Job Satisfaction and Employee Retention in the Construction Industry: The Mediating Role of Work Life Balance

This study investigates the relationship between job satisfaction and employee tenure in the construction sector, emphasizing the mediating role of work-life balance. Specifically, it examines how job satisfaction influences employees’ decisions to remain in their positions and how work-life balance strengthens this association. The focus on the construction industry is critical given its high turnover rates and demanding working conditions. Data were collected from 100 employees randomly recruited from three major construction firms in Quezon City, Metro Manila, Philippines. Employing Structural Equation Modeling within a descriptive correlational research design, the study reveals that most respondents expressed agreement with statements concerning job satisfaction, work-life balance, and intentions to remain with their current employers. Findings further indicate that extended work hours and limited schedule autonomy intensify work-life conflict and dissatisfaction. Conversely, organizational flexibility, recognition, and a sense of being valued were associated with higher levels of satisfaction. Statistical analyses confirm robust correlations among the three variables, with work-life balance serving as a significant mediator of the positive relationship between job satisfaction and employee retention. These results underscore the importance of organizational policies that enable employees to reconcile professional and personal responsibilities, thereby enhancing satisfaction and reducing turnover. Construction firms, in particular, stand to benefit from recognizing work-life balance as a buffer against job-related stress, ultimately fostering greater employee productivity, stability, and long-term retention.