Employer Branding a Strategic Tool for Talent Retention in Higher Education Institutions: Role of Employee Engagement and Organizational Transparency

Abstract

Talent retention is a growing concern of organizations, especially in service-intensive organizations. Employer branding plays a strategic role in talent management; however, a factually derived understanding of its predictors and outcomes remains less explored in higher education sector. Based on signaling theory and transparency theory, this study investigates the impact of perceived employer branding on talent retention in the higher education sector of Pakistan. Examining this relation, employee engagement was considered as a mediating variable; whereas, role of organizational transparency as a moderator between perceived employer branding and employee engagement was also incorporated. An adapted questionnaire was used and the conceptual framework was investigated through survey data of 394 respondents working in the higher education institutions within twin cities (Rawalpindi and Islamabad). SmartPLS 3 software was used, and PLS-SEM two stage repeated measures approach was applied to assess the hypothesis. The results show that perceived employer branding has a positive and significant impact on talent retention, and employee engagement mediates the association between perceived employer branding and talent retention. However, the moderating role of transparency between perceived employer branding and employee engagement was not established. Theoretical and managerial implications are also discussed to assist policy makers.