Employee Commitment: Through Training Opportunities and Organization Compensation System

Abstract

In today's dynamic environment, companies have been forced to operate at their highest rates. To ensure that this becomes a reality, every employee must be committed to organizational objectives and function as an effective member of the organization. However, reviewing the commitment of employees may be difficult, as it can be affected by different factors. The goal of this study was therefore to determine the factors that influence employee commitment in one of the established companies in Malaysia. To attain this, the study explored the relationship between training and development opportunities and organization compensation and benefit towards employee commitment. This study used a set of self-administered questionnaires to gather empirical data from 154 respondents employed in the company's subsidiaries. A Multiple Regression Analysis was conducted to investigate the effect of training and development opportunities and the organization’s compensation benefits on employee commitment. In the regression analysis, the R-Square value of 0.603 implies that the independent variables explain 60.3% of the variance in employee commitment. This study indicates that the organizations are encouraged to provide more valuable programs and increase hours for training and development opportunities, as well as to develop an effective compensation plan to enhance the commitment of the employees.