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  Ismaïla Manga 



European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       12                Manga, (2024) 
 

Role of Leadership Style in Employee Retention in Senegal 
 

 Ismaïla Manga 
Dakar American University of Science & Technology 

 
Article History 

Submitted 11.03.2024 Revised Version Received 19.04.2024 Accepted 31.05.2024 

 

Abstract 

Purpose: The aim of the study was to assess 

the role of leadership style in employee 

retention in Senegal. 

Materials and Methods: This study adopted 

a desk methodology. A desk study research 

design is commonly known as secondary data 

collection. This is basically collecting data 

from existing resources preferably because of 

its low cost advantage as compared to a field 

research. Our current study looked into 

already published studies and reports as the 

data was easily accessed through online 

journals and libraries.  

Findings: The study indicated that leadership 

style plays a crucial role in employee 

retention. Effective leadership fosters a 

positive work environment, which 

significantly influences employees' decisions 

to stay with an organization. 

Transformational leadership, characterized 

by inspiring and motivating employees, tends 

to enhance job satisfaction and commitment, 

thereby reducing turnover rates. Leaders who 

prioritize open communication, provide 

constructive feedback, and recognize 

employees' contributions create a supportive 

atmosphere that encourages loyalty. 

Conversely, authoritarian leadership styles, 

which rely on strict control and limited 

employee autonomy, often result in higher 

stress levels and job dissatisfaction, leading 

to increased turnover. Additionally, leaders 

who invest in employees' professional 

development and show genuine concern for 

their well-being contribute to a sense of 

belonging and long-term commitment. 

Therefore, cultivating a leadership style that 

emphasizes empathy, empowerment, and 

employee engagement is essential for 

retaining a talented and motivated workforce.   

Implications to Theory, Practice and 

Policy: Social exchange theory, self-

determination theory and path-goal theory 

may be used to anchor future studies on 

assessing the role of leadership style in 

employee retention in Senegal. Organizations 

should prioritize leadership development 

programs that cultivate transformational and 

authentic leadership qualities among 

managers and supervisors. Policymakers and 

HR practitioners can play a crucial role in 

shaping organizational policies and practices 

that support employee retention. 

Keywords: Leadership, Style, Employee, 

Retention

 

 

  

http://www.ajpojournals.org/
https://doi.org/10.47672/ejh.2084


European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       13                Manga, (2024) 
 

INTRODUCTION 

Employee retention refers to the strategies and practices employed by organizations to reduce 

turnover and retain valuable employees. It is crucial for maintaining productivity, morale, and the 

overall health of an organization. In the United States, for instance, the Bureau of Labor Statistics 

(BLS) reported that the average employee tenure in 2020 was about 4.1 years, indicating a slight 

decline from previous years, suggesting a need for enhanced retention strategies (BLS, 2020). 

Similarly, in Japan, the Ministry of Health, Labour and Welfare found that the average length of 

service was approximately 12 years in 2020, reflecting a culture of long-term employment but also 

highlighting challenges in retaining younger employees (Ministry of Health, Labour and Welfare, 

2020). These statistics underscore the ongoing need for effective employee retention practices in 

developed economies (Smith, 2019). 

In developing economies, the challenges of employee retention can be more pronounced due to 

economic instability and rapid market changes. For example, in India, a study revealed that the IT 

sector experiences high turnover rates, with an average tenure of about 3 years, emphasizing the 

need for better career development opportunities (Ramesh, 2020). Similarly, in Brazil, employee 

turnover in retail and manufacturing sectors remains high, with average tenures of less than 2 years, 

largely due to economic volatility and competitive job markets (Silva, 2021). These trends indicate 

that organizations in developing economies must invest in comprehensive retention strategies, 

including competitive compensation and career advancement opportunities, to maintain a stable 

workforce (Ramesh, 2020). 

Another significant example is China, where rapid economic growth and industrialization have led 

to increased employee turnover, especially in manufacturing and technology sectors. The average 

tenure in these sectors is around 2.5 years, with younger employees frequently seeking better 

opportunities and higher salaries (Zhang, 2019). Similarly, in South Africa, the mining and 

healthcare sectors experience high turnover rates, with average tenures of about 2 years, driven by 

factors such as labor disputes, inadequate compensation, and challenging working conditions 

(Nkosi, 2021). To combat these issues, organizations in developing economies must invest in 

employee engagement, continuous training, and development programs to enhance job satisfaction 

and loyalty. These strategies are essential for retaining talent and ensuring sustainable economic 

progress in these regions (Zhang, 2019). 

In Brazil, turnover is notably high in the retail and manufacturing sectors, with average tenures of 

less than two years. Economic volatility and insufficient employee benefits contribute to these 

trends, emphasizing the need for strategies like improved compensation packages and professional 

development opportunities to enhance retention (Silva, 2021). In Indonesia, the manufacturing 

sector experiences significant retention challenges. The average tenure in this sector is about 2.5 

years, influenced by low wages, poor working conditions, and limited career growth opportunities 

(Suryani, 2019). Similarly, in the Philippines, the business process outsourcing (BPO) industry 

faces high turnover rates, with employees often leaving within two years due to high stress levels 

and better opportunities in other sectors (Reyes, 2020). These trends suggest that organizations in 

these economies must focus on enhancing employee engagement, offering competitive salaries, 

and providing clear career advancement paths to improve retention (Reyes, 2020). 

In other developing economies such as Mexico, employee retention is influenced by various 

factors including job satisfaction, compensation, and career development opportunities. The 

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European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       14                Manga, (2024) 
 

average tenure in Mexico's manufacturing sector, for example, is approximately 3 years, with 

turnover rates influenced by factors such as wage competitiveness and job stability (Garcia, 2021). 

In Thailand, the hospitality industry faces retention challenges, with average employee tenures of 

around 2 years due to issues like low salaries and limited career advancement prospects 

(Chaiyapat, 2018). These examples highlight the need for organizations in these countries to focus 

on improving working conditions, offering competitive salaries, and providing avenues for 

professional growth to enhance employee retention. 

In Egypt, the construction sector experiences turnover issues with an average tenure of about 2.5 

years, driven by factors like project-based employment and lack of long-term career paths (El-

Gohary, 2019). Similarly, in Vietnam, turnover rates in the technology sector are high, with 

employees often leaving within 2 years due to opportunities in multinational companies and better 

compensation packages (Truong, 2022). These instances underscore the importance of 

implementing effective retention strategies such as skill development programs, flexible work 

arrangements, and recognition initiatives to retain talent in these developing economies. 

Similarly, in South Africa, high turnover rates in sectors such as healthcare and education pose 

significant challenges. A study found that healthcare workers, in particular, have an average tenure 

of around 2.5 years, driven by factors such as burnout, better opportunities abroad, and 

dissatisfaction with working conditions (Ngwenya, 2021). In the education sector, teachers 

frequently leave within three years, often due to low pay, heavy workloads, and inadequate support 

(Mokoena, 2019). These trends indicate that to improve retention, organizations in developing 

economies must address both financial and non-financial aspects of employment, including 

enhancing workplace conditions, offering career progression pathways, and ensuring competitive 

salaries (Ngwenya, 2021). 

In Ghana, the banking sector experiences significant turnover challenges. A study found that the 

average tenure of bank employees is approximately 2 years, driven by high job demands, stress, 

and more lucrative opportunities elsewhere (Adjei, 2020). Similarly, in Uganda, the education 

sector faces retention issues, with teachers often leaving within the first three years of employment 

due to low salaries and inadequate professional support (Nakisozi, 2018). These trends highlight 

the necessity for comprehensive retention strategies, such as improving working conditions, 

offering competitive compensation, and providing robust career development opportunities to 

retain employees in Sub-Saharan Africa (Adjei, 2020). 

In Sub-Saharan Africa, employee retention is also a critical issue, influenced by socio-economic 

factors and political instability. In Nigeria, for instance, the average tenure in various sectors is 

approximately 1.5 years, reflecting high turnover due to factors such as poor working conditions 

and lack of career growth opportunities (Okafor, 2021). Similarly, in Kenya, the average tenure is 

about 2 years, with high turnover rates in the service and agriculture sectors, driven by low wages 

and insufficient employee benefits (Mwangi, 2019). These patterns highlight the importance of 

improving workplace conditions and offering career development programs to enhance employee 

retention in Sub-Saharan Africa (Okafor, 2021). 

Leadership styles significantly impact employee retention within organizations. Transformational 

leadership, characterized by leaders who inspire and motivate their teams through a shared vision, 

intellectual stimulation, and individualized consideration, plays a crucial role in reducing turnover 

rates. Studies have shown that transformational leaders can foster a positive work environment, 

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European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       15                Manga, (2024) 
 

promote employee engagement, and provide developmental opportunities, leading to higher levels 

of job satisfaction and commitment among employees (Abdullah, Khan & Awan, 2021). This, in 

turn, contributes to decreased turnover and increased organizational loyalty. 

Transactional leadership, which focuses on exchanging rewards and punishments for performance, 

may have a limited impact on long-term employee retention. While this leadership style 

emphasizes clear goals, rules, and performance expectations, it may struggle to inspire intrinsic 

motivation and engagement. Research suggests that employees seeking a meaningful and 

empowering work experience may be more likely to turnover under transactional leadership, as 

they may perceive a lack of support and motivation (Wang & Hsieh, 2020). Similarly, laissez-faire 

leadership, characterized by minimal guidance and decision-making, often leads to reduced 

employee satisfaction, lack of direction, and increased turnover as employees may feel 

unsupported and disengaged (Awan, Khan, & Ahmad, 2019). 

Problem Statement 

The role of leadership style in employee retention remains a critical concern for organizations 

seeking to enhance workforce stability and performance. Leadership styles such as 

transformational, transactional, and laissez-faire have varying impacts on employee satisfaction, 

engagement, and commitment, which in turn influence retention rates (Abdullah, Khan, & Awan, 

2021). However, the specific mechanisms through which different leadership styles affect 

employee retention outcomes are not fully understood, posing challenges for organizations in 

developing effective retention strategies (Wang & Hsieh, 2020). Additionally, the dynamic nature 

of modern workplaces and evolving employee expectations necessitate a deeper investigation into 

how leadership styles can be adapted or modified to better align with employee retention goals 

(Awan, Khan & Ahmad, 2019). Therefore, this study aims to explore and analyze the nuanced 

relationship between leadership style and employee retention within contemporary organizational 

contexts. 

Theoretical Framework 

Social Exchange Theory 

Originated by George Homans in 1958 and further developed by Peter Blau, Social Exchange 

Theory posits that individuals engage in social relationships based on the principle of reciprocity 

and mutual benefit. In the context of leadership style and employee retention, this theory suggests 

that employees may choose to stay with an organization if they perceive that their contributions 

(such as effort, skills, and dedication) are valued and reciprocated by the leadership through 

rewards, recognition, and opportunities for growth (Allen, 2018). The relevance of Social 

Exchange Theory lies in understanding how leadership behaviors, such as transformational 

leadership, can create positive exchanges between leaders and employees, leading to increased job 

satisfaction, commitment, and ultimately, higher retention rates. 

Self-Determination Theory (SDT) 

Developed by Edward Deci and Richard Ryan in the 1980s, Self-Determination Theory focuses 

on individuals' intrinsic motivation and psychological needs for autonomy, competence, and 

relatedness. This theory suggests that when leaders support employees' autonomy, provide 

opportunities for skill development and foster positive relationships, employees are more likely to 

be intrinsically motivated and committed to their work and organization (Gagné & Deci, 2021). In 

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European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       16                Manga, (2024) 
 

the context of leadership style and employee retention, SDT emphasizes the importance of 

transformational leadership behaviors, such as empowering employees, providing meaningful 

feedback, and creating a supportive work environment, in promoting intrinsic motivation and 

retention. 

Path-Goal Theory 

Introduced by Robert House in 1971, Path-Goal Theory emphasizes the role of leaders in clarifying 

paths to achieve goals and removing obstacles to employee success. This theory suggests that 

leaders should adapt their leadership styles (such as directive, supportive, participative, or 

achievement-oriented) based on the needs and characteristics of their employees and the situational 

context (Northouse, 2021). In the context of employee retention, Path-Goal Theory highlights the 

importance of leaders aligning their leadership styles with employee preferences and 

organizational goals to enhance job satisfaction, motivation, and ultimately, retention outcomes. 

Empirical Review 

Smith (2018) investigated the impact of transformational leadership on employee retention within 

the healthcare sector. Through a quantitative survey among healthcare professionals, the study 

found a positive correlation between transformational leadership behaviors and employee 

retention, highlighting higher levels of job satisfaction and commitment among employees under 

transformational leaders. The study recommended that healthcare organizations invest in 

leadership development programs focusing on transformational leadership behaviors to improve 

employee retention rates. By inspiring employees with a shared vision, providing intellectual 

stimulation, and showing individualized consideration, transformational leaders create a positive 

work environment that fosters employee engagement and loyalty. The study's findings underscored 

the importance of leaders' abilities to motivate and inspire their teams, as well as the need for 

organizations to recognize and cultivate transformational leadership qualities among their 

managerial staff. 

Patel (2019) focusing on the retail industry, the influence of transactional leadership on employee 

turnover was examined using a mixed-methods approach. The findings revealed that transactional 

leadership, characterized by rewards and punishments for performance, was associated with higher 

turnover rates and lower job satisfaction among retail employees. The study recommended that 

retail organizations consider implementing more transformational leadership practices to reduce 

turnover and enhance employee retention. Transactional leadership, while effective in providing 

structure and clarity in tasks, may lead to a lack of intrinsic motivation and commitment among 

employees. The study emphasized the importance of leadership styles that foster trust, 

empowerment, and professional growth to create a supportive and engaging work environment 

conducive to employee retention. 

Garcia (2020) explored the impact of laissez-faire leadership on employee turnover intentions. The 

study's findings indicated a negative correlation between laissez-faire leadership and employee 

retention, with higher turnover intentions reported among employees under laissez-faire leaders. 

The study suggested that technology companies focus on developing leadership skills that promote 

active engagement and support to improve employee retention rates. Laissez-faire leadership, 

characterized by minimal guidance and decision-making, often leads to reduced employee 

satisfaction and increased turnover as employees may feel unsupported and disengaged. The study 

http://www.ajpojournals.org/


European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       17                Manga, (2024) 
 

highlighted the necessity for organizations to prioritize effective leadership practices that involve 

clear communication, mentorship, and active involvement in employee development. 

Wang (2021) compared the effects of different leadership styles (transformational, transactional, 

laissez-faire) on employee turnover across various industries. The meta-analysis revealed that 

transformational leadership was associated with lower turnover rates and higher job satisfaction 

compared to transactional and laissez-faire leadership styles. The study recommended that 

organizations prioritize transformational leadership training and development to enhance 

employee retention across industries. Transformational leaders, by fostering a sense of purpose, 

providing support and recognition, and encouraging employee development, create a positive work 

culture that promotes long-term commitment and loyalty among employees. The study's findings 

emphasized the significant impact of leadership styles on organizational outcomes, highlighting 

the value of transformational leadership in mitigating turnover and enhancing employee 

satisfaction. 

Kim (2022) investigated the mediating role of job satisfaction in the relationship between 

leadership style and employee turnover intentions within the manufacturing sector. Using 

structural equation modeling (SEM), the study found that job satisfaction partially mediated the 

relationship between transformational leadership and reduced turnover intentions. The study 

emphasized the importance of fostering job satisfaction through effective leadership practices to 

improve retention rates in manufacturing organizations. Transformational leaders, through their 

supportive and empowering behaviors, can positively influence job satisfaction by providing 

meaningful work experiences, opportunities for growth, and a supportive work environment. The 

study highlighted the need for organizations to focus on leadership development programs that 

promote transformational leadership qualities to create a work culture that prioritizes employee 

well-being and retention. 

Chen (2018) explored the role of authentic leadership in mitigating turnover intentions among 

employees in the service industry through qualitative interviews. The study revealed that authentic 

leadership contributed positively to lower turnover intentions and increased employee 

commitment. The study recommended that service organizations prioritize the development of 

authentic leadership qualities among their leaders to foster trust and reduce turnover. Authentic 

leaders, by demonstrating transparency, ethical decision-making, and genuine concern for their 

employees, build strong relationships based on trust and mutual respect. The study's findings 

highlighted the significance of authentic leadership in creating a positive organizational culture 

that values integrity, openness, and employee well-being. 

Nguyen (2019) analyzed the relationship between leadership style congruence and employee 

turnover in a multinational corporation. The study found that higher levels of congruence between 

leadership styles and employee preferences were associated with lower turnover rates and higher 

levels of engagement and satisfaction. The study recommended that organizations focus on 

enhancing leadership style alignment through training and development programs to improve 

employee retention and organizational performance. Leaders who align their leadership styles with 

employee preferences and organizational goals create a harmonious work environment that 

promotes trust, collaboration, and job satisfaction. The study emphasized the importance of leaders 

adapting their leadership styles to meet the diverse needs and expectations of their teams, 

ultimately contributing to higher levels of employee retention and organizational success. 

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European Journal of Human Resource    

ISSN 2520-4697 (Online)        

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https://doi.org/10.47672/ejh.2084                       18                Manga, (2024) 
 

METHODOLOGY 

This study adopted a desk methodology. A desk study research design is commonly known as 

secondary data collection. This is basically collecting data from existing resources preferably 

because of its low cost advantage as compared to a field research. Our current study looked into 

already published studies and reports as the data was easily accessed through online journals and 

libraries. 

RESULTS 

Conceptual Gap: While the studies by Smith (2018) and Patel (2019) emphasize the impact of 

transformational and transactional leadership styles on employee retention, there is a gap in 

understanding the nuanced interactions between different leadership styles and their combined 

effects on retention outcomes. Future research could delve into the synergistic or conflicting 

effects of multiple leadership styles within the same organizational context and how they 

collectively influence employee turnover rates and job satisfaction. 

Contextual Gap: Garcia's (2020) study specifically focuses on the impact of laissez-faire 

leadership in the technology sector, highlighting its negative correlation with employee retention. 

However, there is a gap in exploring how leadership styles interact with industry-specific 

challenges and organizational cultures to affect retention differently across various sectors. Further 

research could investigate how leadership practices need to be tailored or adapted based on 

industry dynamics to effectively address retention challenges. 

Geographical Gap: While the studies by Smith (2018), Patel (2019), and Garcia (2020) provide 

insights into leadership styles and retention in specific sectors, there is a geographical research gap 

in understanding how cultural and regional differences influence the effectiveness of leadership 

styles in mitigating turnover intentions. Future studies could explore how cultural dimensions, 

such as individualism vs. collectivism or power distance, interact with leadership styles to impact 

employee retention in diverse global contexts. 

CONCLUSION AND RECOMMENDATIONS 

Conclusion 

In conclusion, the role of leadership style in employee retention is a multifaceted and dynamic 

aspect of organizational management. Studies have consistently shown that leadership behaviors 

and practices significantly impact employees' job satisfaction, commitment, and ultimately, their 

decision to stay or leave an organization. Transformational leadership stands out as a key driver of 

employee retention, characterized by its ability to inspire, motivate, and empower employees 

through a shared vision, intellectual stimulation, and individualized consideration. On the other 

hand, transactional and laissez-faire leadership styles have been associated with higher turnover 

rates and lower job satisfaction due to their focus on rewards/punishments and minimal guidance, 

respectively. 

The research also highlights the importance of aligning leadership styles with organizational goals, 

industry dynamics, and cultural contexts to optimize retention outcomes. Contextual factors such 

as industry-specific challenges, regional differences, and cultural nuances play a crucial role in 

shaping the effectiveness of leadership styles in fostering employee loyalty and engagement. 

Moreover, integrating multiple leadership theories and adopting longitudinal research designs can 

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European Journal of Human Resource    

ISSN 2520-4697 (Online)        

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https://doi.org/10.47672/ejh.2084                       19                Manga, (2024) 
 

provide a deeper understanding of the causal pathways and long-term effects of leadership 

behaviors on retention. 

Practical implications stemming from these studies include the need for organizations to invest in 

leadership development programs that nurture transformational and authentic leadership qualities 

among managers and supervisors. Creating a positive work environment, fostering trust and 

collaboration, providing opportunities for growth and recognition, and actively involving 

employees in decision-making processes are essential strategies for enhancing employee retention. 

By addressing these aspects and continually adapting leadership practices to meet evolving 

employee needs, organizations can cultivate a motivated, committed, and loyal workforce, leading 

to improved retention rates and organizational success. 

Recommendations  

The following are the recommendations based on theory, practice and policy: 

Theory 

To further advance theoretical understanding, researchers should focus on integrating various 

leadership theories (e.g., transformational, transactional, authentic) to develop a more holistic 

framework that captures the complexities of leadership style and its impact on employee retention. 

Future studies can explore the synergistic or conflicting effects of different leadership dimensions 

and their interactions with contextual factors such as industry dynamics, organizational culture, 

and cultural nuances. By integrating multiple theories and adopting a cross-disciplinary approach, 

scholars can contribute to a more comprehensive understanding of the underlying mechanisms that 

drive retention outcomes. 

Practice 

Organizations should prioritize leadership development programs that cultivate transformational 

and authentic leadership qualities among managers and supervisors. This includes providing 

training and mentoring opportunities to enhance leaders' abilities to inspire, empower, and engage 

employees effectively. Practical strategies such as creating a positive work environment, fostering 

open communication, promoting a culture of trust and collaboration, and recognizing employee 

contributions can significantly impact retention rates. Implementing feedback mechanisms and 

conducting regular employee engagement surveys can also help organizations gauge the 

effectiveness of leadership practices and make data-driven improvements. 

Policy 

Policymakers and HR practitioners can play a crucial role in shaping organizational policies and 

practices that support employee retention. Policies should be designed to incentivize and reward 

leadership behaviors that promote employee engagement, job satisfaction, and commitment. This 

can include establishing performance metrics related to retention rates, incorporating leadership 

development goals into performance evaluations, and providing resources for ongoing leadership 

training and education. Additionally, policies should promote diversity, equity, and inclusion 

initiatives to create an inclusive work environment that values and respects diverse perspectives 

and backgrounds. By aligning policies with retention-focused leadership practices, organizations 

can create a sustainable framework for attracting, developing, and retaining top talent. 

 

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European Journal of Human Resource    

ISSN 2520-4697 (Online)        

Vol.8, Issue 2, pp 12 - 22, 2024                                                                www.ajpojournals.org 

 

https://doi.org/10.47672/ejh.2084                       22                Manga, (2024) 
 

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Copyright (c) 2024 Ismaïla Manga 

 
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