Impact of Corporate Social Responsibility on Employee Attraction and Retention in Medium Scale Enterprises in South-West, Nigeria

Abstract

Corporate Social Responsibility (CSR) is a set of duties and obligations by small and large organisations concerning their major stakeholders such as employees, customers and communities in which they operate. Focusing on Medium Scale Enterprises (MSEs) operating in South-West Nigeria, this study examined the impact of CSR on employee attraction and retention. The sample for the study was 235 MSEs in the manufacturing and services sectors as registered by the Small and Medium Enterprises Development Association of Nigeria (SMEDAN). A structured questionnaire with five-point Likert scale was used to collect data. Simple linear regression was employed as the instrument for data analysis using SPSS 24 software. The findings of the study showed that working condition and labour policy aspects of CSR were positively and significantly related to employee attraction and retention. However, the influence of employee relation CSR was found to be negative on employee attraction and retention.