PAY PERCEPTION AND EMPLOYEES INTENT TO LEAVE, STUDY OF THE MACEDONIAN NON-BANKING FINANCIAL SECTOR

Abstract

The main purpose of this paper is to examine the pay perception among the employees in the non-banking financial institutions in North Macedonia and its correlation with employees’ intent to leave their current positions. The data to be analyzed was gathered through anonymous on line questioner consisting of Likert-scale measures. The results show that familiarity with pay differences does not significantly affect employees’ intent to leave. The findings indicate that majority of employees within the Macedonian non-banking financial institutions claim to understand how their pay and pay raises are determined, usually compare salaries and are aware of the industry pay ranges for their job positions. In addition, the majority of employees are neutral on the questions related to pay differences. Nonetheless, this lack of understanding of the pay system does not significantly influence their intention to leave the company they work for. There is no study on the pay perception and employee intention to leave among nonbanking financial institutions in North Macedonia. On the other hand, there is a need of finding the crucial factors for employees’ intent to leave, in order to be able to retain well-trained and trustworthy team, especially taking into consideration the fact that these institutions are frequently facing challenges where employees are leaving their current jobs to join competitors from the same industry.