The Mediating and Moderating Role of Psychological Empowerment Between proactive personality and Employee’s Intention to stay: A review

Abstract

Employee retention is a critical concern for organizations aiming to maintain a competitive edge, particularly in retaining high achievers whose departure could significantly impact performance and morale. This study explores the relationship between proactive personality and an employee's intention to stay, with a specific focus on the mediating and moderating roles of psychological empowerment. By identifying the variables that most effectively differentiate between employees who intend to stay and those who plan to leave, the research aims to offer insights for pre-emptive interventions to retain valuable employees. The study theorizes that employees with proactive personalities are more likely to remain with the company, especially when they experience high levels of psychological empowerment. Psychological empowerment is examined both as a mediator, explaining how proactive personality influences the intention to stay, and as a moderator, determining whether the strength of this relationship varies at different levels of empowerment. The findings highlight the significance of psychological empowerment in retaining employees. The results suggest that interventions aimed at enhancing employees' sense of empowerment can strengthen the retention of proactive individuals. By understanding these dynamics, organizations can better predict employee turnover intentions and implement targeted retention strategies, ultimately ensuring a stable and committed workforce.