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Oct 13, 2025 by magicalceylontours.com 94 views

Employee Retention Strategy Analysis In an Effort to Reduce Turnover Levels in Employees of PT. SIP (Impact of Company Acquisition)

Introduction

In today's competitive business landscape, employee retention has become a critical aspect of organizational success. The impact of company acquisition can significantly affect employee morale, motivation, and job satisfaction, ultimately leading to high turnover rates. This article aims to analyze the employee retention strategies in an effort to reduce turnover levels at PT. SIP, a company that has undergone significant changes in ownership and operational status.

Background

In 2010, PT. Sarana Industama Perkasa, a leading oleochemical factory in Kuala Tanjung, underwent a significant change in ownership from sheep Mas Group to PT. Bakrie Sumatera Plantation, Tbk. This transition was expected to bring about a new era of growth and stability for the factory, which had been struggling to operate optimally since its inception in 2006. However, the uncertainty surrounding the factory's operational status and the lack of clear communication from management led to a sense of pessimism among employees.

The Problem of High Turnover Rates

The uncertainty and lack of clarity surrounding the factory's operational status triggered a high number of turnover rates among employees. Despite receiving salaries and work facilities, employees felt uncomfortable with the existing situation, leading to a significant increase in turnover rates. This problem is not unique to PT. SIP, as many companies face similar challenges in retaining employees, especially during times of change and uncertainty.

Research Objectives

This study aims to explore two important aspects of employee retention:

To identify the factors that contribute to high turnover rates at PT. SIP
To formulate employee retention strategies that can be implemented by Human Resource Management (HR) to reduce turnover levels

Methodology

The methodology used in this study is a descriptive correlation analysis to identify the relationship between various factors that contribute to high turnover rates. The results of the study showed a significant and strong relationship between the variables causing turnover (X) and the turnover itself (Y), with a correlation coefficient of 0.867. According to Guilford's criteria, this value indicates a strong relationship.

Results

The results of the study showed that all dimensions of the variables that cause turnover, including rewards, cooperation, work comfort, facilities, communication, empowerment, and career, have a significant effect on employee turnover partially. This suggests that a combination of factors contributes to high turnover rates at PT. SIP.

Suggestions for Employee Retention Strategies

Based on the findings of this study, several suggestions are made for employee retention strategies that can be implemented by PT. SIP:

Provide clarity about the factory's operational status: The company needs to provide clear and transparent communication about the factory's operational status to alleviate employee concerns and doubts.
Implement the HR Scorecard-based management system: The HR Scorecard system can help assess HR performance and evaluate the effectiveness of employee retention strategies. This system can also monitor whether the strategy is successful in reducing turnover levels and creating a better work environment for employees.
Focus on employee empowerment and career development: The company should focus on empowering employees and providing opportunities for career development to increase job satisfaction and reduce turnover rates.

Conclusion

A good understanding of the factors causing turnover and the application of the right strategy in employee retention can help PT. SIP create organizational stability and increase productivity. Companies that can manage employees well will find that investment in employee retention is the key to achieving long-term success. By implementing effective employee retention strategies, PT. SIP can reduce turnover rates, increase employee satisfaction, and achieve its business objectives.

Recommendations for Future Research

This study provides a foundation for future research on employee retention strategies in the context of company acquisition. Future studies can explore the following research questions:

What are the most effective employee retention strategies in the context of company acquisition?
How can HR Scorecard-based management systems be implemented to evaluate the effectiveness of employee retention strategies?
What are the key factors that contribute to high turnover rates in the context of company acquisition?

By addressing these research questions, future studies can provide valuable insights into the complex issue of employee retention in the context of company acquisition.
Frequently Asked Questions (FAQs) on Employee Retention Strategy Analysis in an Effort to Reduce Turnover Levels in Employees of PT. SIP (Impact of Company Acquisition)

Q: What is the main objective of this study?

A: The main objective of this study is to explore two important aspects of employee retention: (1) to identify the factors that contribute to high turnover rates at PT. SIP, and (2) to formulate employee retention strategies that can be implemented by Human Resource Management (HR) to reduce turnover levels.

Q: What methodology was used in this study?

A: The methodology used in this study is a descriptive correlation analysis to identify the relationship between various factors that contribute to high turnover rates.

Q: What were the results of the study?

A: The results of the study showed a significant and strong relationship between the variables causing turnover (X) and the turnover itself (Y), with a correlation coefficient of 0.867. According to Guilford's criteria, this value indicates a strong relationship.

Q: What are the key factors that contribute to high turnover rates at PT. SIP?

A: The study found that all dimensions of the variables that cause turnover, including rewards, cooperation, work comfort, facilities, communication, empowerment, and career, have a significant effect on employee turnover partially.

Q: What are the suggestions for employee retention strategies that can be implemented by PT. SIP?

A: Based on the findings of this study, several suggestions are made for employee retention strategies that can be implemented by PT. SIP, including:

Providing clarity about the factory's operational status: The company needs to provide clear and transparent communication about the factory's operational status to alleviate employee concerns and doubts.
Implementing the HR Scorecard-based management system: The HR Scorecard system can help assess HR performance and evaluate the effectiveness of employee retention strategies.
Focusing on employee empowerment and career development: The company should focus on empowering employees and providing opportunities for career development to increase job satisfaction and reduce turnover rates.

Q: What are the benefits of implementing effective employee retention strategies?

A: Implementing effective employee retention strategies can help PT. SIP create organizational stability and increase productivity. Companies that can manage employees well will find that investment in employee retention is the key to achieving long-term success.

Q: What are the limitations of this study?

A: This study has several limitations, including:

Limited sample size: The study was conducted on a limited sample size, which may not be representative of the entire population.
Cross-sectional design: The study used a cross-sectional design, which may not capture the dynamic nature of employee retention.
Limited scope: The study focused on a specific company (PT. SIP) and may not be generalizable to other companies.

Q: What are the implications of this study for HR practitioners?

A: This study has several implications for HR practitioners, including:

The need for clear communication: HR practitioners should provide clear and transparent communication about the company's operational status and goals.
The importance of employee empowerment: HR practitioners should focus on empowering employees and providing opportunities for career development to increase job satisfaction and reduce turnover rates.
The use of HR Scorecard-based management systems: HR practitioners should consider implementing HR Scorecard-based management systems to evaluate the effectiveness of employee retention strategies.

Q: What are the future research directions for this study?

A: Future research directions for this study include:

Exploring the most effective employee retention strategies in the context of company acquisition
Implementing HR Scorecard-based management systems to evaluate the effectiveness of employee retention strategies
Identifying the key factors that contribute to high turnover rates in the context of company acquisition