Linking Organisational Culture to Turnover Intention: Intervening Mechanism of Psychological Empowerment
DOI:
https://doi.org/10.58574/jaa.2026.v5.i1.19Keywords:
Organisational Culture, Psychological Empowerment, Turnover Intention, Ready-Made Garment IndustryAbstract
Abstract
This paper discusses the mediating effect of psychological empowerment within the correlation between organisational culture and turnover intention among employees in the ready-made garment (RMG) industry in Bangladesh. It aims to investigate the notion of whether a positive organisational culture has a direct decrease in the intention of employees to quit or an indirect effect through psychological empowerment of the employees, a key element in increasing employee retention in labour-intensive industries. A cross-sectional survey design was used, and the data were gathered on employees in the RMG industry. Partial Least Squares Structural Equation Modelling (PLS-SEM) was used to analyse the data. The measurement model was tested on the basis of reliability and validity, whereas the structural model was applied to test the hypothesised direct and mediating relationship among organisational culture, psychological empowerment and turnover intention.
The results show that organisational culture has a considerable negative impact on turnover intention and a positive impact on psychological empowerment. Psychological empowerment, in turn, greatly decreases the intention to leave among employees and partly mediates the connection between organisational culture and turnover intention, explaining 41.58 per cent of the overall impact. These findings underscore the need to develop an empowering organisational environment. The research adds to the literature by combining the Social Exchange Theory with the Job Characteristics Model and gives empirical data from the RMG industry in Bangladesh.
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