Going green to keep talent: Exploring the relationship between sustainable business practices and turnover intention.

• Author: Florek-Paszkowska, Anna

INTRODUCTION

Organizations must retain talented employees to achieve long-term success in today's business world. Ensuring employee retention holds greater significance than recruiting andtraining new employees dueto the substantial investment of time and resources required (Emmanuel et al., 2021). The impact of turnover can be felt in many areas, including productivity, the overall quality of products or services, and the bottom-line profitability of an organization. In order to remain competitive, enhance productivity, and foster innovation, organizations must prioritize the retention of motivated and skilled staff. The employees within an organization have the potential to be the main source of sustainable competitive advantage (Mehrez & Bakri, 2019). Employee turnover encapsulates the reasons employees choose to leave organizations. While numerous factors can influence an employee's intention to exit, TI stands out as the strongest predictor of actual employee departure (Griffeth et al., 2000; Juma & Lee, 2012). The causes for this intention are generally bifurcated into 'push' and 'pull' factors. The former arises when organizations either consciously or inadvertently create conditions that encourage departures. The latter, on the other hand, pertains to external opportunities or allurements that draw employees out. To foster a loyal and stable workforce, organizations must discern the myriad factors that culminate in TI. SBP emerge as potent tools in this endeavor, helping organizations mitigate factors that spur turnover (Emmanuel et al., 2021). There are various reasons for high turnover rates in organizations, including poor work conditions and inadequate human resources practices such as compensation and benefits, employee services, training and development, performance management, and job security. When organizations recruit from an international labor market, maintaining a stable workforce can become even more challenging, as the recruitment process can be time-consuming and expensive (Hoyos & Serna, 2021).

Retaining employees is, therefore, crucial for multinational organizations. However, HR professionals in developing countries and emerging economies may not fully understand the reasons behind high turnover rates and therefore struggle to develop effective strategies to address the issue (Mehrez & Bakri, 2019). Many companies are adopting strategic approaches like SBP to attract and retain top talent to combat this challenge. However, there is a difference between "turnover" and "turnover intention." In essence, "turnover" refers to the actual act of quitting, where employees leave their current workplace for another organization. On the other hand, "turnover intention" refers to an employee's intention to quit and the likelihood of leaving their current workplace (Mehrez & Bakri, 2019). By monitoring and addressing TI, organizations can benefit by having an early warning sign of potential turnover. The authors aim to understand the relationship between SBP and TI to help organizations become more proactive in addressing employee engagement, job satisfaction, and overall organizational climate.

After analyzing 326 papers from the Scopus database, it was observed that there was a significant gap in the literature in the business, management, and accounting sectors, particularly with respect to the relationship between SBP and TI over the last decade. This study aims to bridge this gap through a systematic literature review (SLR) guided by PRISMA Statement, covering publications from 2013 to 2023. The SLR began with an initial assessment of 326 papers, eventually narrowing down to 31 crucial studies after a rigorous double-blind review process. The choice of Scopus as the primary database stemmed from its comprehensive coverage in the domains of business and business management. It is noteworthy that a significant portion of studies indexed in the Web of Science database also find a place in Scopus. However, focusing exclusively on this database does present limitations, and the potential inclusion of other databases in future research is recognized.

Given the expansive nature of sustainable business practices, this research adopted a focused lens, emphasizing practices that cater specifically for human talent management and foster an organizational culture conducive to employee retention. This strategic approach was crucial in the systematic sifting of the initial 326 papers, resulting in a select compilation of studies that spotlight SBP from the perspective of responsible human talent management. This study provides a profound insight into the evolution of the field, highlighting trends, patterns, and existing gaps. It also charts a course for future research directions. The meticulous SLR process ensures a thorough and transparent review, facilitating a holistic grasp of the SBP- TI dynamic. The adopted methodology reflects a dedication to unveiling a nuanced narrative of the SBP-TI relationship, which are further elucidated in the ensuing sections of this paper. The following research questions guide this study:

RQ1) What are the key findings and topics found based on the SLR regarding the relationship between sustainable business practices and turnover intention? RQ2) How do certain variables mediate or moderate the relationship between sustainable business practices and turnover intention? RQ3) What are the key patterns, trends, and gaps in the relationship between sustainable business practices and turnover intention? RQ4) What are potential future research directions to address the identified gaps and enhance understanding of the factors influencing turnover intention in the context of sustainable business practices? The paper is structured as follows: The introduction provides an overview of the significance of talent retention, the role of SBP, and the research questions guiding this study. The theoretical background offers a comprehensive overview of SBP and TI, discussing key concepts, principles, and theories relevant to the research topic. The methodology outlines the systematic literature review process, including the search strategy, inclusion, and exclusion criteria, and using PRISMA Statement and Covidence for a rigorous review. The results and discussion present the findings and in-depth analysis of the results, discussing their implications and significance in the context of existing literature on the SLR, addressing each research question systematically. The conclusion summarizes the key findings and their contributions while also highlighting the importance of studying the relationship between sustainable business practices and TI.

THEORETICAL BACKGROUND

This study focuses on two key areas of research: sustainable business practices (SBP) and turnover intention (TI). SBP are based on sustainability and organizational theories, which explain how businesses can incorporate social and environmental considerations into their operations. Meanwhile, the theoretical perspective on TI explores factors influencing employees' decision to leave their current jobs, including job embeddedness theory, social exchange theory, and expectancy theory. By examining the relationship between SBP and TI, this study adds to the existing literature.

Sustainable business practices

SBP can be defined as the various methods and actions that organizations adopt to integrate environmental, social, and economic considerations into their operations and decision-making processes (Iqbal, 2020). These practices go beyond mere regulatory compliance and aim to create shared value for all stakeholders by proactively minimizing negative environmental impacts, promoting social responsibility, and ensuring long-term economic viability (Lombardi Netto et al., 2021). Effective human resource management is vital for the long-term sustainability of organizations. Implementing green HRM programs has been proven to be a successful strategy in reducing costs, improving resource efficiency, minimizing carbon footprint, enhancing employee engagement and environmental awareness, elevating environmental performance, and boosting corporate reputation (Wajdi et al., 2023).

It is essential for managers to pursue ethical practices in all aspects of their activities and participate in sustainable management. A fundamental aspect of sustainable HRM involves cultivating a workplace culture that prioritizes openness and respect, as well as fostering relationships of trust with employees (Thai & Mai, 2023). Additionally, it is crucial to emphasize the voice and participation of employees in order to create a sustainable HRM framework (Stadler et al., 2022). Organizations must incorporate sustainability and productivity issues in performance assessments with greening incentives to demonstrate their support for human resource practices. The integration of employees' green behaviors, green HRM practices, and environmental sustainability leads to new ways of performance in organizations with a focus on sustainability (Iqbal, 2020; Mehrez & Bakri, 2019). Leadership emphasis, message credibility, peer involvement, and employee empowerment are critical factors that drive a green organizational culture (Benn et al., 2015). These key enablers can significantly contribute to the success of an organization's sustainability efforts and help in achieving its environmental goals (Roscoe et al., 2019). The adoption of sustainable human resource management (HRM) practices is an essential factor in achieving long-term organizational benefits (Abu Mahfouz et al., 2023). This approach enables the implementation of effective well-being policies and initiatives that promote the continuous health and wellness of the workforce, which in turn enhances the organization's reputation as a preferred employer (Stadler et al., 2022). By adopting SBP, organizations can demonstrate their commitment to environmental and social responsibility while...