Factors Influencing Employee Retention in Banking Institutions in Tanzania: A Case of Selected Banks in Dar es Salaam Region

This study aimed at investigating the factors influencing employee retention in the banking institutions in Tanzania, particularly in Dar es Salaam Region. A survey design was employed in the study. Stratified sampling technique was used by considering bank categories in Tanzania. Eleven banks were selected purposely to ensure representation of each category and simple random sampling was applied to draw a sample of 370 employees. The study used binary logistic regression to analyze the quantitative data that was collected by using questionnaires. The results based on the first objective, which aimed to examine the influence of training and development elements on employee retention at the selected banks in Dar es Salaam, indicated that training and development elements significantly influence employee retention in work places. The second objective was to determine the influence of compensation elements on employee retention among selected banks in Dar es Salaam. The results of the study indicated a significant influence of compensation elements on employee retention. The third objective aimed to examine the influence of work environment attributes on employee retention in the selected banks in Dar es Salaam and the study established that work environment attributes significantly influence employee retention. The study concluded that training and development in terms of career planning and growth opportunities, compensation in terms of fair salary and work environment in terms of responsibility for the job and bank reputation have significant influence on employee retention at the banks. The study recommended that the banks in Dar es Salaam should improve employee retention by developing and implementing retention policies basing on the identified elements. The elements include, growth opportunities, career planning, fair salary, responsibility for the job and bank reputation