Do employees loyal to you? examining the moderating effect of organizational justice on HRM practices and employee loyalty linkage

The purpose of the present study is to empirically test the relationship between Human Resource Management Practices (HRM Practices) and Employee loyalty and to identify the moderating effect of Organizational justice on its linkage. A survey of 138 employees who were selected by using convenience sampling techniques in Sri Lankan apparel industries was conducted using a structured questionnaire to validate the proposed model. The study has used Statistical Package for Social Sciences (SPSS) for the empirical analysis and drawing conclusions. The empirical results of this study showed that HRM Practices are one of the major factors that make employees stay loyal to the organizations. Furthermore, Organizational justice significantly moderates the relationship between HRM Practices and Employee loyalty. Hence, organizations need to consider the Organizational justice at the top priority so that employees can stay in the organizations for a longer period. This finding confirms that the observed relationships hold true in different organizational settings and provides critical contributions to the research field of the apparel industry as well as suggests important recommendations for improving employee loyalty.