Sustainable Human Resource Practices: Analyzing Their Impact on Organizational Resilience and Employee Retention

Abstract

Human resources (HR) are a critical asset for organizations, and sustainable HR management
is essential to fostering organizational resilience and retaining high-quality employees.
Sustainable HR practices focus on maintaining the long-term well-being of the workforce
while meeting the evolving needs of the organization. This study aims to analyze the impact
of sustainable human resource management (HRM) practices on organizational resilience
and employee retention, particularly in the Medan area. This study used a quantitative
approach using a survey questionnaire distributed to 40 employees from various companies
in Medan. The questionnaire assessed aspects of welfare policy, career development, and
organizational culture. Data were analyzed using descriptive statistics and simple linear
regression. The findings show that sustainable HRM practices significantly positively impact
organizational resilience and employee retention. Specifically, an increase in sustainable HR
policies was associated with an increase in organizational resilience by 0.45 and employee
retention by 0.38. The study concludes that implementing sustainable HRM practices can
strengthen organizational stability and improve employee retention in the long run. These
insights provide valuable guidance for organizations in designing effective HRM policies
that support resilience and retention.