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The Effect of Compensation, Motivation, Organizational Commitment on Turnover Intention

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International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 7, Issue 2, pp: (629-637), Month: October 2019 - March 2020, Available at: www.researchpublish.com

The Effect of Compensation, Motivation, Organizational Commitment on Turnover Intention I Gede Angga Prasetya Bandem 1, I Wayan Suana 2 1,2 1,2

Udayana University

Faculty of Economics and Bussiness, Bali, Indonesia

Abstract: Cooperative are the backbone of the Indonesian economy. Cooperative play positive role in the implementation of national development in Indonesia.. The success of an organization is determined by the quality of human resources who play a role in planning, implementing and controlling the organization concerned. The study was conducted at the Cooperative Pasar Srinadi in Klungkung. The research sample were 135 employees, data collected using the questionnaire method.. Multiple linear regression was used. Compensation , motivation, and organizational commitment significantly positive effect on turnover intention. The determinant coefficient test shows the changes that occur in turnover intention can be explained by compensation, motivation, and organizational commitment of 80.7%, while the rest is explained by other factors not tested in this study. Keywords: Compensation, Motivation, Organizational Commitment, Turnover Intention.

I. INTRODUCTION Cooperatives are the backbone of the Indonesian economy. Cooperatives play a positive role in the implementation of national development in Indonesia, both directly and indirectly. The success of an organization is not only determined by the available natural resources, but also much is determined by the quality of human resources who play a role in planning, implementing and controlling the organization concerned. HR is an invaluable asset for one company so it must be maintained and avoided turnover. Yulianue et al (2018) suggested that individuals who intend to leave the organization usually pay less attention to their work and lack of responsibility to get things done. This also causes difficulties for organizations to recruit skilled and committed employees which is very important for organizations to gain competitive advantage. Kulachai (2017) argues that management must place importance on how to make the organization more attractive to employees because it will result in lower turnover and improve the organization to get better performance and competitive advantage. Wong (2017) argues that when an employee views the employer as a poor person in his support, the employee will be more likely to find work elsewhere. Chandra (2017) points out the many consequences of turnover intention on employees, one of which is the lack of comfortable working conditions and support from supervisors and coworkers. Turnover phenomenon becomes a problem for companies when high-achieving employees leave the company. according to Robbins in Hidayat (2017), the perceived negative impact caused by the turnover on the company is on the quality and ability to replace employees who leave the company, so it takes time and new costs in recruiting new employees. In addition to impacting the organization, turnover also has an impact on surviving employees. The number of coworkers who leave the company voluntarily (voluntary turnover), makes employees who still survive to re-evaluate their work and then determine whether he will go out in the footsteps of his colleagues or stay in the company. The turnover intention factors include job satisfaction factors, organizational commitment, organizational trust, job insecurity, role conflict, role ambiguity, locus of control, and organizational change. But in this study raised 3 factors, namely compensation, motivation, and organizational commitment. Compensation is one of the main needs needed by an employee as a human being to fulfill his daily needs. The compensation must be given fairly and evenly so as to create a conducive and productive work environment for the company. Compensation can be interpreted as a total remuneration received by employees for carrying out their work, and

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