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Muin, Oskar Ezra Alan
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Economics, Econometrics & Finance

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Influence of Trust Climate on Turnover Intention Mediated by Work Engagement on Workers in Indonesia Muin, Oskar Ezra Alan; Pangaribuan, Christian Haposan
Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE) Vol 8 No 1 (2025): Sharia Economics
Publisher : Universitas KH. Abdul Chalim Mojokerto

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31538/iijse.v8i3.7420

Abstract

This study assesses the impact of trust climate on turnover intention within Indonesia’s formal employment sector, exploring the mediating function of work engagement. Employing a quantitative, explanatory research design, the study analyzed data from 315 participants, collected via an online survey, using Partial Least Squares Structural Equation Modeling (PLS-SEM). The findings indicate that trust climate enhances work engagement and conversely reduces turnover intention. Work engagement, in turn, was also found to exert a negative influence on turnover intention. This research identifies a significant indirect pathway where trust climate affects turnover intention via work engagement. This suggests that work engagement acts as a partial mediator in the relationship between the organizational trust climate and intentions to leave. Theoretically, this study enriches the human capital literature by proposing a mediation model grounded in social exchange theory. From a practical standpoint, the results offer actionable insights for organizations, emphasizing the importance of cultivating a trustworthy environment and implementing engagement initiatives to bolster employee retention.
Co-Authors Pangaribuan, Christian Haposan