1. Introduction
One of the main challenges organizations face is how to retain employees and encourage them to have a strong sense of loyalty to the organization (
Ahmad Saufi et al. 2023). The loss of highly experienced personnel translates into significant replacement costs, making today’s high staff turnover a severe issue for organizations and, by extension, Human Resource Management (
Reiche 2008). Because they are seen as essential resources for the company and its human capital sets it apart from competitors, holding onto the finest workers is crucial (
Sepahvand and Khodashahri 2021). According to the “resource-based view” theory, organizations that can retain their top people will have an advantage over their competitors in a job market that is constantly changing. This is because their human capital will be more difficult for competitors to replicate (
Afiouni 2007;
Barney 1991). According to several authors, the best approach to accomplishing this retention is to make employees feel that the organization is concerned about them (
Eisenberger et al. 1986) by investing in developing their competencies (
Jimenez-Jimenez and Sanz-Valle 2013).
This investment in the development of specialized competencies in employees can be seen in the context of Schultz’s human capital theory (
Schultz 1961), which views knowledge as a type of capital. When employees see these procedures as highly valuable, they become emotionally invested in the company and put in more effort to meet its goals (
Arthur 1994;
Wood and Menezes 1998). According to
Colquitt et al. (
2014), it is the outcome of a conversation between the company and the worker in reaction to the proper treatment they receive. In such circumstances, the employee experiences affective commitment to the company or emotional attachment, which decreases their turnover intentions (
Meyer et al. 1993).
However, organizations have another problem: their workforce is made up of employees from different generations. These differences can affect the way companies recruit, develop employees’ skills, motivate, and stimulate them to increase productivity, competitiveness, and service effectiveness (
BeitKovsky 2016). Generational differences are not linear due to cultural changes that occur gradually and require time to mold individual personality and attitudes. It should also be emphasized that the formation of personality and attitudes is also partly influenced by the values transmitted by parents (
Campbell et al. 2015). For
Mahmoud et al. (
2021), due to these changes and differences in character between the generations, generation has become a significant psychological variable that can be used to analyze employee behavior in an organizational context.
This study aims to investigate two main questions. First, does affective commitment mediate the relationship between organizational competency development practices (training, individualized support, and functional rotation) and turnover intentions? If so, how? Secondly, does this relationship change depending on the participant’s generation?
5. Discussion
This study aimed to study the effect of organizational skill development practices (training, individualized support, and functional rotation) and whether this relationship was mediated by affective commitment. Another objective was to test whether these relationships changed depending on the generation to which the participant belonged.
Hypothesis 1 was confirmed, since training, individualized support, and functional rotation negatively and significantly affected turnover intentions. These results align with the literature, which states that developing employees’ competences reduces their turnover intention (
Martini et al. 2023). This relationship can be explained through Adams’s social comparison theory (
Adams 1965). According to this theory, employees compare their organizations with others, and if they perceive that their organization cares more about their competency development than others, they decide to stay in the organization. It should be noted that individualized support was the dimension that had the strongest effect on turnover intentions. This dimension is based on career development, and according to
Talluri and Uppal (
2023), subjective career success has a negative and significant effect on turnover intentions, being stronger in the presence of adequate competencies. However, when it was tested whether these relationships varied according to the generation to which the participant belonged, it was found that, for Generation Y and Generation X, the results remained the same. However, this was different for the baby boomer generation, where only individualized support negatively and significantly affected turnover intentions.
Hypothesis 2 was partially confirmed, since the results indicate that generation, training, individualized support, and functional rotation positively and significantly affected affective commitment. These results are also in line with the literature, since
Nguyen et al. (
2020) state that when an organization is concerned with developing the competences of its employees, they feel emotionally attached to it. These results can be explained by the premise of social exchange (
Blau 1964) and the norm of reciprocity (
Gouldner 1960), according to which employees repay the organization for its investment in developing their competencies by developing a strong emotional bond with it. Once again, for Generations Y and X, the results remain the same. For Generations X and Y, training had the strongest effect on emotional commitment. However, for Generation Y, individualized support for practice had the strongest effect on affective commitment. This is in line with the results obtained in a study by
Naim and Lenka (
2017), which concluded that this support and sharing of knowledge have a positive and significant effect on affective commitment. However, for the baby boomer generation, none of the OCDPs affected affective commitment. The effect of training on affective commitment is practically null. It should be noted that this dimension contained items referring to on-the-job training. In the study carried out by
Galliart (
2020), this author concluded that, for the baby boomer generation, excessive learning by doing can be prejudicial.
Hypothesis 3, which assumed a negative and significant effect of affective commitment on turnover intentions, was also confirmed. These results also corroborate what the literature tells us: affective commitment has a negative and significant effect on turnover intentions, since employees stay with the organization when they feel affectively committed to it (
İbrahim et al. 2021;
Luturlean and Prasetio 2019;
Meyer and Allen 1991). This result holds for participants from all three generations. The strength of the effect was practically the same between the three generations. Once again, among the variables under study, the one that proved to be the best reducer of intentions to leave was affective commitment, in line with the results obtained in previous studies (
Moreira et al. 2022;
Martins et al. 2023).
Finally, a total mediation effect of affective commitment was confirmed in the relationship between training and turnover intentions. Only a partial mediation effect was confirmed in the relationship between individualized support and turnover intentions and in the relationship between functional rotation and turnover intentions. These results confirm what the literature tells us: that affective commitment mediates the relationship between OCDPs and turnover intentions (
Koster et al. 2011;
Nguyen et al. 2020;
Rodrigues et al. 2019). When an organization takes care of its employees by investing in their development, employees reciprocate through more significant commitment and decreased turnover intentions. This relationship can be explained through the theory of the balanced psychological contract because if the organization is concerned with developing employees’ competencies to develop and increase their employability, they feel a strong emotional attachment to the organization and stay with it (
Rousseau 1989,
2004). For Generation Y, there was a total mediation effect in the relationship between training and turnover intentions. There was a partial mediation effect in the relationship between individualized support and turnover intentions and in the relationship between functional rotation and turnover intentions. These results align with the literature, as the development of competences boosts the affective commitment of Generation Y employees, leading to their intention to stay with the company and reducing their turnover intentions (
Naim and Lenka 2018). For Generation X participants, there was a total mediation effect in the relationship between all OCDPs and exit intentions. These results indicate that OCDPs are essential for boosting their affective commitment and reducing their turnover intentions. The mediating effect was not tested for the baby boomer generation, since the assumptions for testing the mediating effect with OCDP dimensions were not met (
Baron and Kenny 1986).
When the descriptive statistics of the variables under study were produced, it was found that the participants in this study had a low perception of the existence of OCDPs in their organization. Training was perceived as the most frequent, and functional rotation was perceived as the least frequent. These results align with previous studies’ findings that training is the most frequently perceived practice (
Boselie et al. 2005;
Cesário 2015;
Moreira et al. 2022). To
Whitener (
2001), these practices often exist but are not perceived by employees as the organization would like. The participants who perceived training as most frequent were those from the baby boomer generation. As for individualized support, the Generation Y participants perceived it most frequently. These results are natural, since the items in this dimension refer to support for career progression. Generation Y values developing competences for career progression (
Deloitte 2011;
Naim and Lenka 2018) and looking for quick leadership programs (
Glass 2007). Turnover intentions were significantly above the mid-point of the scale, and the baby boomer participants showed the highest turnover intentions. These results go against what was expected, since, according to the literature, Generation Y does not value job stability, jumping from project to project, position to position, department to department, or organization to organization (
Martin 2005). About affective commitment, the participants in this study showed high levels of affective commitment, with the baby boomer generation showing the highest levels. This result is in line with the literature, since this generation has the greatest loyalty to the organization where they work (
The Ken Blanchard Companies 2009), making it logical that they should develop a greater affective commitment to it.
Among the sociodemographic variables, the one that had a positive and significant effect on all the variables under study was seniority in the organization. These results regarding OCDPs are contrary to the literature. However, regarding seniority in the job, the participants who had been in their current job for less time had a greater perception of individualized support and functional rotation. These results are in line with the literature. In accordance with some authors (e.g.,
Van Dam 2003), employees with less seniority in the job and the organization had a more positive attitude towards participating in practices to develop their competencies and promote employability. The participants who had been with the organization the longest had the greatest affective commitment. These results align with the literature, as seniority in the organization is one of the sociodemographic variables that most contributes to affective commitment (
Meyer et al. 2002). As for gender, female participants had a higher perception of training and individualized support but fewer turnover intentions.
In terms of sector of activity, participants from the public sector had a higher perception of individualized support, functional rotation, and greater affective commitment, but lower turnover intentions. These results may be because, in Portugal, mobility is the order of the day in the public sector, hence the high perception of functional rotation. On the other hand, a job in the public sector is still considered almost lifelong, thus explaining why public sector employees had lower turnover intentions than those in the private sector.
5.1. Limitations
The main limitations were the procedures employed for collecting the data and the fact that the questionnaires were self-reporting tools with closed-ended questions and required responses, which may have influenced the participants’ responses.
Another limitation is the small number of participants from the baby boomer generation compared to the other generations. This limitation may be due to two factors: the baby boomer generation is close to retirement age and has a smaller presence in the labor market; the data were collected online, mostly via LinkedIn, and as we know, these employees’ IT skills are lower than those of other generations.
The use of the word “generations” instead of the word “age” may have been a limitation, as there is no consensus on whether one term is correct or not.
Another limitation of this study was that it did not take into account the transition groups between the generations, known as the BBX generation (transition group between the baby boomer and X generations), the XY generation (transition group between the X and Y generations), and the YZ generation (transition group between the Y and Z generations). Individuals in this transition group may identify more with the generation in which they were not included.
Lastly, because the study was cross-sectional, it was unable to determine a causal association between the factors. It would take a long-term investigation to investigate causal linkages. Several methodological and statistical guidelines were followed to lessen the impact of common method variance (
Podsakoff et al. 2003).
5.2. Theoretical Implications
It should be noted that the perception of organizational skill development practices is fundamental for establishing an exchange relationship between organizations and employees (
Bach and Suliková 2019). If employees perceive that the organization cares about developing their skills, this perception establishes social exchange relationships between the two which benefit both parties. Under these conditions, employees work hard to achieve the organization’s objectives while at the same time developing a greater emotional commitment to the organization (
Hermansyah et al. 2024;
Moreira et al. 2022). When there is adequate implementation of organizational skill development practices, and employees correctly perceive these, in response they develop a greater affective commitment to the organization while at the same time expressing their intention to stay with it (
Nguyen et al. 2020).
The negative and significant relationship between affective commitment and intentions to leave confirms what several authors have told us, including
Nguyen et al. (
2020), that organizational commitment is the variable that best predicts intentions to leave the organization, even in different contexts of organizational change.
Moreira and Cesário (
2021) state that, among the three components of organizational commitment, the one with the strongest relationship with intentions to leave is affective commitment. In line with previous analyses, the relationship between organizational skill development practices and exit intentions is also significant and negative (
Martini et al. 2023). In the view of
Bach and Suliková (
2019), skill development has become so crucial for organizations that they must invest in practices that develop their employees’ skills and lead to a decrease in their intention to leave the organization.
This study has not only confirmed the relationships between organizational competence development practices, affective commitment, and turnover intentions, but it has also shed light on a crucial aspect—the significance and intensity of these relationships vary according to the generation to which employees belong, as highlighted by
BeitKovsky (
2016). This finding underscores the importance of understanding and addressing the unique values and expectations about work that different generations bring. As
Saba (
2013) points out, they are not easily compatible.
Having outlined the theoretical implications of this study, it is our hope that these findings will inspire and encourage other researchers to delve deeper into this field, replicating and expanding upon the results found here. The potential for further research in this area is vast, and we look forward to seeing how it unfolds.
5.3. Practical Implications
In accordance with
Saba (
2013), one of the reasons it has become so important to investigate the generational effect is that, as this study demonstrates, generations variably view and value the competency development strategies that organizations support.
This study also shows that, although employees do not view competency development activities as the organization would like them to be, there is still a need for organizations to invest more in them and make them visible to staff (
Whitener 2001). Human resource management uses these techniques frequently. Employees do not, however, view them as they would like, maybe due to their lack of clarity and the fact that they are not given the credit they merit for improving their abilities. This low perception may be because the competence development policy is still very much based on classical training that only offers specific competencies, whose purpose is not always perceived as useful by employees (
Bach and Suliková 2019). For employees, the main problem is practical relevance, i.e., how to put what they have learnt into practice.
One of its strongest points is this study’s indication of the existence of an affective organizational commitment mediating influence on the relationship between OCDPs and turnover intentions. Organizations must use specific competency development practices appropriate for their workforce to retain their best employees. This is because these employees are difficult to replace and, according to the “resource-based view” theory (
Afiouni 2007;
Barney 1991), they become a competitive advantage in today’s labor market.
6. Conclusions
At a time when one of the biggest problems facing organizations is high employee turnover (
Reiche 2008;
Martins et al. 2023), leading to substantial financial losses for organizations, as the loss of a highly competent employee will affect the organization’s reputation, profitability, and performance (
Kumar et al. 2021;
Kakar et al. 2023), this study has confirmed that if an organization wants to retain its best employees, it must invest in developing their skills in order to boost their emotional commitment and reduce their intentions to leave (
Koster et al. 2011;
Nguyen et al. 2020;
Rodrigues et al. 2019). It was also concluded that, of all the development practices studied, individualized support acts as the greatest reducer of intentions to leave, results that are maintained when analyzing the effect by generation. This dimension is made up of three items: one referring to career development support, another to coaching, and another to mentoring. In other words, this dimension is based on career development. In
Talluri and Uppal’s (
2023) view, subjective career success in the presence of adequate competencies has a stronger effect on turnover intentions.
Another indication from this study is that organizations should consider the generation to which the employee belongs, especially regarding competency development, as interests and needs vary from generation to generation (
Kapoor and Solomon 2011). By knowing how to manage this diversity of generations, organizations gain competitive advantages and benefits that will lead to their success (
BeitKovsky 2016). It should be noted that, for the baby boomer generation, only individualized support had a negative and significant effect on turnover intentions, which means that despite being the oldest generation, they still consider career development to reduce their turnover intentions.
Among the other socio-demographic variables, seniority in the organization proved to be the most important, as it had a significant effect on all the variables under study, followed by seniority in the job.