Determinants of Employee Retention in a Small-Scale Rubber Processing Firm: Evidence from Crescent Crumbs Pvt. Ltd., Kerala, India

Abstract

Employee retention has become a central concern of human resource management because the cost of replacing an experienced worker frequently exceeds the cost of keeping one. Much of the Indian retention literature, however, is drawn from information technology, telecommunications and business process outsourcing, and comparatively little is known about retention in small and medium-sized manufacturing units. This study examines the factors associated with employee retention at Crescent Crumbs Pvt. Ltd., an ISO 9001:2008 certified crumb rubber (ISNR-20) processing firm employing approximately 150 people at Pengattussery, Aluva, Kerala. A descriptive cross-sectional design was adopted. Primary data were gathered from 50 employees selected through convenience sampling using a structured 25-item questionnaire administered during December 2013 and January 2014, and were analysed using percentage analysis supported by diagrammatic representation. The results indicate high levels of satisfaction with hygiene-type conditions: 100% of respondents reported receiving salary on the due date, 96% reported adequate rest room facilities, 94% reported that bonus payments influenced their motivation and performance, and 92% were satisfied with the corporate facilities provided. Weaknesses emerged in three areas: the absence of free transport (60%), limited use of informal and recreational engagement at work (56%), and reported obstruction by internal policies and procedures (80%). Only 18% of respondents linked a possible exit to career opportunities, while 70% cited personal reasons. The findings are broadly consistent with the two-factor account of motivation and with earlier evidence that supervisor support and the work environment are important determinants of retention. Practical recommendations are offered for the firm, and the methodological limits of a small convenience sample are acknowledged.