Effect of Compensation Package on Staff Intention to Quit in Technical University: A Structural Equation Approach
Daniel Agyapong, Michael Asiamah, Elorm Akusika Cudjoe
Asian Journal of Economics, Business and Accounting · pp. 1–13 · Published 22 May 2019
10.9734/ajeba/2019/v11i230126Abstract
The paper analyses the compensation-intention to quit relationship in one of the technical universities in Ghana. Employing a descriptive survey design, data on the variables are collected using one hundred self-administered valid questionnaires. Data collected were analysed by means of structural equation modelling. The results show there is no significant relationship between intentions to quit and salary, incentives, allowance and fringe benefits. However, there was an inverse relationship between the dependent variable and the predictors. The result implies managers of such institutions do not focus only on monetary, but non-monetary rewards packages drawing their compensation plan. This study provides avenues for reviewing compensation packages of technical universities in order to motivate its employees to help prevent high labour turnover. The paper is among the few that employs the structural equation modelling in its analysis.
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