Tangible Rewards or Intangible Rewards - Which Play Most Significant Role in Increasing Job-Hopping Behavior in Generation Y Employees in Pakistan?

Uresha Saif, Danish Ahmed Siddiqui


Job hopping in the modern world is one of the major challenges that can be perceived in the current workforce market in Generation Y. The determination of this exploration is to scrutinize among tangible or intangible rewards, which plays most significant role in increasing job-hopping behavior in Generation Y employees in Pakistan. Tangible rewards were factored in 1. Market Competitive Pay, 2. Monetary Benefits and 3. Performance Incentives, whereas intangible rewards include 1. Quality of Work, 2. Work Life Balance, 3. Inspiration & Values, 4. Organization Environment and 5. Future Growth & Opportunity. The data was collected by means of close ended likert scale based questionnaire from 201 employees who belong to different industries in Pakistan. Confirmatory factor analysis & Structured Equation Modelling were used for the examination. The study found that job hopping is optimistically associated with intangible rewards in Gen Y employees & negatively associated with tangible rewards.  This research provides insight to employers which factors must be considered while developing strategies for employees’ compensation and retention in order to retain their competent employees and minimize job hopping behavior in Generation Y employees.

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DOI: https://doi.org/10.5296/ijhrs.v9i4.15685

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