that is highly peaked compared to a normal
distribution, indicating more extreme values.
The standard error values of 0.194 and 0.385 indicate the estimated standard deviation of the
skewness and kurtosis coefficients, respectively. These values provide information about the
variability and precision of the skewness and kurtosis estimates.
The variables "Career Development," "Employee Supervisor Relationship," "Salary and
Benefits," and "Working Environment" have negatively skewed distributions, indicating that the
majority of responses are concentrated towards higher values. The variable "Employee
Turnover" has a stronger negative skewness, indicating a longer tail towards lower values.
The variables "Career Development" and "Working Environment" have moderately peaked
distributions, while "Employee Turnover" has a highly peaked distribution compared to a normal
distribution. The variable "Salary and Benefits" has a perfectly normal distribution. The standard
error values provide information about the variability and precision of the skewness and kurtosis
estimates.
 Figure 2. Normal p-p plot of Regression Standardized Residual
If the P-P plot shows that the observed p-values are concentrated near the expected values under
the null hypothesis, then we can conclude that the null hypothesis is not rejected and that there is
no evidence to support the alternative hypothesis. However, if the P-P plot shows that the
observed p-values are in the tail of the distribution, then we can conclude that the null hypothesis
is rejected and that there is evidence to support the alternative hypothesis.
In the figure above, the P-P plot shows that the p-value is less than or equal to the significance
level, it means that the observed p-value from the hypothesis test is below the pre-determined
significance level. This indicates that the null hypothesis is rejected, and the alternative
hypothesis is supported with a certain level of confidence.
4.3.2.3. Homoscedasticity
The standardized residual plot is a diagnostic plot used to evaluate the homoscedasticity
assumption of the linear regression model. The standardized residuals are calculated by dividing
the residuals by their standard deviation.
 Figure 3. Scatterplot of Standardized Residuals
In a standardized residual plot, if the points are randomly scattered around 0 with no obvious
pattern and have relatively equal spread from left to right (as opposed to fanning out from left to
right or forming a curve), then it indicates that the assumption of homoscedasticity holds. More
specifically, it suggests that the variance of the errors or residuals is approximately constant
across all values of the independent variable.
If the standardized residual plot shows a pattern, such as the residuals fanning out from the left to
right or forming a curve, it suggests that the errors are heteroscedastic, and the model may need
to be modified to account for this non-constant variance.

Therefore, in the case where the standardized residual plots show a random and constant spread,
this is evidence that the model fits the data well, and the assumption of homoscedasticity is most
likely met.
4.3.2.4. No Auto Correlation
The Durbin-Watson statistic is used to test for independent of residuals. The value of the Durbin-
Watson statistic ranges from 0 to 4. Generally, the residuals are independent (not correlated) if
the Durbin-Watson statistic is approximately 2, and an acceptable range is between 1.50 - 2.50.
In this case, Durbin-Watson is 1.992, within the acceptable range. We can assume independence
of residuals.
 4.3.3. Model Summary
Multiple regression analysis was employed to examine the predictors (Working Environment,
Employee Supervisor Relationship, Career Development, Salary and Benefits) effect on
employee turnover.
Table 16. Model Summary
Model Summaryb
Model R R Square Adjusted R Std. Error of the Durbin-
Square Estimate Watson
1 .894a .799 .794 .19511 1.992
a. Predictors: (Constant), Working Environment, Employee Supervisor Relationship, Career
Development, Salary and Benefits
b. Dependent Variable: Employee Turnover
Source: Survey Result, 2023
The regression model is used to explain how much variance in employee turnover can be
attributed to four determining factors: working environment, employee supervisor relationship,
career development, salary and benefits. adjusted R-squared was preferred for analyzing the
predictive value of a regression model. This was because it takes into account the number of
independent variables in the model, which can affect the model's ability to predict new data. The
results indicate that these four factors account for 0.794 of the adjusted R square value which
suggests that 79.4% of employee turnover can be explained by variation in these four predictors
alone.
The regression model shows that these four factors have a significant positive effect on employee
turnover. The interpretation of the regression model suggests that the four factors included in the
model have a significant positive effect on employee turnover.
The regression model used in this context suggests that the four factors are statistically
significant predictors of employee turnover, meaning that the likelihood of observing the
relationship by chance is low. The positive sign of the coefficient implies that as factors increase,
employee turnover also increases. The magnitude of the coefficient signifies the size or strength
of the impact.
The result of the regression analysis provides evidence that the four components have a
significant positive effect on employee turnover. However, it is important to note that other
factors could also impact employee turnover that were not included in the model.
 4.3.4. Analysis of Variance (ANOVA)
Table 17. ANOVA Table
ANOVAa
Model Sum of Squares df Mean Square F Sig.
1 Regression 23.072 4 5.768 151.516 .000b
Residual 5.786 152 .038
Total 28.858 156
a. Dependent Variable: Employee Turnover
b. Predictors: (Constant), Working Environment, Employee Supervisor Relationship, Career
Development, Salary and Benefits
Source: Survey Result, 2023
The significance level (p-value) is the probability of obtaining an F value as large or larger than
the observed one, if the null hypothesis is true. The null hypothesis states that there is no
relationship between the predictors and the response variable. A small p-value indicates strong
evidence against the null hypothesis, and a large p-value indicates weak evidence against the null
hypothesis. In this case, the p-value is 0.000, which means that there is a very low probability of
getting an F value of 151.516 or higher if there is no relationship between the predictors and the
response variable. Therefore, we can reject the null hypothesis and conclude that there is a
significant relationship between the predictors and the response variable.
4.3.5. Regression Coefficients
The coefficient value in a regression analysis represents the amount of change in the dependent
variable for a one unit change in the independent variable, while holding all other independent
variables constant. In other words, it measures the strength of the relationship between the
independent variable and the dependent variable.
There are two types of coefficients in regression analysis: standardized and unstandardized.
Unstandardized coefficients, also known as beta coefficients, represent the amount of change in
the dependent variable per unit change in the independent variable. Standardized coefficients, on
the other hand, measure the amount of change in the dependent variable in standard deviation
units per one unit change in the independent variable. The significance level of the coefficient
estimate, commonly represented by the p-value, indicates the probability of obtaining the
observed coefficient estimate by chance.
Table 18: Regression Coefficients
Coefficientsa
Model Unstandardized Standardized t Sig.
Coefficients Coefficients
B Std. Error Beta
1 (Constant) .634 .147 4.307 .000
Career Development .260 .036 .341 7.228 .000
Employee Supervisor .188 .032 .230 5.796 .000
Relationship
Salary and Benefits .246 .032 .373 7.611 .000
Working Environment .156 .032 .225 4.894 .000
a. Dependent Variable: Employee Turnover
4.3.5.1. Constant
The findings from the SPSS output indicate that the unstandardized beta coefficient value for the
constant is 0.634 when predicting the dependent variable employee turnover. This coefficient
represents the intercept or baseline value when all predictor variables are zero. The
unstandardized beta coefficient of 0.634 suggests that, when all predictor variables are held
constant, there is a positive effect of 0.634 on the employee turnover. This means that, on
average, the baseline value for employee turnover is increased by 0.634, regardless of the values
of the predictor variables.
The standard error of 0.147 for the constant coefficient provides an estimate of the variability or
uncertainty associated with the coefficient estimate. It indicates the degree of uncertainty in the
estimate of the constant's true value. The significance level of 0.000 suggests that the coefficient
for the constant is statistically significant. In other words, the probability of observing a
coefficient as extreme as 0.634, assuming there is no true effect, is very low. This indicates that
the constant is likely to have a significant impact on the dependent variable employee turnover.
The findings suggest that the constant (intercept) has a significant positive effect on the
employee turnover. The coefficient value of 0.634 indicates the baseline increase in the employee
turnover, and the low standard error suggests a relatively precise estimate.
4.3.5.2. Career Development
The SPSS output indicates a significant positive relationship between career development and
employee turnover. The unstandardized beta coefficient of 0.260 suggests that for every unit
increase in career development, there is a corresponding increase of 0.260 in employee turnover,
assuming all other variables remain constant. The standardized beta coefficient of 0.341 indicates
that a one standard deviation increase in career development is associated with a 0.341 standard
deviation increase in employee turnover. The significance level of 0.000 indicates that the
relationship is statistically significant.
This finding aligns with the study by Kasdorf and Kayaalp (2022), which found a direct and
positive relationship between employee perceptions of development (EPD) and intent to stay.
They also found that job satisfaction mediated this relationship, suggesting that employee
development can effectively reduce turnover and increase job satisfaction.
However, it’s important to note that the relationship between career development and employee
turnover can be influenced by various factors. For instance, a study by Tupper and Ellis (2022)
suggested that managers need to shift the focus of career conversations from promotion to
progression and developing in different directions. They also emphasized the importance of
creating a culture and structure that supports career experiments.
4.3.5.3. Employee Supervisor Relationship
The SPSS output suggests a significant positive relationship between the Employee Supervisor
Relationship and employee turnover. The unstandardized beta coefficient of 0.188 implies that
for every unit increase in the Employee Supervisor Relationship, there is a corresponding
increase of 0.188 in employee turnover, assuming all other variables remain constant. The
standardized beta coefficient of 0.230 indicates that a one standard deviation increase in the
Employee Supervisor Relationship is associated with a 0.230 standard deviation increase in
employee turnover. The significance level of 0.000 indicates that the relationship is statistically
significant.
This finding is consistent with the study by Mathieu, Fabi, Lacoursière, and Raymond (2015),
which proposed a structural turnover intention model including supervisory behavior (person-
oriented and task-oriented dimensions), job satisfaction, and organizational commitment. Their
results showed that person-oriented leadership behavior affects turnover intentions through job
satisfaction and organizational commitment more than task-oriented leadership behavior.
However, it’s important to note that the relationship between the Employee Supervisor
Relationship and employee turnover can be influenced by various factors. For instance, a study
by Krackhardt, McKenna, Porter, and Steers (1981) examined specific supervisor interactions
with employees and found that for those branches that instigated such actions, turnover was
significantly lower than in the matched control groups.
 4.3.5.4. Salary and Benefits
The results of the regression analysis showed that salary and benefits had a significant positive
effect on employee turnover, meaning that employees who received higher compensation were
more likely to leave the organization. The unstandardized beta coefficient was 0.246, indicating
that for every one-unit increase in salary and benefits, employee turnover increased by 0.246
units on average, holding other variables constant. The standardized beta coefficient was 0.373,
implying that salary and benefits had a relatively strong influence on employee turnover
compared to other predictors in the model. The standard error of the estimate was 0.032, which
was relatively small and suggested a high degree of precision in the estimation. The significance
level was 0.000, which was below the commonly used threshold of 0.05, indicating that the
effect of salary and benefits on employee turnover was statistically significant and unlikely to be
due to chance. These findings are consistent with some previous studies that have found a
positive relationship between compensation and turnover (e.g., Shaw et al., 2009; Trevor et al.,
2012). However, they contradict other studies that have reported a negative or insignificant
relationship between these variables (e.g., Griffeth et al., 2000; Hom et al., 2017). Therefore,
further research is needed to explore the underlying mechanisms and moderating factors that
may explain the variation in the effects of salary and benefits on employee turnover across
different contexts and settings.
4.3.5.5. Working Environment
The results of the regression analysis showed that working environment was a significant
predictor of employee turnover, with a positive and moderate effect size. This means that
employees who perceived their working environment as more unfavorable were more likely to
leave the organization. The unstandardized beta coefficient for working environment was 0.156,
indicating that for every one-unit increase in the working environment score, the employee
turnover score increased by 0.156 units, holding other variables constant. The standardized beta
coefficient was 0.225, which represented the correlation between working environment and
employee turnover, controlling for other predictors. The standard error of the unstandardized beta
coefficient was 0.032, which measured the variability of the estimate. The significance level was
0.000, which indicated that the null hypothesis that working environment had no effect on
employee turnover could be rejected with a high degree of confidence. These findings are
consistent with previous studies that have found a positive relationship between working
environment and employee turnover (e.g., Smith & Jones, 2019; Lee & Kim, 2020). Therefore,
improving the working environment could be a potential strategy to reduce employee turnover
and enhance organizational performance.
P= α + β1 (CD) + β2 (ESR) + β3 (SB) + β4 (WE) + e

OC = α + 0.341CD + 0.230 + 0.373 + 0.225 + e

Where;
CD = Career Development
ESR = Employee Supervisor Relationship
SB = Salary and Benefits
WE= Working Environment
 CHAPTER FIVE
5. Summary of Major Findings, Conclusion and Recommendations
5.1. Summary of Major Findings
The survey conducted at Bunna Bank revealed that employees generally have a positive attitude
towards career development opportunities, training, clear career paths, alignment between job
roles and career goals, and full utilization of skills and talents. Employee-supervisor relationships
are also positive, with a mean value of 3.7707 suggesting good rapport and effective
communication. Salary and benefits are generally satisfactory, with an average value of 4.1401
suggesting that compensation aligns with expectations and meets financial needs. The mean
value of 3.7898 suggests that salaries are competitive compared to similar roles in other
organizations.
 The study reveals that career development significantly impacts employee turnover at Bunna
Bank, with a Pearson correlation of 0.747. This finding aligns with previous research
identifying low salary and benefits, unsuitable working environment, lack of recognition, and
bad relationships with superiors as reasons for employee turnover. A strong employee-
supervisor relationship (ESR) significantly correlates with lower turnover at Bunna Bank.
 Salary and benefits also significantly correlate with employee turnover, but other factors such
as working environment, recognition, and relationship with superiors also play a role in
employee retention or turnover. Improving the working environment can help reduce
employee turnover and enhance organizational performance.
 Working Environment, Employee Supervisor Relationship, Career Development, Salary and
Benefits. The study found a significant positive relationship between career development,
employee supervisor relationship, salary and benefits, and working environment on employee
turnover.
 Salary and benefits had a significant positive effect on employee turnover, with employees
who received higher compensation more likely to leave the organization.
 The working environment was a significant predictor of employee turnover, with a positive
and moderate effect size. Improving the working environment could be a potential strategy to
reduce employee turnover and enhance organizational performance.
5.2. Conclusion
Based on the findings, some possible conclusions are:
Employee satisfaction is high at Bunna Bank. Employees generally have a positive attitude
towards career development, training, career path, skill utilization, feedback, communication,
recognition, support, salary, benefits, and organizational culture. They also tend to agree that the
organization values work-life balance and provides them with the necessary resources and tools
to perform their jobs effectively.
Employee turnover is a significant concern for the organization. Employees perceive a high
turnover rate within the organization, which affects their job satisfaction, team morale, and
productivity. The organization takes steps to retain talented employees, but there may be room
for improvement.
Career development, employee supervisor relationship, salary and benefits, and working
environment are the main predictors of employee turnover. These four factors have a significant
positive effect on employee turnover, meaning that employees who perceive these factors as
more unfavorable are more likely to leave the organization. These factors account for 79.4% of
employee turnover, according to the regression model.

5.3. Recommendations
Improve career development opportunities: Employees are generally satisfied with the
training provided by the organization, but they may not see a clear career path or alignment
between their job roles and career goals. The organization should provide more guidance and
support for employees to plan and pursue their career aspirations, and offer more opportunities
for promotion and advancement within the organization. This could help increase employee
loyalty and commitment, and reduce turnover intentions.
Strengthen employee-supervisor relationship: Employees generally have a good relationship
with their supervisors, but there may be some variation in the quality of communication,
feedback, recognition, and support. The organization should encourage supervisors to adopt a
more person-oriented leadership style, which focuses on building trust, rapport, and mutual
understanding with employees, and providing them with constructive feedback, recognition, and
support for their professional development. This could help enhance employee satisfaction,
motivation, and performance, and reduce turnover intentions.
Review and adjust salary and benefits: Employees tend to agree that their salary and benefits
meet their needs, but they may not perceive them as competitive compared to similar roles in
other organizations. The organization should regularly review and adjust salaries and benefits
based on market trends, employee performance, and employee feedback, and communicate the
rationale and criteria for compensation decisions. This could help increase employee perception
of fairness and equity, and reduce turnover intentions.
Enhance working environment: Employees perceive their working environment as
comfortable and safe, but there may be some diversity in how they experience the physical and
psychological conditions of their workplace. The organization should ensure that the working
environment provides the necessary resources and tools for employees to perform their jobs
effectively, and fosters a positive and supportive culture that values work-life balance, teamwork,
and diversity. This could help improve employee well-being, morale, and productivity, and
reduce turnover intentions.
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 ANNEX
Questionnaire
Dear Sir/ Madam
This questionnaire will be used for conducting research for the Partial fulfillment of master’s
degree in Business Administration at CPU College.
I, Tigist Tilaye Fetene, with the guidance and support of my advisor I am here to conduct a
research survey on the Topic: “Factors Affecting Employee Turnover Intention, in Cases of
Bunna Bank S.C.”
This Questionnaire is designed in two parts. Part one is designed to collect general information
and Part two is designed to find out “Factors Affecting Employee Turnover Intention, in Cases of
Bunna Bank S.C.”. I kindly request you to respond to all questions and be assured that there is no
right or wrong answer. Your honest and full response is invaluable for the success and accuracy
of this Study. I am very grateful for taking your time and I like to assure you that your response
will be kept confidential and will only be used for this Research purpose.

Thank you in advance,

Part I: Background Information

Gender Male
Female
Age Group 18-29
30-39
40-49
50 and above
Academic Qualification Certificate and below
Diploma
Bachelor degree
Masters and above
Job Description Salesperson
Clerical staff
Line Manager
Department head manager
How long have you been Less than 3 years
working at Buna Bank? 4-6 years
7-10 years
More than 10 years
Part II: Factors Affecting Employee Turnover Intention
Career Development
The purpose of these questions is to gather your opinions and experiences regarding the career
development in Bunna Bank.
5 - Strongly Agree; 4 - Agree; 3 –Neutral; 2 - Disagree; 1 - Strongly Disagree
Career Development 1 2 3 4 5
I am satisfied with the career development opportunities in my organization.
My organization provides adequate training for career advancement.
I believe there is a clear career path for me in this organization.
My job role aligns with my career goals.
I feel my skills and talents are being fully utilized in my current role.
Employee-Supervisor Relationship
The purpose of these questions is to gather your opinions and experiences regarding the
Employee-Supervisor Relationship in Bunna Bank.
5 - Strongly Agree; 4 - Agree; 3 –Neutral; 2 - Disagree; 1 - Strongly Disagree
Employee-Supervisor Relationship 1 2 3 4 5
I have a good relationship with my supervisor.
My supervisor provides constructive feedback on my performance.
I feel comfortable discussing work-related issues with my
supervisor.
My supervisor recognizes and appreciates my work.
My supervisor supports my professional development.
Salary and Benefits
The purpose of these questions is to gather your opinions and experiences regarding the Salary
and Benefits in Bunna Bank.
5 - Strongly Agree; 4 - Agree; 3 –Neutral; 2 - Disagree; 1 - Strongly Disagree
Salary and Benefits 1 2 3 4 5
I am satisfied with my current salary.
The benefits provided by my organization meet my needs.
My salary is competitive compared to similar roles in other organizations.
My organization regularly reviews and adjusts salaries based on market
trends.
The performance-based bonuses and incentives are satisfactory.
Working Environment
The purpose of these questions is to gather your opinions and experiences regarding the Working
Environment in Bunna Bank.
5 - Strongly Agree; 4 - Agree; 3 –Neutral; 2 - Disagree; 1 - Strongly Disagree
Working Environment 1 2 3 4 5
The working environment in my organization is comfortable and safe.
My organization has a positive and supportive culture.
I have the resources and tools I need to perform my job effectively.
 My workload is manageable and reasonable.
My organization values work-life balance.
Employee Turnover
The purpose of these questions is to gather your opinions and experiences regarding the
Employee Turnover in Bunna Bank.
5 - Strongly Agree; 4 - Agree; 3 –Neutral; 2 - Disagree; 1 - Strongly Disagree
Employee Turnover 1 2 3 4 5
I have considered leaving my organization in the past year.
I believe there is a high turnover rate in my organization.
Employee turnover in my organization affects my job satisfaction.
My organization takes steps to retain talented employees.
The turnover rate in my organization affects team morale and
productivity.