Examining The Effectiveness of Retention Strategies in Inhibiting Labour Turnover Rate For Information Technology Professionals In Tanzania

Abstract

This study sought to examine effectiveness of retention strategies in inhibiting labour turnover rate for information technology professionals in Tanzania: A Case of TANESCO Headquarters – Dar Es Salaam. Specifically, the study assessed the perception of IT professionals on the retention strategies, identified leading factors contributing to labour turnover among IT professionals and developed strategies to mitigate labour turnover among IT professionals in TANESCO. Social exchange theory and expectancy theory were adopted in this study. Descriptive research design was used and the study employed a mixed research approach. The population comprised 205 staff members selected using both simple random and purposive sampling techniques. Data was collected through questionnaires, interviews, and documentary review, and analysed using descriptive and inferential statistics for quantitative data aided by SPSS and content analysis for qualitative data. Findings found that TANESCO employs a diverse set of retention strategies, including well-defined and communicated retention strategies, competitive compensation and benefits packages, and active efforts to promote a positive organizational culture. It also revealed that several factors significantly contribute to labor turnover, including a perceived lack of career advancement opportunities, inadequate recognition and rewards, and challenges related to work-related stress and work-life balance. The study identified labor turnover mitigation strategies, such as structured career development, recognition enhancements, wellness initiatives, flexibility in work arrangements, and promoting an inclusive culture. The study recommends TANESCO adopt this holistic talent retention approach, focusing on career development and recognition for IT professionals. Future research should assess cross-industry retention strategies in Tanzania. Keywords: Labour Turnover, Information Technology, Retention, Professionalism