Emotional Intelligence and Employee Retention in the Food, Beverage and Tobacco Industry in South-western Nigeria

Abstract

This paper examined the connection between Emotional Intelligence (EI) and retention of employees in the Food, Beverage and Tobacco industry located in Southwestern Nigeria with the specific objectives of assessing the level of emotional intelligence present within the industry and the extent to which EI influences the businesses' ability to retain their employees. Quantitative data was collected through a survey questionnaire from 297 employees of five of the top listed companies in the sampled industry based on their net worth. The data collected through the stratified sampling technique was analysed using both descriptive (percentages, arithmetic mean, correlation, etc.) and inferential (linear and multiple regression) statistical analyses. Results showed that EI explained approximately 58% of the level of retention in the Food, Beverage and Tobacco industry with Adjusted R² = .577. In addition, Emotional Intelligence is measured by self-motivation (e.g. ability to prioritise activities), self-control (e.g. ability to suppress emotions), self-awareness (e.g. being able to quickly manage anger), social skills (e.g. capability to reconcile differences with colleagues), and empathy (e.g. understanding other persons' viewpoints) are all commonplace in the industry. With regards to the influence Emotional Intelligence has on employee retention in the Food, Beverages and Tobacco industry, all measures were significant, either positively or negatively, in the following descending order: self-control (t = 10.79, p < 0.05), ability to read emotions (t = 9.17, p < 0.05), self-motivation (t = 7.55, p < 0.05), social skills (t = -4.44, p < 0.05), and self-awareness (t = 3.83, p < 0.05). To conclude, the study found that when employees in the food, beverage, and tobacco industries are emotionally intelligent, the retention rate among them is higher than otherwise.