Transformational leadership and turnover: Mediating effects of employee engagement, employer branding, and psychological attachment

The purpose of this paper is to report the findings of a study which examines the relationship between transformational leadership and intention to leave through the mediating role of employee engagement, employer branding, and psychological attachment.

Transformational leadership, employee engagement, employer branding, and psychological attachment were assessed in an empirical study based on a sample of 405 full-time employees working in information technology (IT) organizations in India. The data which were obtained using Google doc and a printed questionnaire was analyzed through structural and measurement model.

The results reveal that transformational leadership style directly influences employee intention to leave. Transformational leadership and employer branding is mediated by employee engagement. The leadership relation with psychological attachment is mediated by employer branding.

The implications of the study are of utmost importance for Indian IT industries facing high voluntary turnover in recent times. Transformational leaders in teams contribute to develop employee engagement, employer branding, and psychological attachment. Imparting transformational leadership training to team leaders can help in generating psychological attachment with the employees which would go a long way.

This study explores the relationship among transformational leadership style, employee engagement, employer branding, and psychological attachment which has not been explored theoretically and tested empirically in an Indian context.