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Mediating role of organisational engagement in generation Y employee retention in the pharmaceutical industry

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  • Anne Ng
  • Mohamad Hisyam Selamat

Abstract

Generation Y employees form the majority workforce, but retaining and engaging them is challenging as they change jobs more frequently than other generations. This research examines the mediating role of organisational engagement on Gen Y employee retention. Data collected from 308 Gen Y employees were useable and hypothesised relationships were analysed using PLS-SEM method. This study found that psychological empowerment, work-life balance, employee development and knowledge sharing are strong predictors of organisational engagement. Organisational engagement mediates the positive influence of the studied antecedent predictors on Gen Y employee retention, and also emerged as a strong predictor of Gen Y employee retention. PLSpredict assessment revealed high predictive power for organisational engagement, demonstrating that organisational engagement is crucial for Gen Y employee retention, especially during times of change and adversity, considering that this research was carried out during the COVID-19 pandemic when there were dramatic organisation-wide changes in work norms.

Suggested Citation

  • Anne Ng & Mohamad Hisyam Selamat, 2026. "Mediating role of organisational engagement in generation Y employee retention in the pharmaceutical industry," International Journal of Management Practice, Inderscience Enterprises Ltd, vol. 19(3), pages 286-313.
    • Handle: RePEc:ids:ijmpra:v:19:y:2026:i:3:p:286-313
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