Abstract:
The research examined the retention strategies of skilled employees in public organizations in
Tanzania. The study was conducted in the Meru District Council (MDC), and specifically
determined employees’ retention strategies used by the MDC; examined the effectiveness of
the strategies used by the MDC in retaining its skilled employees; and explored challenges
that affect retention of skilled employees in the MDC. The study was theoretically guided by
the Social Exchange Theory (SET). The study population was 3286 employees of the MDC,
from which an of sample 100 respondents was drawn. The study used the descriptive
research design and the mixed method approach. Systematic simple random sampling was
used to obtain respondents. A structured questionnaire was used to collect quantitative data,
and an interview guide was used to collect qualitative data. Quantitative data was analyzed by
using descriptive statistics. The thematic analysis was used to analyse qualitative data. The
findings revealed that the MDC employs various retention strategies to retain skilled
employees, including training and development, effective communication, competitive salary
packages, promotions, allowances, and staff benefits. The findings highlight several
challenges faced by the MDC in retaining skilled employees. These include insufficient
budget, poor management style, work overload, lack of motivation, and hiring the wrong
candidates. The study concluded that the MDC recognizes the importance of investing in
training and development, promoting effective communication, offering competitive salary
packages, providing opportunities for promotions, and granting allowances in order to attract
and retain skilled employees. Insufficient budget, poor management style, work overload, and
lack of motivation were identified as challenges with varying degrees of impact on the
effectiveness of retention efforts. The study recommends that Meru District Council should
strengthening training and development programs. Meru District Council should also review
salary and compensation packages.