Work-Life Balance Practices and Employee Retention: A Study of Commercial Banks in Kenya.

Abstract

There is a growing recognition of the need to create a balance between work and non-work aspects of employees. Organizations have realized that the quality of employees’ other lives apart from work impacts greatly the organization’s performance and hence, its survival. Work and non-work integration then becomes so critical that employers now have to establish mechanisms that promote this integration. The general objective of the study was to determine the influence of work life balance practices on employee retention of commercial banks in Kenya. Specifically, the study sought to determine the influence of flexible work options, Family Leave System, recreational programs, child care services and employee assistance programs on employee retention of commercial banks in Kenya. These objectives were achieved by reviewing theories that support work-life literature for example role stress, social exchange, family border, spill over and resource drain and enrichment theories. A descriptive survey was used to collect quantitative and qualitative data. The target population was 4,054 employees in Nairobi County from all the 40 listed and operating commercial banks in Kenya. Nairobi County was selected to draw a representative sample because most of the banks’ Head Quarters, branches and main offices are housed there. Stratified random sampling design was used to select a sample size of 364 respondents from management, supervisory and secretarial levels. Primary data was collected using self-administered questionnaires. Quantitative data was analyzed using both descriptive and inferential statistics. Analysis was done using Statistical Package for the Social Sciences. Qualitative data was analyzed by use of content analysis approach. The results revealed that there is a significant positive influence of all independent variables (flexible work options (β= 0.969, p< 0.001); Family Leave System (β= 1.256, p< 0.001); recreational services (β= 1.163, p< 0.001); child care services (β=1.705, p< 0.001); employee assistant programs (β=1.345, p< 0.001)) on employee retention. Despite their importance, work life balance practices have not been effectively developed and implemented in the commercial banks. The study’s findings and recommendations provide some of the contemporary human resources practices to be considered at both organizational and national levels through provision of practical approaches to human rsources given the heterogeneity of the contemporary labor force, hence contributing to the existing knowledge. The study therefore recommends the need to develop and implement these programs to improve work life balance hence increase employee retention.