EFFECTS OF GREEN HUMAN RESOURCE MANAGEMENT PRACTICES ON EMPLOYEES’ RETENTION IN NESTLÉ NIGERIA PLC

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2026-06

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Covenant University, Ota

Abstract

This study investigated the effects of Green Human Resource Management (Green HRM) practices on employee retention in Nestlé Nigeria Plc. Five Green HRM dimensions were examined as independent variables: Green Talent Attraction (GTA), Green Training and Development (GTD), Green Economic Empowerment (GEE), Green Psychological Empowerment (GPE), and Green Leadership (GL). Employee retention was operationalised through four dimensions: Employee Engagement (EE), Employee Performance (EP), Job Satisfaction (JS), and Turnover Intention (TI). Grounded in Social Exchange Theory (Blau, 1964; Cropanzano & Mitchell, 2005) and the Ability-Motivation-Opportunity framework (Appelbaum et al., 2000), the study adopted a positivist, cross-sectional survey design. A structured five-point Likert scale questionnaire was administered to a stratified random sample of 350 permanent employees from Nestlé Nigeria’s Agbara and Flowergate facilities, yielding a 97.2% response rate. Data were analysed using Partial Least Squares Structural Equation Modelling (PLS-SEM) via SmartPLS 4. The measurement model demonstrated adequate reliability and convergent validity across all constructs, and the structural model showed strong explanatory and predictive power. All five null hypotheses were rejected, confirming that each Green HRM dimension exerts a statistically significant effect on employee retention. Green Leadership emerged as the strongest predictor of employee retention outcomes, particularly Job Satisfaction. At the same time, Green Psychological Empowerment showed the greatest explanatory power for Employee Engagement, and Green Training and Development also demonstrated a particularly robust and stable effect. All structural paths to Turnover Intention were negative, consistent with theoretical expectations. The study concludes that Green HRM constitutes a strategically significant retention architecture for Nigerian manufacturing organisations, with implications for HR policy and management practice.

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Employee retention, Green human resource management, Manufacturing sector, Nestlé Nigeria, PLS-SEM, Social exchange theory

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