The Impact of Motivational and Hygiene Factors on Employee Satisfaction and Retention: Implications for Organizational Strategy and Employee Branding in a Commercial Gaming Industry

Employee retention remains a critical organizational concern in the commercial gaming industry, particularly in emerging gaming markets where competition for skilled labor continues to intensify. Guided by Herzberg’s Two-Factor Theory and Social Exchange Theory, this study examined the effects of motivational and hygiene factors on retention intention among frontline employees in commercial gaming establishments in Batangas, Philippines. Specifically, the study investigated the mediating roles of job satisfaction and employer branding in explaining the relationship between workplace factors and employees’ intention to remain with their organizations. Using a descriptive-correlational research design with mediation analysis, data were collected from 420 frontline employees, including dealers, cage personnel, slot attendants, and hospitality support staff. A researcher-developed questionnaire underwent content validation and reliability testing before administration. Data were analyzed using descriptive statistics, Spearman rank-order correlation, and Partial Least Squares Structural Equation Modeling (PLS-SEM). Results revealed that respondents positively assessed motivational factors (M = 3.98), job satisfaction (M = 3.83), hygiene factors (M = 4.80), employer branding (M = 4.32), and retention intention (M = 4.85). Correlation analysis demonstrated significant positive relationships among motivational factors, hygiene factors, job satisfaction, employer branding, and retention intention. Structural model analysis showed that motivational factors strongly influenced job satisfaction (β = 0.523), whereas hygiene factors significantly predicted employer branding (β = 0.421). Both mediators exerted significant indirect effects on retention intention. The findings suggest that employee retention within the commercial gaming industry is not solely dependent on compensation and working conditions but also on employees’ perceptions of meaningful work, recognition, organizational credibility, and employer attractiveness. The study contributes to the growing literature on workforce retention in hospitality and gaming industries by integrating organizational behavior and employer branding perspectives. Practical implications for human resource management, organizational development, and employer branding strategies are discussed.