Work life balance practices and employee retention in microfinance institutions in Kiambu County, a case of Kenya women micro finance bank /

Abstract

The study sought to investigate the effects of work-life balance practices on employee retention in Kiambu county, a case of KWFT. Specifically, the study sought to assess the effects of flexible work arrangement, recreational services, leave policy and child care support services on employee retention at the Kenya Women Microfinance Bank in Kiambu County. The study was anchored on the High-Performance Work Systems (HPWS) theory, Person-Environment Fit theory, Adam’s equity theory and Herzberg's Two-Factor Theory. The study adopted a cross-sectional research design. The unit of analysis was the nine branches of KWFT located in Kiambu County while target population was 210 employees. The study adopted Slovins’ formula. The study used closed ended questionnaires to collect the primary data. A pilot study was conducted in Nairobi City County where 14 questionnaires were issued out to employees at KWFT River Road branch and Jogoo Road branch. The data that was gathered was both qualitative and quantitative in nature. Qualitative data from open ended questions was analyzed by the use thematic and content analysis and presented in prose form. Quantitative data was analyzed using Statistical Package for Social Sciences. Descriptive and inferential statistics were employed in the study to analyze quantitative data. Descriptive statistics involved the use of mean and standard deviation. Inferential statistic involved the use of correlation and regression analysis. Data was presented using tables. The study concluded that there exists a positive and significant relationship between flexible work arrangement and employee retention in Kenya Women Microfinance Bank. The study also concluded that there was a positive correlation between employee retention and recreational services, favorable leave policy and child care support services. The study recommended that MFI should tailor flexible work options such as remote work, flexible hours, or compressed workweeks to meet the diverse needs of its workforce. The study also recommended that developing a comprehensive and employee-friendly leave policy is vital for retaining talent.