Journal Screenshot

International Journal of Academic Research in Business and Social Sciences

Open Access Journal

ISSN: 2222-6990

Examining the Effects of Monetary and Non-Monetary Factors on Generation Z’s Job Selection Preferences in the Hospitality Industry

Ek Tee Ngian, Phan Yong Tak, Chee Hua Chin, Ashman Shahrudin bin Khairuddin

http://dx.doi.org/10.6007/IJARBSS/v12-i5/13019

Open access

Prior to the COVID-19 pandemic's onset, the tourism and hotel industries were growing at an exponential rate. Following COVID-19, it is projected that the hospitality industry would soon recover and thrive once the epidemic is contained. While there is a rising trend indicating the hospitality industry's continued growth, the hotel industry itself faces significant obstacles. One of the primary issues is a high incidence of employee turnover. Thus, the purpose of this study was to ascertain the factors influencing Generation Z, specifically final-year university students majoring in hospitality and hotel management, when it comes to selecting their first employment following graduation. Following a review of the literature, a number of significant variables were identified and conceptualized under monetary (i.e., salary and benefits) and non-monetary (i.e., working environment, career development, and employer reputation) factors in order to investigate their effect on job selection preference. A total of 239 rows of data were collected. The Statistical Package for Social Sciences and WarpPLS for Partial Least Squares – Structural Equation Modeling were used to examine the data. Salary, benefits, and employer reputation each have a significant positive effect on students' job selection preferences. Surprisingly, neither work environment nor career development were found to have a significant effect on job preference. The study's findings are likely to provide more insightful data to corporate recruiters, allowing them to obtain a better understanding of employees' worries while choosing a position in the hotel business.

Agba, A. M., Ogaboh, F. N., & Ushie, E. M. (2010). Career Development and Employee Commitment in Industrial Organisations in Calabar, Nigeria retrieved August 25, 2011, from http://scihub.org/AJSIR/PDF/2010/2/AJSIR1-2-105-114.pdf
Ahmed, K. A., Sharif, N., & Ahmad, N. (2017). Factors Influencing Students’ Career Choices: Empirical Evidence from Business Students, Journal of Southeast Asian Research, 2017, 1-15.
Ankudinov, A., Lebedev, O., & Sachenkov, A. (2015). Empirical Analysis of Job Satisfaction Determinants in Russia, Asian Social Science, 11(4), 117-125.
Bagozzi, R. P., & Yi, Y. (1988). On the Evaluation of Structural Equation Models. Journal of the Academy of Marketing Science, 16, 74-94.
Baliyan, P. S., & Baliyan, S. P. (2016). Employment Preference of Undergraduate Accounting Students in Botswana: Perceptional Analysis of Practitioners and Students. International Journal of Business and Management, 11(12), 271-282.
Baum, M., & Kabst, R. (2013). How to Attract Applications in The Atlantic Versus the Asia-Pacific Region? A Cross-National Analysis on China, India, Germany, Hungary. Journal of World Business, 48(2), 175-185.
Bernama. (2017). Tourism Sector to Maintain Position as 3rd Largest Contributor to Economy. Retrieved from New Straits Times:
https://www.nst.com.my/news/nation/2017/09/284233/tourism-sectormaintain-position-3rd-largest-contributor-economy
Bernstrøm, V. H., Drange, I., & Mamelund, S-E. (2018). Employability as an Alternative to Job Security. Personnel Review, 48(1), 234-248.
Bundy, P., & Norris, D. (2011). What Accounting Students Consider Important in the Job Selection Process. Journal of Applied Business Research (JABR), 8(2), 1-6.
Chandrasekar, K. (2011). Workplace Environment and Its Impact Organizational Performance in Public Sector organizations. International Journal of Enterprise Computing and Business Systems, 1(1), 1-19.
Chan, S. H., & Kuok, O. M. (2011). A Study of Human Resources Recruitment, Selection, and Retention Issues in the Hospitality and Tourism Industry in Macau. Journal of Human Resources in Hospitality and Tourism, 10(4), 421-441.
Chand, M., & Katou, A. A. (2007). The Impact of HRM Practices on Organisational Performance in the Indian Hotel Industry. Employee Relations, 29(6), 576-594.
Chao, G. T., & Gardner, P. D. (2007). Important Characteristics of Early Career Jobs: What Do Young Adults Want? Journal of Managerial Psychology, 11(1), 24-36.
Chatzopoulou, M., Vlachvei, A., & Monovasilis, T. (2015). Employee's Motivation and Satisfaction in Light of Economic Recession: Evidence of Grevena Prefecture-Greece. Procedia Economics and Finance, 24, 136-145.
Clardy, A. (2005). Reputation, Goodwill, and Loss: Entering the Employee Training Audit Equation. Human Resource Development Review, 4 (3), 279-304.
Cohen, E. (1988). Authenticity and commoditization in tourism. Annals of Tourism Research, 15(2), 371-386.
Demagalhaes, R., Wilde, H., & Fitzgerald, L. R. (2011). Factors Affecting Accounting Students’ Employment Choices: A Comparison of Students’ and Practitioners’ Views. Journal of Higher Education Theory and Practice, 11(2), 32-40.
Department of Statistics. (2019). Retrieved from DOSM:
https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=326& bul_id=dVlqNEdXc2pxa3Ria2llVU42R29sZz09&menu_id=b0pIV1E3RW40 VWRTUkZocEhyZ1pLUT09
Devi, K. R., & Rani, S. S. (2016). The Impact of Organizational Role Stress and Work Family Conflict: Diagnosis Sources of Difficulty at Work Place and Job Satisfaction among Women in IT Sector, Chennai, Tamil Nadu. ProcediaSocial and Behavioral Sciences, 219, 214-220.
Dimaki, K., Kaminioti, O., Kostaki, A., Psarakis, S., & Tsourti, Z. (2005). Educational and Occupational Preferences of High School Students in Greece. Education and Training, 47(6), 432–446.
Dogl, C., & Holtbrugge, D. (2013). Corporate Environmental Responsibility, Employer Reputation and Employee Commitment: An Empirical Study in Developed and Emerging Economies. The International Journal of Human Resources Management, 26(2), 1739-1762.
Dutta, A., & Punnose, E. M. (2010). Factors Affecting Choice of First Employer: A Study of Indian Management Graduates. Global Business Review, 11(3), 435-448.
Evers, A., Anderson, N., & Smit-Voskuijl, O. (2005). Handbook of Personnel Selection. Boston, MA: Blackwell Publish.
Fombrun, C. J. (1996). Reputation: Realizing the Value from the Corporate Image. Boston MA: Harvard Business School Press.
Gefen, D., Straub, D., & Boudreau, M. C. (2000). Structural Equation Modeling and Regression: Guidelines for Research Practice. Communications of the Association for Information Systems, 4(7), 1-77.
Ghani, E. K., Said, J., Nasir, N. M., & Jusoff, K. (2008). The 21st Century Accounting Career from The Perspective of The Malaysia University Students. Asian Social Science, 4(8), 73-83.
Hair, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2016). A Primer on Partial Least Squares Structural Equation Modelling (PLS-SEM) (2nd Ed.), Thousand Oaks, CA: Sage.
Hair, J. F., Ringle, C. M., & Sarstedt, M. (2011). PLS-SEM: Indeed a Silver Bullet. Journal Marketing Theory and Practice, 19(2), 139-151.
Hair, J. F., Sarstedt, M., Ringle, C. M. & Gudergan, S. P. (2018). Advanced Issues in Partial Least Squares Structural Equation Modelling. Sage Publications, Thousand Oaks, CA.
Hamid, M. A. (2020). Job Selection Preferences: What Do Young Adults Want? Global Business and Management Research, 12(4), 459-490.
Hepburn, S. (2005). Creating a Winning Employer Reputation, Strategic HR Review, 4(4), 20-23.
Hewitt, J. (2010). Factors Influencing Career Choice. Career Development Quarterly, 8(1), 29-43.
Ho, S. S. M., & Chan, S. Y. (2000). Desired Attributes of Public Accounting Firms in The Job Selection Process: An Empirical Examination of Accounting Graduates’ Perceptions. Accounting Education, 9(4), 315–327.
Iacovou, C. L., Shirland, L., & Thompson, R. L. (2004). Job Selection Preferences of Business Students. Journal of Applied Business Research, 20(1), 87-98.
Insights, E. (2017, March 12). Hospitality Industry: All Your Questions Answered. Retrieved from hospitalityinsights: https://hospitalityinsights.ehl.edu/hospitality-industry
James, H. D., Janice, C. M., Shaun, M. P., & Brian, M. (2009). Employee Benefits: Literature Review and Emerging Issues. Human Resource Management Review, 19, 86-103.
Jones, A. P. (1999). Indoor Air Quality and Health. Atmospheric Environment, 33(28), 4535-4564.
Jones, M. (2006). Which is a Better Predictor of Job Performance: Job Satisfaction or Life Satisfaction? Institute of Behavioral and Applied Management, 15(6), 20-25.
Kennedy, S. H. (1977). Nurturing Corporate Images: Total Communication or Ego Trip? European Journal of Marketing, 11(3), 120-64.
Kirk, J. J., Downey, B., Duckett, S., & Woody, C. (2000). Name Your Career Development Intervention. Journal of Workplace Learning, 12(5), 205-217.
Kreisman, B. J. (2002) Insights into Employee Motivation, Commitment and Retention. Retrieved August 25, 2011, from
http://www.ascenfrewards.com/static/resources/papers/employeecommitment .pdf
Lee, S. Y. (2006). Expectations of Employees Toward the Workplace and Environmental Satisfaction. Facilities, 24(9/10), 343-53.
Lepak, D. P., & Snell, S. A. (2018). The Human Resource Architecture: Toward A Theory of Human Capital Allocation and Development. Academy of Management Review, 24(1), 31-48.
Liu, X., Thomas, S., & Zhang, L. (2010). College Quality, Earnings, and Job Satisfaction: Evidence from Recent College Graduates. Journal of Labor Research, 31(2), 183–201.
Mahony, D. F., Mondello, M., Hums, M. A., & Judd, M. (2006). Recruitment and Retaining Sport Management Faculty: Factors Affecting Job Choice. Journal of Sport Management, 20, 414-430.
Mayhew, R. (2019). Employee Turnover Definitions & Calculations. Retrieved from Small Business: https://smallbusiness.chron.com/employee-turnoverdefinitions-calculations-11611.html
McGaha, S. T. (2005). Career choices and factors influencing career change among Oklahoma State University Agricultural Communications graduates. Master Thesis, Oklahoma State University, Stillwater, Oklahoma.
Mcgraw, K., Popp, J. S., Dixon, B. L., & Newton, D. J. (2012). Factors Influencing Job Choice among Agricultural Economics Professionals. Journal of Agricultural and Applied Economics, 44(2), 251-265.
MCKAY, D. R. (2020, August 4). The Balance. Retrieved from What Is Career Development? https://www.thebalancecareers.com/what-is-careerdevelopment-525496
Merhar, C. (2020). Small Business 101 - The Definition of Employee Benefits. Retrieved from peoplekeep: https://www.peoplekeep.com/blog/small-business-101-the-definition-ofemployee-benefits
Michaels, E., Handfield-Jones, H., & Axelrod, B. (2001). The War for Talent. Boston, MA: Harvard Business School Press.
Montgomery, D. B., & Ramus (2003). Corporate Social Responsibility Reputation Effect on MBA Job Choice. SSRN Electronic Journal, 34, 69-72.
Moore, K. M. (2011). Variables of Workplace Deviance: An Examination of The Effects of Personality, Age, Family Responsibility, and Job Security. Master Thesis. California State University, Fullerton.
Muhammad, M. Z., Char, A. K., Yasoa, M. B., & Hassan, Z. (2019). Small and Medium Enterprises (SMEs) Competing in The Global Business Environment: A Case of Malaysia. International Business Research, 3(1), 66-75.
Naharuddin, N. M., & Sadegi M. (2013). Factors of Workplace Environment that Affect Employees Performance: A Case Study of Miyazu Malaysia, International Journal of Independent Research and Studies, 2(2), 66-78.
Novak, P. (2017). What Are The 4 Segments of The Hospitality Industry? Hospitalitynet. Retrieved July 24, 2019, from https://www.hospitalitynet.org/opinion/4082318.html
Novick, L. E., Morrow, C. B., & Mays, G. P. (2005). Public Health Administration: Principles for Population-Based Management. Sudbury, MA: Jones and Bartlett Publishers.
Nulty, D. D. (2008). The Adequacy of Response Rates to Online and Paper Survey: What can be Done? Assessment and Evaluation in Higher Education, 33(3), 301-314.
On, C. H., Keong, H., Choo, H., Khor P., Ching, N., & Vei, N. (2013). Factors Affecting Job Selection Preferences of Accounting Students in Malaysian Universities. International Journal of Independent Research and Studies, 2(2), 66-78.
Pitaloka, E., & Sofia, I. P. (2014). The Effect of Work Environment, Job Satisfaction, Organization Commitment on OCB of Internal Auditors. International Journal of Business, Economics and Law, 5(2), 10-18.
Price, S. (2009). Future Directions for Career Choice Research in Nursing: A Discussion Paper. International Journal of Nursing Studies, 46(2), 268-276.
Puncheva-Michelotti, P., Hudson, S., & Michelotti, M. (2018). The Role of Proximity to Local and Global Citizens in Stakeholders’ Moral Recognition of Corporate Social Responsibility. Journal of Business Research, 88, 234–244.
Ramasamy, B., Yeung, M., & Yuan,Y. (2008). The Role of Corporate Social Responsibility (CSR) in Job Choice Decisions in The Greater China Region. EU-CHINA BMT Conference Papers and Proceedings. 1, 1-24.
Ramlall, S. (2003). Managing Employee Retention as a Strategy for Increasing Organizational Competitiveness. Organizational Application, 8, 63-72.
Reddy, G. C., & Rajaram, N. (2015). Career Aspirations and Background of Students Opting for Fashion Education Courses in India. Procedia-Social and Behavioral Sciences, 176, 952-960.
Robbins, S. P. (2001). Essentials of Organizational Behavior (6th ed.). Upper Saddle River, N.J.: Prentice Hall.
Royalty, J. (1996). The Effect of Job Turnover on The Training of Men and Women, Industrial and Labour Relations Review. 49(3), 506-521.
Salunke, G. (2015). Work Environment and Its Effect on Job Satisfaction in Cooperative Sugar Factories in Maharashtra, India, Abhinav. International Monthly Refereed Journal of Research in Management and Technology, 4(5), 21-31.
Senanayake, Y., & Gamage, S. K. (2017). Impact of Intrinsic and Extrinsic Factors on Organizational Performance with Special Reference to Operational Level Managers in Sri Lanka Telecom. IOSR Journal of Business and Management, 19(10), 8-19.
Singapore, W. (2021, March 10). Hotel Industry: Everything You Need to Know About Hotels! Retrieved from Revfine: https://www.google.com/search?q=hotel+industry&hl=zh
Vroom, V. H. (1964). Work and Motivation. San Francisco, CA: Jossey-Bass.
Winter, P. A., Petrosko, J. M., & Rodriguez, G. (2007). Using Economic Incentives to Recruit Community College Faculty: Effects of Starting Salary and Healthcare Benefits Plan. Community College Journal of Research and Practice, 31(1), 19–35.

In-Text Citation: (Ek Tee et al., 2022)
To Cite this Article: Ek Tee, N., Tak, P. Y., Chin, C. H., & Khairuddin, A. S. bin. (2022). Examining the Effects of Monetary and Non-Monetary Factors on Generation Z’s Job Selection Preferences in the Hospitality Industry. International Journal of Academic Research in Business and Social Sciences, 12(5), 66–83.