Gadjah Mada International Journal of Business Vol.
No.
1 (January-April 2.
: 55-82 Factors Affecting Early Retirement Intentions With the Mediating Mechanism of Job Engagement Asfand Yar Khana.
Dr.
Atif Bilala.
Nadia Dauda.
Muhammad Daniyala.
Bilal Ahmeda.
Atiq Ishaqa SZABIST University.
Pakistan Abstract: The main objective of this study is to empirically examine the associations between work goals .
ntrinsic and extrinsi.
and early retirement intentions, with the mediating mechanism of work passion and the moderating role of flexible HR practices, spouseAos health, and position level .
mployeesAo position level in organizations, e.
, junior manager at lower level, deputy manager at middle level, or senior manager at upper level etc.
Data for the study was collected through survey-based questionnaires distributed to a sample of 350 female employees from different public and private sector organizations in Pakistan.
Testing of the hypotheses was conducted using structural equation modeling (SEM) with WarpPLS software.
The findings indicate that employeesAo work goals are positively related to the level of passion they feel about their work.
However, this has a negative impact on their early retirement intentions.
Besides, the results show that this work passion mediates the relationship between work goals and early retirement intentions.
Furthermore, flexible HR practices, position level, and spouseAos health moderate the relationship between work passion and early retirement intentions.
The studyAos theoretical and managerial contributions and limitations are also discussed at the end of the article.
Keywords: early retirement intention, work goals, work passion.
HR practicesAo flexibility, spouseAos health, position level JEL Classification: M1.
M500.
M520 *Corresponding authorAos e-mail: asfandyar035@gmail.
ISSN: PRINT 1411-1128 | ONLINE 2338-7238
https://journal.
id/gamaijb Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
Introduction Currently, population ageing is becoming an emerging topic in the world (Nilsson, 2012.
Topa.
Depolo & Alcover, 2.
An increasing number of individuals are taking retirement before their official age of retirement (Schreurs.
Cuyper.
Emmerik.
Notelaers & Witte.
Wind.
Geuskens.
Ybema.
Bongers & Beek, 2.
, especially women.
Moreover, early retirement also results in the loss of beneficial employees from an organization.
possess particular knowledge (Beehr.
Glazer.
Nielson & Farmer, 2.
and this has major implications for the organization (Schreurs et al.
, 2011.
Wang & Shultz, 2.
Hence, to stop different types of early retirement, a better understanding of employeesAo early retirement intentions is required (Cui.
Wang.
Cheng & Zhang, 2.
Early retirement can be defined as retirement before the official age of retirement in that country.
Generally in the Pakistani context, most organizations have a policy of retirement at the age of 60, so anybody who has the intention of retiring before reaching 60 years of age is considered to be taking early retirement.
Different studies have shown the aspects of early retirement intentions and staying with the organization for a longer period.
Many researchers have focused on the issue of ageing employees, the retention of elderly people, and the implications of early retirement.
Contemporary analysts agree that encouraging older adults to continue in employment will give an advantage to organizations, individuals, and societies (Hofstetter & Cohen, 2.
Many existing studies have explored the job-related factors (Carr.
Johnson.
Head.
Shelton.
Stafford.
Stansfeld & Zaninotto, 2016.
Mein.
Martikainen.
Stansfeld.
Brunner.
Fuhrer & Marmot, 2.
and the demographic elements of individuals (Hofstetter & Cohen, 2.
as the major drivers of individualsAo early retirement plans.
Whereas Cui et al.
investigated the impact of the intrinsic and extrinsic goals of employees on their early retirement intentions, a study by Topa.
Depolo, and Alcover .
examined the relationship between early retirement and its antecedents and subsequent correlations.
There are fewer studies related to the role of motivational factors, such as work goals .
ntrinsic and extrinsi.
in decision making before the official age of retirement.
The goal content theory (GCT) also assists employees in deciding whether to retire early or to stay until the official time.
Besides this, the theory of planned behavior, by Ajzen .
, also suggests that the individualAos behavioral intentions are a good predictor of their actual behavior and represent their plans of action.
This suggests that the individualAos intentions motivate him/her to perform a certain behavior or not.
As an employee's decision to take early retirement or to work longer is based on his/her intentions, this develops his/her behavior.
Further, the theory also states that when individuals have work goals .
ntrinsic and extrinsi.
, their behavioral intentions build a plan of action, according to their goals, and they develop a Khan et al work passion to achieve those goals that decreases their early retirement intentions.
The theory also states that perceived pressure from the spouse is the strongest predictor of early retirement (Dam.
Vorst & Heijden, 2.
and is the result of household pressure.
the spouseAos health is good, the individualAos intentions motivate them to develop a greater passion for his/her work, and his/her performance on the job increases, so any intentions of early retirement decrease, and vice versa.
Furthermore, if organizations provide flexible HR practices and proper career development plans for their employees, their attitude and intentions help them in capturing motivational factors that influence their behavior and they perform their jobs well, and decrease their early retirement intentions, and vice versa.
Further, it is largely accepted and acknowledged that retirement is purely a family matter and may take various forms such that sometimes the wife takes retirement first and sometimes the husband (Drobnic, 2.
Therefore, many studies have focused on personal factors and their impact on early retirement intentions (Leonesio, 1996.
Slevin & Wingrove, 1.
The decision of older employees to take early retirement might also depend on spousal health and family factors (Henkens & Solinge, 2.
, such that women tend to take retirement earlier (Pienta, 2.
Specifically, in developing countries like Pakistan, women are not considered to be directly responsible for earnings and their household role forces them to develop early retirement intentions (Boumans.
Jong & Vanderlinden, 2.
The employment of female workers can benefit society and organizations (Hofstetter & Cohen, 2.
In the last few decades, the participation of female workers has increased in Pakistan (Sohail, 2.
in the economy it has increased by 10 percent since 1990 (Salman, 2.
Overall, the participation of Pakistani women has increased by 7 million in the corporate world (Salman, 2.
But Pakistani females are still neglected and they have to manage to go along in their careers (Bilal.
Ahmad.
Jan.
Huseynov & Nagy, 2.
Based on the goal content theory (GCT), the present study has resolved the above-mentioned issues of the intrinsic and extrinsic motivation of employees, as the goal content theory differentiates intrinsic goals from extrinsic goals (Deci & Ryan, 2.
Therefore, this study argues that if work goals affect early retirement intentions, there is passion for oneAos work behind this.
This point of view is also in line with the research work of Wind et al.
, in which the researchers explain work motivation as the main intermediary mechanism in the framework of early retirement intentions.
The goal content theory also explains the effect of contextual elements on the behavior of individuals, mainly human resource management (HRM) practices (Vansteenkiste.
Niemiec, & Soenens, 2.
Many previous studies focused on older employees and also stated that human resource management practices play a significant role in motivating older employees to continue working (Hennekam & Herrbach, 2013.
Kooij.
Lange.
Jansen & Dikkers, 2.
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
Therefore, based on the goal content theory (GCT) the current study has taken into account the different work goals to reveal their impact on the early retirement intentions of female employees in Pakistan, while taking work passion as a mediating variable, and HR practicesAo flexibility, position level.
ower, middle, or upper level of employees in organization.
, and spouseAos health as moderating variables.
Literature Review Theoretical Development and Hypotheses Early retirement is the main subject of concern nowadays in the world, including in Pakistan, especially in the case of female workers (Lund & Villadsen, 2005.
Elovainio.
Forma.
Kivimaki.
Sinervo.
Sutinen & Laine, 2.
Because of PakistanAos patriarchal culture, certain personal and professional factors do not allow women to continue working for a longer period.
Most of the time, female workers who are employed before marriage have to leave their jobs after they marry, despite having goals and a passion for work (Boumans et al.
, 2.
After marriage, other circumstances also contribute to their early retirement intentions, such as caring for children and elderly relatives (Talaga & Beehr, 1.
, duty timings and shifts, part-time .
rganizations requirement for extra duty tim.
, household duties, spousal health, and choice, etc.
Most of the time, these are the situations that cause an early retirement intention to develop in female workers.
So, it is necessary to investigate whether the work goals .
ntrinsic & extrinsi.
of females and organizational flexibility in HR practices encourage them to withdraw or continue working.
Intrinsic Goals and Work Passion Intrinsic goals are linked with an individual's natural wish and desire for self-development, affiliation with co-workers, and helping individuals in their time of need, such as contributing to the community (Kasser & Ryan, 1.
The study by Deci and Ryan .
and the goal content theory (Deci & Ryan, 2.
found that employees who pursue intrinsic goals are more likely to engage in the work that most appeals to them and generate positive emotions, which develop the passion to achieve those goals.
The study by Higgs.
Mein.
Ferrie.
Hyde and Nazroo .
, based on interviews with civil servants, found the same results.
older employees continue to work because they enjoy working and develop a passion for their work, even if they are financially secure for their retirement.
Based on the study by Park and Wood .
, workers in non-profit organizations are more involved in their work, compared to employees in private organizations (Feeney & Bozeman, 2009.
Park & Word, 2.
, because of their intrinsic motivation and goals.
Moreover, the goal content theory (Deci & Ryan, 2.
also states that individuals who Khan et al pursue intrinsic goals are more likely to enjoy their work, and develop a passion for it.
return, the achievement of these goals creates a feeling of satisfaction and well-being for In addition to this, they also feel more satisfied, compared to others.
Hence, based on the goal content theory (Deci & Ryan, 2.
, we propose the following hypothesis:
H1: Intrinsic goals positively affect work passion.
Extrinsic Goals and Work Passion Extrinsic goals are linked with financial success and the attainment of fame, and individuals like to engage in activities that cause them to have a greater passion for their work, but are not necessarily enjoyable (Vallerand.
Houlfort & Fores, 2.
According to the study by Williams.
Hedberg.
Cox and Deci .
and the goal content theory (Deci & Ryan, 2.
, extrinsic goals show an apparent orientation and individuals try to attain them because of external causes, such as wealth, physical emergence, and fame.
These goals are linked with having an orientation (Williams et al.
, 2.
and developing a passion for work to achieve these goals (Cui et al.
, 2.
The employeeAos external goals affect their passion for work via a controlling mechanism.
This mechanism develops from the interpersonal pressure of self-esteem, or because of a feeling of excitement toward certain activities (Vallerand.
Mageau.
Elliot.
Dumais.
Demers & Rousseau, 2.
Therefore, both intrinsic and extrinsic goals are found to be significantly associated with work passion.
Further, the goal content theory (Deci & Ryan, 2.
also states that when individuals pursue extrinsic goals they develop a passion for working to attain those goals.
These employee goals are also linked with their external appearances, in which they try to achieve materialistic things.
Therefore, based on the goal content theory, we propose the following hypothesis:
H2: Extrinsic goals positively affect work passion.
Work Passion and Early Retirement Intentions The current perspective on passion in the academic literature supports the assumption that passion for oneAos job is derived because of the positive outcomes of that work, which involves overall success, persistence, happiness, and financial gain (Vallerand & Houlfort.
Vallerand.
Houlfort & Forest, 2.
, which motivates individuals to continue their work until they reach the official age to retire.
In the dualistic model proposed by Vallerand et al.
, they describe passion as a strong desire for an activity that individuals find important, like most, or even love, and want to spend time and invest energy in it (Vallerand et al.
, 2.
When employees find their work attractive, they tend to continue Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
in their job because they enjoy working, even though they are financially secure enough to retire.
The goal content theory (Deci & Ryan, 2.
states that when individuals set some goals for themselves, they develop a passion to achieve those goals.
this motivates them to stay with their organizations for a longer period.
Therefore, individuals tend to remain in the organizations that employ them, and perform well through their work passion, to achieve their goals.
Hence, based on the goal content theory (Deci & Ryan, 2.
, we propose the following hypothesis:
H3: Work passion negatively affects early retirement intentions.
The Mediating Effect of Work Passion between Work Goals (Intrinsic & Extrinsi.
and Early Retirement Intentions Individuals with a great passion for their work develop work motivation, positive behavior, and work-related dedication (Zigarmi.
Nimon.
Houson.
Witt & Diehl, 2.
with positive and meaningful work experiences (Ho & Pollack, 2014.
Vallerand et al.
, 2.
Hence, these employees like to develop an attitude of work continuation instead of deciding on early retirement.
Moreover, an individualAos work passion brings positive energy to older workers, which helps them in developing organizational commitment and a sense of belongingness.
In the decision making of older employees regarding their careers, they give priority to emotional attachments, interaction with colleagues, and self-identity (Bal & Kooij.
Hence, according to the goal content theory (Deci & Ryan, 2.
, individuals with higher intrinsic goals have greater self-identity with their jobs.
In turn, their work-related passion and commitment to their organization are higher, and they are less likely to choose retirement.
According to the study by Desmette and Gaillard .
and the goal content theory (Deci & Ryan, 2.
, when individuals focus on economic success, their social position, or reputation, they also like to continue working to obtain sufficient financial resources for their retirement.
A higher social position for employees also develops a passion for work, and is less likely to be related to an early retirement intention (Wahrendorf.
Dragano & Siegrist, 2.
The study by Burnett.
Davis.
Murawski.
Wilkins and Wilkinson .
found that older employees like to continue in their jobs because of their extended families and to provide financial help and care for them.
The goal content theory (Deci & Ryan, 2.
suggests that individuals can have both intrinsic and extrinsic goals, which help them in developing a passion for work.
For instance, sometimes employees develop a passion for work and want to remain with their organizations for a longer period just because of money, and sometimes they tend to re60 Khan et al main with their organizations because of their affiliation with others.
Hence, based on the goal content theory, we propose the following hypotheses:
H4: Work passion mediates the relationship between intrinsic goals and early retirement intentions.
H5: Work passion mediates the relationship between extrinsic goals and early retirement intentions.
The Moderating Effect of HR Practices Flexibility Organizations provide flexible HR practices to motivate their employees to remain with the organizations for a longer period.
The availability of these practices in organizations boosts the motivation level of employees, develops a sense of emotional support for older workers, develops work passion, and reduces their intentions to take early retirement.
Meanwhile, aged employees also perceive flexible HR practices as support from their organizations (Allen.
Shore & Griffeth, 2.
, which is found to be strongly linked to staying with the organizations (Stassen & Ursel, 2.
In the present study, according to the self-determination theory, human resource practicesAo flexibility is expected to moderate the linkage between work passion and the intention to take early retirement.
Good human resource practices arouse the employeesAo motivational attachment to their organizations, and they feel that their firms support them, which in turn boosts their motivation to stay in their jobs for a longer period.
For instance, when older employees feel a decline in their work and performance abilities (Hennekam & Herrbach, 2.
, flexibility in their working arrangements .
uch as a reduction in their work burden or assigning older employees as mentors in organization.
, or providing flexible working options .
uch as flexibility in their working hours and work schedule.
can help them to better meet their work demands and motivates them to stay longer with their organizations (Armstrong & Ursel, 2009.
Herrbach.
Mignonac.
Vandenberghe, & Negrini, 2.
According to the self-determination theory, which is also known as the macro theory of emotions, motivation, and personality (Vansteenkiste et al.
, 2.
, contextual factors also strongly impact employeesAo behavior, especially human resource practices.
Previous studies also state that the HRM practices of organizations also play an important role in motivating employees to continue working and to remain with the organizations (Hennekam & Herrbach, 2013.
Kooij et al.
, 2.
Therefore, based on the goal content theory (Deci & Ryan, 2.
and the self-determination theory (Deci & Ryan, 1.
, it is proposed that:
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
H6: HR practicesAo flexibility moderates the relationship between work passion and early retirement intentions such that when HR practices are flexible, the relationship is weaker.
The Moderating Effect of Spouse Health Many factors affect the early retirement intentions of employees, despite them having a passion for work, specifically in the case of female workers.
One main factor which contributes most is the health of the employees or their spouses, which forces them to develop intentions to retire before the official age of retirement (McGarry, 2.
Previous studies have also shown that, most of the time, the poor health of spouses is offered as the reason for early retirement intentions (McGarry, 2.
, along with pressure from partners to take retirement before the official age (Bound.
Schoenbaum.
Stinebrickner & Waidmann.
Muller & Boaz, 1988.
Ruhm, 1.
Moreover, female employees also have to deal with home and family matters, or have to perform caregiving duties, etc.
The self-determination theory (Deci & Ryan, 1.
also states that the emotions attached to the spouse also push individuals to develop retirement intentions earlier, if the health condition of the spouse is poor, and vice versa.
The goal content theory talks about the individualAos goals and his/her motivation to achieve those goals.
The theory states that despite having goals and passion, if the spouse is in poor health, there is the chance that an individual will develop early retirement intentions because of the emotions attached to his/her partner, and vice versa.
Hence, based on the goal content theory (Deci & Ryan, 2.
and the self-determination theory (Deci & Ryan, 1.
, it is proposed that:
H7: A spouseAos health moderates the relationship between work passion and early retirement intentions.
When the spouse is healthy, the relationship is weaker.
Moderating Effect of Position Level Position level indicates the ranks of individuals in their career.
The main goal of this is to fulfill their inner goals, and take them to higher positions in the organization (Kosine & Lewis, 2.
The goal content theory (Deci & Ryan, 2.
states that when individuals attain a certain desirable position, according to their set goals, their retirement intention decreases and their passion for work increases.
Further, when people develop work passion, their intentions to retire decrease, their readiness to work increases, and work experience motivates them to remain with their organization (Chen & Fang, 2008.
Stewart, 2.
Hence, based on prior studies, it is found that the current position level of employees can moderate the relationship between work passion and early retirement intentions (Chen & Fang, 2008.
Stewart, 2.
Khan et al The goal content theory (Deci & Ryan, 2.
also states that when individuals set a goal to reach a certain position in their organization, they develop a passion to attain that goal, which in return reduces their intentions of early retirement.
Therefore, based on the goal content theory (Deci & Ryan, 2.
, it is proposed that:
H8: Position level moderates the relationship between work passion and early retirement intentions.
Figure 1.
The theoretical model of the study The Research Method Research Design The data were analyzed using WarpPLS software and the Statistical Package for Social Sciences (SPSS).
Structural equation modeling (SEM) was used for hypothesis testing.
Andrew Hayes .
model 1 was used to conduct the moderation analysis between the variables of the study.
Sample and Data Collection Data for the study had been collected through survey-based questionnaires.
A total of 500 questionnaires were distributed among female employees, out of which 350 .
%) usable ones were returned.
The demographics are in Table 1.
Most of the respondents were between the ages of 30 to 40 years old.
Moreover, most people had work experience of between 5 to 10 years.
Furthermore, the data showed that most of the participants held a bachelorAos degree.
The table also shows the position level of the employees, and most of the participants worked in lower-level positions.
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
Table 1.
Demographic Analysis Frequency Female Total Percent Age 20-30 years 30-40 years 40-50 years Above 50 years Total Experience 1-5 years 5-10 years 10-15 years Above 15 years Total Education Matric Inter Bachelor Master/MS PhD.
Total
Position level Lower level Middle level Upper level Total
Gender
N = 350
Measures The instrument that was used in the study had been adapted from the previously published studies and included a set of 49 written questions, which the respondents were asked to answer.
Intrinsic goals ( = 0.
were measured using 18 items developed and used by Kasser and Ryan .
One example of the items that were used in the study was AuI will be the one in charge of my life.
Ay Extrinsic goals ( = 0.
were measured using five items also developed and used by Kasser and Ryan .
One example of the items that were on the scale was AuI will buy Khan et al things just because I want them.
Ay Work passion ( = 0.
was measured using 10 items developed by Chen.
Lee, and Lim .
This variable included items such as AuI love doing my work.
Ay HR practicesAo flexibility ( = 0.
was measured using seven items developed by Ketkar and Sett .
One example of the statements that were on the scale was AuThe flexibility of our HR practices helps us to adjust to the changing demands of the environment.
Ay SpouseAos Health ( = 0.
was measured using four items developed and used by Mcgarry .
Examples of these include AuMy spouse's health is excellent.
Ay Position level was measured by asking the participants about their position in the organization, which included three levels, i.
lower level, middle level, and upper level.
An example question was AuI work at a: lower-, b: middle-, c: upper-level position in my Ay Early retirement intentions ( = 0.
were measured by using five items developed by Gaillard and Desmette .
One example of the items included was AuI would like to retire early if I can afford to.
Ay All the items used in the study were measured on a 5-point Likert scale (Fink, 1.
, starting from 1 = strongly disagree to 5 = strongly agree.
The Research Method Research Design Table 2 shows the results of the factor analysis.
CronbachAos alpha values, composite reliability (CR), and the average variance extracted (AVE).
According to Stevens .
, to retain an item, the loading of that item should be greater than 0.
5, or it should be greater 5 or 0.
6 (Abbasi.
Ting.
Hlavacs.
Costa & Veloso, 2.
During the analysis, it was observed that the items of all the variables were loaded to their respective variables and the value of all the loadings was greater than 0.
The validity and reliability of the scales were measured based on Cronbach alpha values, composite reliability (CR), and the average variance extracted (AVE).
The value of alpha above 0.
7 was considered to be an acceptable indicator of internal consistency, and the table shows that the values of all the items were within the acceptable range, i.
, ( > 0.
Moreover, the values for CR and AVR were also above the threshold i.
, (> 0.
, which confirmed the reliability and convergent validity of the scale.
Besides this, the constructs also met the criteria for discriminant validity, as the value of the square root of the AVEAos shown on the diagonal values in Table 4 of the correlation was greater than their correlation coefficients (Fornell & Larcker, 1.
This confirmed the discriminant validity of the constructs as well.
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
Table 2.
Reliability Analysis Standardized loadings of the items Items ERI
HRPF
#10
#11
#12
#13
#14
#15
#16
#17
#18
AVE
Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Descriptive Statistics Table 3 represents the descriptive statistics of the study, and shows the value of the mean, standard deviation, skewness, and kurtosis of the variables.
Table 3.
Descriptive Statistics Variables Mean Std.
Deviation Skewness Kurtosis ERI
HRPF
Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Khan et al Correlation Analysis Table 4 indicates the correlation matrix among the variables of the study.
The correlation test was applied to measure the strength and direction of the relationship among the variables, where signs showed the direction, while the value showed the strength of the Table 4.
Correlations among Latent Variables with Square Roots of AVEAos
Constructs ERI
HRPF
ERI
HRPF
*Correlation is significant at the 0.
05 level .
-taile.
**Correlation is significant at the 0.
01 level .
-taile.
Note: Square Roots of Average Variance Extracted (AVEAo.
show on diagonal.
IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Direct Hypotheses Testing Table 5 shows the results of the direct hypothesis testing.
In the table, the hypotheses, their path coefficients, and significance values are given.
The results of hypotheses 1 and 2 showed the path coefficients ( = 0.
230, t = 4.
423, p < 0.
= 0.
590, t = 12.
041, p < .
which showed a positive and significant relationship between the intrinsic and extrinsic goals and work passion, and the t and p-values were also highly statistically significant.
Therefore.
H1 and H2 were supported.
Further, the results of Hypothesis 3 indicated that work passion had a negative impact on early retirement intentions with path coefficients ( = -0.
361, t = -7.
078, p < 0.
, which was also highly statistically significant.
Therefore.
H3 was also supported.
Table 5.
Direct Hypotheses Testing Hypotheses Constructs Paths Path Coefficients T values P values Outcomes IG Ie WP <0.
Supported EG Ie WP <0.
Supported WP Ie ERI <0.
Supported Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
Mediation Analysis Table 6 shows the results of the mediation analysis.
The table indicates the path coefficient ( = -0.
083, t = -2.
243, p < 0.
= -0.
213, t = -5.
757, p < 0.
which showed that work passion negatively mediated the relationship between the intrinsic and extrinsic goals and early retirement intentions, and the p-values and t values were also highly statistically significant.
Therefore.
H4 and H5 were supported.
Table 6.
Mediation Analysis Hypotheses Constructs Paths Path Coefficients T values P values Outcomes IGIeWPIeERI EGIeWPIeERI Supported <0.
Supported Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Moderation Analysis To check the moderation of HRPF between work passion and early retirement intentions.
Andrew Hayes .
model 1 was applied.
The result (Table .
indicated that the value of the conditional effect was = -0.
053, t = -1.
108, p > 0.
05, 95 percent CI (-0.
146, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
345, t = -6.
456, p < 0.
05, 95 percent CI (-0.
449, -0.
, which showed that a one unit change in work passion would lead to a -0.
345 change in early retirement The value of the conditional effects in the maximum effects relationship was = -0.
637, t = -7.
430, p < 0.
05, 95 percent CI (-0.
906, -0.
, which showed that a one unit change in work passion would lead to a -0.
637 change in early retirement intentions.
The effect size had significantly increased from the minimum presence of the moderator (-0.
to the maximum presence of the moderator (-0.
, indicating negative moderation.
Therefore.
H6 was supported.
Table 7.
HRPF Moderation Analysis Effects T Statistics P Values LLCI
ULCI
Lower Level Middle Level Upper Level Ie Construct Path H6: WPIe HRPFIeERI Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
To check the moderation of the spouseAos health between the relationship of work passion and early retirement intentions.
Andrew Hayes .
model 1 was again applied.
Khan et al The result (Table .
indicated that the value of the conditional effect was = -0.
029, t = 658, p > 0.
05, 95 percent CI (-0.
119, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
191, t = -3.
509, p < 05, 95 percent CI (-0.
297, -0.
, which showed that a one unit change in work passion would lead to a -0.
191 change in early retirement intentions.
The value of the conditional effects in the maximum effects relationship was = -0.
351, t = -4.
594, p < 0.
05, 95 percent CI (-0.
502, -0.
, which showed that a one unit change in work passion would lead to 351 change in early retirement intentions.
The effect size had significantly increased from the minimum presence of the moderator (-0.
to the maximum presence of the moderator (-0.
, indicating negative moderation.
Therefore.
H7 was supported.
Table 8.
SH Moderation Analysis Effects T Statistics P Values LLCI
ULCI
Lower Level Middle Level Upper Level Ie Construct Path H8: WPIe SHIeERI Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Table 9 shows the results of the moderation analysis of the position level between work passion and early retirement intentions.
The Andrew Hayes .
model 1 was again applied here.
The result indicated that the value of the conditional effect was = 075, t = -1.
361, p > 0.
05, 95 percent CI (-0.
184, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
199, t = 556, p < 0.
05, 95 percent CI (-0.
286, -0.
, which showed that a one unit change in work passion would lead to a -0.
199 change in early retirement intentions.
The value of the conditional effects in the maximum effects relationship was = -0.
330, t = -4.
739, p < 05, 95 percent CI (-0.
467, -0.
, which showed that a one unit change in work passion would lead to a -0.
330 change in early retirement intentions.
The effect size had significantly increased from the minimum presence of the moderator (-0.
to the maximum presence of the moderator (-0.
, indicating negative Therefore.
H8 was supported.
Table 9.
PL Moderation Analysis Effects T Statistics P Values LLCI
ULCI
Lower Level Middle Level Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
Upper Level Ie Construct Path H8: WPIe PLIeERI Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Moderated Mediation Analysis Moderated mediation analysis was conducted using the Andrew Hayes process model.
The results showed the indirect effects on the lower-, middle-, and upper-level effect sizes, which indicated that with the presence of moderators on different levels, the mediation results were changed.
The lower level showed the mediation effect with the minimum presence of the moderator.
The middle level showed the mediation effect with the moderate presence of the moderator, and the upper level showed the mediation effect with the maximum presence of the moderator.
The lower-, middle-, and upper-level effect sizes showed that either the mediation effect was increasing, or decreasing, with the presence of a moderator at different levels.
To check the moderated mediation of HRPF and work passion between the intrinsic goals and early retirement intentions, the Andrew Hayes .
model 14 was applied.
The result (Table .
indicated that with the minimum presence of HR practicesAo flexibility, the indirect effect of work passion was = 0.
020, 95 percent CI (-0.
064, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
213, 95 percent CI (-0.
349, -0.
The value of the conditional effects in the maximum effects relationship was = -0.
446, 95 percent CI (-0.
663, -0.
, which showed that with the increase in moderation from 3.
425 to 4.
901 the mediation effect had also increased.
Therefore, moderated mediation was happening, and H9 was supported.
Table 10.
Mediated Moderation Analysis of HRPF and WP
Mediator HRPF
Effects Boot SE LLCI
ULCI
Work Passion Lower Level Work Passion Middle Level Work Passion Upper Level Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
H9: Work passion mediates the relationship between intrinsic goals and early retirement intentions provided HR practicesAo flexibility moderates between work passion and early retirement intentions.
Table 11 shows the results of the mediated moderation analysis of the spouseAos health and work passion between intrinsic goals and early retirement intentions.
Andrew Khan et al Hayes .
model 14 was once again applied.
The result indicated that with the minimum presence of spouseAos health, the indirect effect of work passion was = -0.
006, 95
percent CI (-0.
108, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
139, 95 percent CI (-0.
253, -0.
The value of the conditional effects in the maximum effects relationship was = -0.
271, 95 percent CI (-0.
442, -0.
, which showed that with the increase in moderation from 3.
916, the mediation effect had also increased.
Thus, moderated mediation happened, therefore H10 was supported.
Table 11.
Mediated Moderation Analysis of a SpouseAos Health and Work Passion
Mediator Effects Boot SE LLCI
ULCI
Work Passion Lower Level Work Passion Middle Level Work Passion Upper Level Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
H10: Work passion mediates the relationship between intrinsic goals and early retirement intentions provided spouseAos health moderates between work passion and early retirement intentions.
To check the moderated mediation of position level and work passion between intrinsic goals and early retirement intentions.
Andrew Hayes .
model 14 was applied.
The result (Table .
indicated that with the minimum presence of the position level, the indirect effect of work passion was = 0.
039, 95 percent CI (-0.
087, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
071, 95 percent CI (-0.
182, 0.
The value of the conditional effects in the maximum effects relationship was = -0.
187, 95 percent CI (-0.
361, -0.
, which showed that with the increase in moderation from 1.
000 to 2.
357 the mediation effect also increased.
Thus, moderated mediation happened, and therefore.
H11 was supported.
Table 12.
Mediated Moderation Analysis of Position Level and Work Passion
Mediator Effects Boot SE LLCI
ULCI
Work Passion Lower Level Work Passion Middle Level Work Passion Upper Level Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
H11: Work passion mediates the relationship between intrinsic goals and early retirement intentions provided the position level moderates between work passion and early retirement intentions.
To check the moderated mediation of HRPF and work passion between the extrinsic goals and early retirement intentions.
Andrew Hayes .
model 14 was applied.
The result (Table .
indicated that with the minimum presence of HR practicesAo flexibility, the indirect effect of work passion was = -0.
006, 95 percent CI (-0.
054, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
148, 95 percent CI (-0.
235, -0.
The value of the conditional effects in the maximum effects relationship was = -0.
291, 95 percent CI (-0.
429, -0.
, which showed that with the increase in moderation from 3.
425 to 4.
901 the mediation effect also Therefore, moderated mediation happened, and H12 was supported.
Table 13.
Mediated Moderation Analysis of HRPF and Work Passion
Mediator HRPF
Effects Boot SE LLCI
ULCI
Work Passion Lower Level Work Passion Middle Level Work Passion Upper Level Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
H12: Work passion mediates the relationship between extrinsic goals and early retirement intentions provided HR practicesAo flexibility moderates between work passion and early retirement intentions.
Table 14 shows the results of the mediated moderation analysis of spouseAos health and work passion between the extrinsic goals and early retirement intentions.
Andrew Hayes .
model 14 was again applied.
The result indicated that with the minimum presence of spouseAos health, the indirect effect of work passion was = -0.
020, 95 percent CI (-0.
071, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
096, 95 percent CI (-0.
161, -0.
The value of the conditional effects in the maximum effects relationship was = -0.
172, 95 percent CI (-0.
279, -0.
, which showed that with the increase in moderation from 3.
399 to 4.
the mediation effect also increased.
Thus moderated mediation happened.
Therefore.
H13 was supported.
Khan et al Table 14.
Mediated Moderation Analysis of a SpouseAos Health and Work Passion
Mediator Effects Boot SE LLCI
ULCI
Work Passion Lower Level Work Passion Middle Level Work Passion Upper Level Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
H13: Work passion mediates the relationship between extrinsic goals and early retirement intentions provided spouseAos health moderates between work passion and early retirement intentions.
To check the moderated mediation of position level and work passion between the extrinsic goals and early retirement intentions.
Andrew Hayes .
model 14 was The result (Table .
indicated that with the minimum presence of position level, the indirect effect of work passion was = -0.
011, 95 percent CI (-0.
089, 0.
in the least effects relationship.
The value of the conditional effect in the average effects relationship was = -0.
076, 95 percent CI (-0.
139, -0.
The value of the conditional effects in the maximum effects relationship was = -0.
144, 95 percent CI (-0.
254, -0.
, which showed that with the increase in moderation from 1.
000 to 2.
357 the mediation effect also Thus, moderated mediation happened and therefore.
H14 was supported.
Table 15.
Mediates Moderation Analysis of Position Level and Work Passion
Mediator Effects Boot SE LLCI
ULCI
Work Passion Lower Level Work Passion Middle Level Work Passion Upper Level Note: IG = Intrinsic Goals.
EG = Extrinsic Goals.
WP = Work Passion.
ERI = Early Retirement Intentions.
HRPF = Human Resource Practices Flexibility.
SH = Spouse Health.
H14: Work passion mediates the relationship between extrinsic goals and early retirement intentions provided the position level moderates between work passion and early retirement intentions.
Discussions The current study focused on the early retirement intentions of employees, rather than their actual behavior.
The study hypothesized that having work goals .
ntrinsic and extrinsi.
that were derived from the goals content theory (GCT), this would have an impact on Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
the early retirement intentions of female employees, both directly and indirectly.
The results supported hypotheses 1 and 2, which indicate there is a positive relationship between the intrinsic and extrinsic goals and work passion.
The results indicate that the intrinsic goals of employees help them in developing a passion for work.
More precisely, when employees think of their personal growth and have the urge to contribute positively to the community, they develop a passion for work and perform well.
Further, the extrinsic goals are found to be more strongly related to the work passion of employees, compared to the intrinsic goals.
Both the intrinsic and extrinsic work goals have a positive association with work passion, although the extrinsic goals have a stronger and more substantial effect on work passion than the intrinsic goals do.
A study by Cui et al.
found that having intrinsic and extrinsic goals helps employees build work passion.
The study by Deci and Ryan .
and the goal content theory (Deci & Ryan, 2.
also found that employees who pursue intrinsic and extrinsic goals are more likely to engage in the work they most enjoy and generate positive emotions and work passion.
Furthermore, many previous studies also confirm that economic factors are strongly linked to work passion, and these decrease the early retirement intentions of employees (Fisher.
Chaffee, & Sonnega, 2016.
Topa et al.
, 2.
The results of Hypothesis 3 demonstrate that there is a negative association between work passion and the early retirement intentions of female employees.
The findings reveal that when people develop a passion for their profession, their intention to retire early drops, they perform their jobs well, and they contribute to increasing organizational The study by Ho and Pollack .
also found that work passion is positively linked with the performance of the organization, and individuals stay with the organization when they feel passionate.
Vallerand and Houlfort .
and Vallerand et al.
suggested that passion for work stems from the positive outcomes of that work, such as success, which inspires individuals to remain a part of the organization.
The outcomes also provided complete support for Hypothesis 4, which states that work passion mediates the association between intrinsic goals and early retirement intentions.
Employees who have intrinsic goals, i.
, personal growth and feelings for the community, tend to remain with their organizations to fulfill their goals and develop a passion for work, which highly motivates them to decrease their early retirement intentions.
The study by Cui et al.
also found that work passion negatively mediates the relationship between intrinsic goals and early retirement intentions.
Moreover, the findings provided complete support for Hypothesis 5, which indicates that work passion mediates the relationship between extrinsic goals and early retirement intentions.
The mediation analysis shows more significant results of work passion negatively mediating between the extrinsic goals and early retirement intentions.
As indi74 Khan et al viduals are perceived to be more inclined toward extrinsic goals, i.
, image, fame, social position, and money, their retirement intentions decrease.
The study by Wahrendorf et .
stated that the higher social position .
xtrinsic goa.
of employees develops a passion for work in them, so they are less likely to develop early retirement intentions.
The study by Cui et al.
also confirms that the work passion of employees negatively mediates the relationship between extrinsic goals and early retirement intentions.
Further, the results showed full support for hypotheses 6, 7, and 8, in that HR practicesAo flexibility, spouseAos health, and position level moderate the relationship between work passion and the early retirement intentions of employees.
This indicates that when organizations provide flexible HR practices, flexible working schedules, and flexible hours for their employees, this builds a strong work passion and reduces their intentions of retirement at an early stage.
This indicates that the flexible HR practices of organizations help employees with building a strong motivation, making them more committed, increasing their satisfaction level, developing a passion for work, and decreasing their early retirement intentions.
Cui et al.
stated that the negative impact of work passion on early retirement intentions will be weaker in the presence of very flexible HR practices.
Moreover, the spouseAos health also plays an important role.
Better spousal health weakens the relationship between work passion and early retirement intentions.
A healthy spouse motivates individuals to develop a passion for work and reduces retirement intentions at an early stage.
MsGarry .
stated that the effect of a spouseAos health on retirement decisions is greater than the effect of the financial variables.
Further, the job the employees do also plays an important role in deciding about retirement.
This implies that when individuals advance in their careers, their enthusiasm for their jobs grows while their desire to retire declines.
Therefore, organizations can retain competent workers by making proper career development plans for them.
The findings of the present study are consistent with the work of Kosine and Lewis .
, who found that the position level shows the development of individuals in the organizations.
this takes them to a higher level and retains them for a longer period.
Deci and Ryan .
also stated that achieving a higher position with a firm is the inner goal of employees, which motivates them and makes them committed to their work.
Conclusion Overall, the present study found significant results, which can help organizations to motivate and retain competent employees, and decrease their early retirement intentions.
The study has also made important theoretical as well as managerial contributions.
there is very little knowledge available on the concept of early retirement intentions in the Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
literature in the Pakistani context, it requires empirical evidence to confirm the impact of work goals .
ntrinsic & extrinsi.
on the early retirement intentions of female employees.
This study contributes to filling the gaps in the literature provided by previous research, and provides empirical evidence for the relationship between the variables that were not studied before, i.
, testing spousal health and the position level as moderating variables between the relationship of work passion and early retirement intentions.
Moreover, this study contributes a new theoretical perspective by examining the individual's related factors, such as the work goals .
ntrinsic and extrinsi.
of employees on early retirement The study also focuses on exploring the theoretical perspective of the goal content theory (GCT) and the theory of planned behavior, while taking the goal content theory as the base theory.
Furthermore, different cultures and organizational backgrounds also show different results.
most of the previous studies on early retirement intentions were conducted in western countries, whereas this study is in the Pakistani context, which is another major contribution of this research.
The present study will also help organizations to retain skillful and competent employees by knowing the factors which can reduce early retirement intentions and motivate them to stay for a longer period.
First, organizations should motivate and encourage their workers to establish work goals, so they can develop a passion for their work, and ultimately reduce their early retirement intentions.
Moreover, in the case of female employees, organizations can also help them in setting and achieving goals step by step.
Besides this, organizations may create a work environment that helps employees to stimulate their passion for work.
Organizations may implement flexible HR practices for their employees, such as flexible work arrangements, flexible working hours, flexible performance appraisals, and flexible work schedules.
Specifically, in the case of female workers, the flexible HR practices of an organization play an important role in decreasing their early retirement Furthermore, firms can also make proper career development plans so that employees can get promotions on time, and stay with the organization.
Limitations and Future Directions Although the current study adds value to the existing body of knowledge, some limitations need to be mentioned.
First, cross-sectional data were collected from the targeted respondents at a single point in time, which limits the research.
Second, the study was quantitative and used survey-based questionnaires to collect the data.
Third, the study only had female employees as the participants of the study.
The study was also non-comparative, though data were collected from the public and private sectors.
no comparison was made due to the limited time.
For future researchers, it would be interesting to explore Khan et al the impact of work goals .
ntrinsic and extrinsi.
on early retirement intentions by collecting longitudinal data, so that different factors can be observed.
They can use qualitative analysis, and could take both male and female employees.
They could even compare the behavior of male and female employees regarding their early retirement intentions.
Further, future researchers may conduct a comparative study to compare the perceptions of public and private sector employees regarding early retirement intentions.
Moreover, they can use/add other possible variables to the model.
The sample size can also be increased.
Gadjah Mada International Journal of Business - January-April.
Vol.
No.
1, 2024
References