Paper #4

Factors Influencing Employee Engagement in a Financial Institution

Hadziroh Ibrahim, Mohd Hadi Alya Mohd Rodzi and Md.Lazim Mohd Zin

Abstract: The purpose of this paper is to determine the relationship between transformational leadership, employee voice, training and development, and employee engagement among employees in a financial institution in Kuala Lumpur, Malaysia by using social exchange theory in this study. Quantitative data were collected using survey design, for which 248 employees responded. These employees were sourced from the financial institution. Based on multiple linear regression analyses, this study finds that transformational leadership, training and development are positively related to employee engagement. However, employee voice has no significant influence on employee engagement, which is employee engagement is not influenced by employee voice. The findings of this study offered useful knowledge and bright insights for future researchers concerning the scope of the study. In the matter of practice, the findings have contributed to the management of the banking sector in which they can apply two independent variables such as transformational leadership and training and development to enhance employee engagement in a financial institution.

Keywords: Transformational Leadership; Employee Voice; Training and Development; Financial Institutions; Social Exchange Theory.