The Role of Job Insecurity and Organizational Commitment to Turnover Intention on Startup Employee

Abstract

X Company is a startup company engaged in financial technology, experiencing an increased in the number of turnover. Turnover has a negative impact on the company. When the number of turnover at the company increases, the company must pay more for the process of recruiting and training new employees (Kim, 2008). Al Battat, Som, and Helahat, (2013) in their research claim turnover intention is an accurate predictor of the number of turnover. An organization can’t eliminate the intention of employee turnover, but can reduce the level of intention. Factors that cause frequent employee desires to leave the company are employee insecurities at job and commitment to the organization (Kim, 2008). Design of this study is correlational quantitative, non-experimental and sampling techniques by convenience sampling. Participants in this study is 60 participants with the characteristics worked for at least 6 months in startup company. Participants in this study were not limited by gender and age. Hypothesis testing, research conducted to examine the role of job insecurity and organizational commitment to turnover intention. Data analysis techniques using multiple linear regression with SPSS Statistics 25 application. Hypothesis testing produces a standard value of job insecurity coefficient is 0.189 and a standard value of organizational commitment coefficient is -0.689 with a significance level of 0.000. Based on the results can be concluded that job insecurity has a significant and positive effect to turnover intention. In addition, organizational commitment has a significant and negative effect to turnover intention.