Effects of CSR on employee retention via identification and quality-of-work-life

This paper aims to explore the sequential effects of employee perceptions of corporate social responsibility (CSR), organizational identification (OI), higher-order quality-of-work-life (HQWL) and intention to stay (IS).

The survey responses were gathered from employees of a casino hotel company in the USA. All hypotheses were tested via structural equation modeling.

The results demonstrated that ethical and philanthropic CSR dimensions had significant direct effects on OI and indirect effects on HQWL via OI. OI had positive effects on HQWL (directly) and IS (directly and indirectly via HQWL). Both ethical and philanthropic CSR dimensions indirectly influenced IS via OI and HQWL, while economic CSR had a significant indirect effect on IS via HQWL.

This study addressed the lack of theory-driven empirical work on the relationship between CSR and employee retention by presenting new insights into how different dimensions of CSR can contribute for improving employee HQWL and IS via OI based on social identity theory (SIT) and social exchange theory (SET). In this study, the results may not generalize to other countries and cultures because the data arises from a casino hotel in the USA.

Based on the results, hospitality companies can improve employee OI, HQWL and IS by more effectively implementing different types of CSR programs.

This study provided support for the positive influence of CSR initiatives on hospitality employees in a controversial sector (i.e. casino hotels) in which there is a lack of empirical research.