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Beyond Pay: How Organizational Support and Job Satisfaction Drive Employee Retention Miftakhur Rokhmah; Lina Saptaria
Jurnal Nusantara Aplikasi Manajemen Bisnis Vol 11 No 1 (2026): Jurnal Nusantara Aplikasi Manajemen Bisnis
Publisher : UNIVERSITAS NUSANTARA PGRI KEDIRI

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.29407/nusamba.v11i1.27313

Abstract

Research Aim: This study aims to develop an integrative model by examining the role of job satisfaction as a mediating mechanism in the relationship between compensation, Perceived Organizational Support (POS), and employee retention in travel agencies. Design/Methods/Approach: This research uses a quantitative descriptive approach. Data were collected from 128 travel agency employees in Kediri, East Java, and analyzed using Structural Equation Modeling with the Partial Least Squares (PLS) method. Research Findings: The results show that compensation does not have a significant direct effect on employee retention, while POS has a positive and significant effect. Job satisfaction is proven to mediate the relationship between compensation, POS, and employee retention. Theoretical Contribution / Originality: This study contributes by highlighting job satisfaction as a key mediating variable and strengthening the social exchange theory perspective, emphasizing that perceived organizational support plays a more critical role than financial compensation in influencing employee retention. Practical/Policy Implications: Organizations should prioritize strengthening POS through supportive policies, fair treatment, and employee welfare. Enhancing job satisfaction should become a strategic focus to improve retention. Research Limitation: This study is limited to travel agencies in one region with a cross-sectional design, which may restrict generalizability. Future research should include broader sectors and longitudinal approaches.