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FACTORS AFFECTING THE TURNOVER INTENTION OF EMPLOYEES IN THE AFTERMATH OF COVID19: THE CASE OF DANANG HOTELS

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Nghiên cứu về ý định nghỉ việc của nhân viên ngành khách sạn sau đợt dịch Covid19. Trường hợp nghiên cứu tại khách sạn ở Đà Nẵng.During the COVID19 crisis, many hospitality businesses have staff cutbacks to minimize organizational costs (Hope, 2020). However, they are likely to face the risk of lacking a qualified workforce which is vital for them to quickly bounce back and develop after the crisis (Shira Associates, 2020) . Indeed, due to the challenges of the hospitality sector, employees have high intentions to look for better career opportunities in other organizations or even other industries. Thus, the understanding of factors affecting employees’ turnover intentions in this crisis has increasingly drawn attention from researchers in the hospitality industry (Anvaria, JianFub, Chermahini, 2014; Lee, Huang, Zhao, 2005).

ĐỒN THANH NIÊN CỘNG SẢN HỒ CHÍ MINH BAN CHẤP HÀNH TP HỒ CHÍ MINH CƠNG TRÌNH DỰ THI GIẢI THƯỞNG SINH VIÊN NGHIÊN CỨU KHOA HỌC EURÉKA LẦN THỨ 22 NĂM 2020 TÊN CƠNG TRÌNH: FACTORS AFFECTING THE TURNOVER INTENTION OF EMPLOYEES IN THE AFTERMATH OF COVID-19: THE CASE OF DANANG HOTELS LĨNH VỰC NGHIÊN CỨU: CHUYÊN NGÀNH: Kinh tế Quản trị kinh doanh du lịch Mã số cơng trình:………… Đà Nẵng, tháng 09 năm 2020 ABSTRACT During the COVID-19 crisis, many hospitality businesses have staff cutbacks to minimize organizational costs (Hope, 2020) However, they are likely to face the risk of lacking a qualified workforce which is vital for them to quickly bounce back and develop after the crisis (Shira & Associates, 2020) Indeed, due to the challenges of the hospitality sector, employees have high intentions to look for better career opportunities in other organizations or even other industries Thus, the understanding of factors affecting employees‟ turnover intentions in this crisis has increasingly drawn attention from researchers in the hospitality industry (Anvaria, JianFub, & Chermahini, 2014; Lee, Huang, & Zhao, 2005) Despite the growing importance of controlling employees‟ turnover intentions in this unprecedented crisis, no studies have been conducted to investigate the causing factors of this concept Therefore, the current study aims to construct and validate the model of employees‟ turnover intention of the hospitality industry in the COVID-19 crisis involving three dimensions of organizational trust (integrity, commitment, dependability) employee satisfaction, and turnover intention A quantitative research approach was adopted to achieve the research objective An online survey was conducted to collect data from employees who have labor contracts with hospitality businesses in Da Nang in April 2020 The findings revealed that integrity and commitment have positive effects on employee satisfaction, whereas perceived integrity, dependability, employee satisfaction have a negative correlation with turnover intention Moreover, employee satisfaction plays a mediation role in the causal links from integrity and commitment to the turnover intention of the hotel‟s employee in Da Nang With these findings, this study contributed to theoretically and practically of human resource management and hospitality management by providing an understanding of influences of organizational trust, satisfaction, and turnover intention of employees and giving recommendations to build up the organizational trust of employees in the crisis Key words: organizational trust, employee satisfaction, turnover intention, COVID19 i TABLE OF CONTENTS Page Table of contents i List of tables iv List of figures v List of abbreviations vi INTRODUCTION Page Research background Research objectives Object and scope of research Research contributions 5 Structure of the study CHAPTER 1: LITTERATURE REVIEW 1.1 Page Overview of COVID-19 crisis 1.1.1 COVID-19 pandemic 1.1.2 Crisis .7 1.2 Turnover intention of employees 1.3 Employee trust in the organization 1.3.1 Key dimensions of employee trust in the organization .9 1.3.1.1 Integrity 10 1.3.1.2 Commitment 10 1.3.1.3 Dependability 11 1.4 Employee satisfaction 11 1.5 Conceptual framework and hypotheses 12 1.5.1 Conceptual framework 12 ii 1.5.1.1 The model of the relationships between trust, service climate, and employee satisfaction 12 1.5.1.2 The model of the relationship between job satisfaction, organizational commitment, and turnover intention .13 1.5.1.3 1.5.2 The proposed conceptual framework of the study .13 Hypotheses development 14 1.5.2.1 The relationships between organizational trust dimensions and employee satisfaction 14 1.5.2.2 The relationship between dimensions of organizational trust and turnover intention .15 1.5.2.3 The mediation between dimensions of organizational trust and turnover intention 15 1.5.2.4 The relationship between employee satisfaction and turnover intention .16 CHAPTER 2: METHODOLOGY Page 2.1 Measurement scale development 18 2.2 Questionnaire design 20 2.3 Sampling design 21 2.3.1 Target population and sampling frame 21 2.3.2 Sample size 22 2.4 Data collection 22 2.5 Data analysis method 23 2.5.1 Data examination 24 2.5.2 Exploratory factor analysis 25 2.5.3 Measurement model evaluation 26 2.5.4 Structural model evaluation 27 iii CHAPTER 3: RESULTS Page 3.1 Sample profile 29 3.2 Exploratory factor analysis 31 3.2.1 Exploratory factor analysis of organizational trust 32 3.2.2 Exploratory factor analysis of employee satisfaction and turnover intention 35 3.3 Finalizing measurement scales after EFA 38 3.4 The evaluation of measurement model 39 3.5 The evaluation of structural model 41 3.5.1 Step 1: Collinearity assessment 41 3.5.2 Step 2: Evaluation of structural model path coefficients .42 3.5.3 Step 3: Coefficient of determination ( R2 value) 43 3.5.4 Step 4: Evaluation of effect size f2 .44 3.5.5 Step 5: Evaluation of predictive relevance Q2 and the q2 effect sizes 45 3.6 Analysis of indirect effects 46 CONCLUSION AND IMPLICATIONS Page Discussions & conclusion 48 Implications 49 2.1 Theoretical implications 49 2.2 Managerial implications 51 Limitations and future research directions 52 3.1 Limitations .52 3.2 Future research directions 53 VIETNAMESE REFERENCE 54 ENGLISH REFERENCE 55 APPENDIX: SURVEY 65 iv LIST OF TABLES Table 1: Measures of variables for the proposed model 18 Table 1: Description of the Respondents (N=293) 29 Table 2: Items and their standard deviations .30 Table 3: EFA results of organizational trust 33 Table 4: EFA results of employee satisfaction 36 Table 5: EFA results of turnover intention 37 Table 6: Adjust the measurement scale .38 Table 7: Results of measurement model evaluation 40 Table 8: Fornell- Larcker Criterion of the first-order factor model 41 Table 9: Collinearity assessment .42 Table 10: Results of path significance of structural model .42 Table 11: Results of the coefficient of determination R2 43 Table 12: Results of effect size f2 analysis 44 Table 13: Results of predictive relevance (Q2) and q2 effect size .45 Table 14: Results of indirect effects 46 v LIST OF FIGURES Figure 1: Propose construction in the model .14 Figure 1: Procedure of data analysis 24 Figure 2: The procedure of structural model evaluation 28 vi LIST OF ABBREVIATIONS Abbreviation Explanation CO Commitment COVID-19 Coronavirus disease 2019 CoVs Coronaviruses DE Dependability EFA Exploratory Factor Analysis ES Employee Satisfaction GDP Gross Domestic Product IN Integrity KMO coefficient Kaiser- Mayer- Olkin coefficient MLR Multiple linear regression SARS-CoV-2 Standing for severe acute respiratory syndrome coronavirus Sig observed Significant Level SLN Simple linear regression SPSS Statistical Package for Social Sciences TI Turnover Intention VIF Variance inflation factor INTRODUCTION RESEARCH BACKGROUND Early 2020 witnessed the COVID-19 crisis occurring on a worldwide scale (Zheng et al., 2020) Above all, COVID-19 is a global public health crisis Although the mortality rates are low compared to SAR and MERS, its highly infectious nature has created a fear of fear all over the world (Estrada et al., 2020; Wong et al., 2020) Therefore the COVID-19 pandemic is considered to have serious, devastating effects on the global economy in all fields of industry, more intense and different from what is felt during the global financial crisis worldwide in 2008-2009 (ECLAC, 2020) In which the tourism and hotel industry is considered one of the most deeply affected industries (UNWTO, 2020b) Revenue from the tourism industry is expected to suffer billions of dollars in damage, with the figure achieved in 2020 decrease from 300-450 billion dollars- down about 20-30% from previous years by the effect of COVID-19 (UNWTO, 2020a) One of the reasons for this is that domestic and international tourism was interrupted by a travel restriction order issued by the government of countries During this time, people implement measures to social distance, selfquarantine at home, and limit going out to prevent the spread of disease that leads to public airline flights were significantly reduced There was almost no demand for travelling and accommodating at hotel facilities (Estrada et al., 2020) The research setting is in Da Nang, which is one of the best destinations in Viet Nam (Hoang et al., 2016) This place also has many natural resources, landscapes to attract tourists from all over the world The number of tourists who have travelled to Da Nang has increased rapidly year by year (Danang Fantasticity, 2019), which lead to facilitate the development of the hotel industry The number of hotels and accommodations establishments in Da Nang is increasing rapidly, with average each year which has raise 86 accommodations and hotels with over 6000 rooms (Đức Hoàng, 2018) Every year, the hotel industry contributes mostly to the Da Nang city's total revenue (GDP) (Kiều Vũ, 2018) However, in the situation of the COVID-19 epidemic, the number of flights and visitors to Da Nang dropped sharply (Lưu Hương, 2020) In addition to complying with the Prime Minister's Directive 16 on social isolation and segregation to prevent the spread of the virus, all hotels and accommodation facilities in catchment areas forced to close, stop receiving guests for a specified period (Ngân Hà, 2020) This has a negative impact on workers, especially in the hotel industry that leads to the fact that the unemployment rate, the desire to change the industry of workers is increasing considerably in Da Nang (Hoàng Văn Minh, 2020), which significantly affects the operation and strategic plans of the hotels in the future (Abbasi et al., 2008) Undeniably, the COVID-19 crisis can pose significant challenges and disadvantages when it not only makes minimizing revenue or profit but more importantly for making significant fluctuations in the hotel labour force; this harms other organization‟s aspects In times of crisis, hotel organizations often have staff cutbacks to minimize the organization's costs to overcome difficult times in crisis (Hope, 2020) However, after the crisis, hotels faced the problem of lack of workforce as the demand for tourists could recover and increase sharply Still, the hotel did not have enough resources to meet and satisfy the needs of various tourists on time (Shira and Associates, 2020) (UNWTO, 2020a) Thereby reducing the opportunity for hotels to maintain growth, expansion, and gain an advantage in the market after the crisis occurred The reasons might be from both inside and outside of organizations they are working (Canada, 2020) Therefore, hotel organizations need to keep an eye on the crisis situation and to monitor employee views about the intention of leaving during this time to help hotels propose policies or countermeasures promptly according to the current situation of the organizations This helps hotel organizations build and correct the targets, plans short and long-term of the organization in the future (Estrada et al., 2020; Kang et al., 2014) As a result, the understanding of factors affecting employees‟ turnover intentions in this unprecedented crisis has increasingly drawn attention from both researchers and practitioners in the hospitality industry (Anvaria et al., 2014; Lee et al., 2005) Recently, there have been many research papers in different fields, referring to employee‟s turnover intention (Ahmad and Omar, 2010; Ali, 2007; Poon, 2002; Yücel, 2012) Turnover has always been considered one of the most critical and persistent issues in all types and sizes of organizations (Joo and Park, 2010; Yin-Fah et al., 2010) According to Frank et al (2004), the success or failure of an organization depends on the ability to monitor, control, and predict the rate at which employees 56 Brough, Paula and Rachael Frame (2004), "Predicting police job satisfaction and turnover intentions: The role of social support and police organizational 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hotels in Da Nang in the aftermath of Covid-19 crisis This survey will take up a bit of time to complete Your responses will be kept confidential and will only be used to accomplish the purpose of this research If you have any questions related to this research, please contact me as soon as possible Thank you so much I gratefully appreciate your valuable time spending on this study Please tick ✓the box the information which best corresponds to your answer PART 1: SCANNING QUESTIONS Have you ever worked official at any hotels in Da Nang, Viet Nam: ❍ Yes, I have ❍ No, I haven‟t PART 2: MAIN QUESTIONNAIRE - On a scale of to 5, “Strongly disagree” to “Strongly agree” please demonstrate the level of agreement of you of the following statement (1) (2) (3) (4) (5) ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ Integrity (IN) 1.1 My hotel treats me fairly despite the crisis 1.2 My hotel takes significant measures to help employees overcome the crisis 1.3 My hotel has sound policies to overcome the crisis 1.4 My hotel encourages openness to share our difficulties during the crisis 66 1.5 My hotel tells me the truth about the crisis whether it is pleasant or not 1.6 My hotel tells me anything I need to know during the crisis ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ Commitment (CO) 2.1 My hotel tries to maintain a long-term commitment with me despite the crisis 2.2 My hotel shows confidence in my capacity to overcome the crisis 2.3 My hotel has built a longlasting relationship with me 2.4 My hotel is willing to invest in me despite the crisis 2.5 My hotel values my work commitment during the crisis Dependability (DE) 3.1 I can rely on my hotel‟ management to keep its promises after the crisis 3.2 I am willing to let my hotel make decisions for me during the crisis 3.3 My hotel helps me to deal with all my difficulties during the crisis 3.4 My hotel guides me when I am struggling with handling the situation during the crisis 3.5 My hotel has a well-established program to help employees deal with difficulties during the crisis Employee satisfaction (ES) 4.1 I „m happy with all the decisions made by my hotel during the crisis 4.2 I feel that I am fulfilling an important role in my hotel during the crisis 4.3 I have been recognized in my efforts to help my hotel deal with the crisis 4.4 I feel that my hotel cares about employees more than anything during the crisis 67 4.5 I am satisfied with the measures implemented by my hotel during the crisis ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ Turnover intention (TI) 5.1 After the crisis, I intend to leave my hotel 5.2 After the crisis, I intend to search for a job in another hotel 5.3 After the crisis, I intend to change my field of working PART3: PERSONAL INFORMATION: Finally, please kindly provide us with your basic personal information Age: ❍ 18- 29 ❍ 30-39 ❍ 40-49 ❍ Over 50 Gender: ❍ Female ❍ Male Education ❍ High schools ❍ Intermediate/ college ❍ University ❍ Postgraduate Monthly income ❍ Under million ❍ From to under 10 million ❍ From 10 to 15 million ❍ Over 15 million THANK YOU SO MUCH & HAVE A GOOD DAY 68 Tiếng Việt KHẢO SÁT Ý ĐỊNH NGHỈ VIỆC CỦA NHÂN VIÊN TRONG NGÀNH DỊCH VỤ KHÁCH SẠN SAU KHỦNG HOẢNG COVID-19 TẠI ĐÀ NẴNG Xin chào quý Anh/chị Tôi sinh viên năm cuối trường Đại học Việt Nam Nhằm điều tra đánh giá ý định nghỉ việc nhân viên làm việc khách sạn Đà Nãng sau chịu ảnh hưởng khủng hoảng COVID-19, tiến hành thực nghiên cứu Vì vậy, tơi biết ơn Anh/chị giúp tơi bỏ chút thời gian để hoàn thành khảo sát Tôi đảm bảo, thông tin mà quý Anh/chị cung cấp giữ bí mật dành phục vụ cho mục đích nghiên cứu đề tài Nếu anh/ chị có câu hỏi nội dung nghiên cứu, xin liên hệ với Tôi xin chân thành cảm ơn Xin đánh dấu tick ✓ vào trịn ghi thêm thơng tin vào câu trả lời anh/chị PHẦN 1: CÂU HỎI PHÂN LOẠI Anh/chị có làm việc thức ( có hợp đồng lao động) khách sạn Đà Nẵng khơng? ❍ Có ❍ Khơng PHẦN 2: CÂU HỎI CHÍNH - Trên thang đo từ đến 5, từ “Hồn tồn khơng đồng ý” đến “hồn tồn đồng ý”, anh/chị vui lịng cho biết ý kiến cá nhân bảng sau (1) (2) (3) (4) (5) ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ Sự liêm 1.1 Khách sạn tơi đối xử cơng với tơi bất chấp có khủng hoảng 1.2 Khách sạn tơi đưa biện pháp thiết thực để giúp nhân viên vượt qua khủng hoảng 1.3 Khách sạn đưa sách hợp lý để vượt qua khủng hoảng 1.4 Khách sạn tơi khuyến khích cởi mở để chia sẻ khó khăn khủng hoảng 69 1.5 Khách sạn cho biết thật khủng hoảng dù có khả quan hay khơng 1.6 Khách sạn tơi cho tơi biết cần biết suốt khủng hoảng ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ 2.1 Khách sạn tơi ln cố gắng trì cam kết lâu dài với bất chấp khủng hoảng xảy ❍ ❍ ❍ ❍ ❍ 2.2 Khách sạn cho thấy tự tin vào khả để vượt qua khủng hoảng ❍ ❍ ❍ ❍ ❍ 2.3 Khách sạn xây dựng mối quan hệ lâu dài với ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ Sự cam kết 2.4 Khách sạn sẵn sàng đầu tư vào bất chấp khủng hoảng 2.5 Khách sạn coi trọng cam kết công việc dù khủng hoảng Sự tin cậy 3.1 Tôi dựa vào khách sạn quản lý để giữ lời hứa sau khủng hoảng 3.2 Tôi sẵn sàng để khách sạn đưa định cho khủng hoảng 3.3 Khách sạn tơi giúp tơi giải khó khăn khủng hoảng 3.4 Khách sạn hướng dẫn xử lý tình khủng hoảng 3.5 Khách sạn tơi có chương trình thiết lập hồn hảo để giúp nhân viên đối phó với khó khăn khủng hoảng Sự hài lịng nhân viên 4.1 Tơi hài lịng với tất định khách sạn đưa khủng hoảng 4.2 Tôi cảm thấy hồn thành vai trị quan trọng khách sạn khủng hoảng 70 4.3 Tơi cơng nhận cho nỗ lực đóng góp để giúp khách sạn tơi đối phó với khủng hoảng 4.4 Tôi cảm thấy khách sạn quan tâm đến nhân viên điều khủng hoảng 4.5 Tơi hài long với biện pháp mà khách sạn triển khai khủng hoảng ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ ❍ Ý định nghỉ việc NV 5.1 Sau khủng hoảng, tơi có dự định rời khỏi khách sạn 5.2 Sau khủng hoảng, tơi dự định tìm kiếm cơng việc khách sạn khác 5.3 Sau khủng hoảng, dự định thay đổi lĩnh vực làm việc PHẦN 3: THƠNG TIN CÁ NHÂN Cuối cùng, xin anh/chị vui lịng cung cấp số thơng tin cá nhân bản: Tuổi: ❍ 18- 29 ❍ 30-39 ❍ 40-49 ❍ Trên 50 Giới tính: ❍ Nam Trình độ học vấn: ❍ Trung học phổ thông ❍ Trung cấp/ Cao đẳng ❍ Nữ ❍ Đại học ❍ Sau đại học Thu nhập tháng: ❍ Dưới triệu đồng ❍ Từ đến 10 triệu đồng ❍ Từ 10 đến 15 triệu đồng ❍ Trên 15 triệu đồng CẢM ƠN SỰ THAM GIA NHIỆT TÌNH CỦA ANH CHỊ! ... with the topic: ? ?Factors affecting the turnover intention of employees in the aftermath of COVID-19: The case of Da Nang hotels? ?? RESEARCH OBJECTIVES The main objective of this research is to investigate... conducted to investigate the causing factors of this concept Therefore, the current study aims to construct and validate the model of employees? ?? turnover intention of the hospitality industry in the COVID-19... opportunities in other organizations or even other industries Thus, the understanding of factors affecting employees? ?? turnover intentions in this crisis has increasingly drawn attention from researchers in

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