Digital Technologies on Personnel Engagement and Retention in Human Resource Management 4.0

This research examines the influence of digital technologies on personnel engagement and retention within companies in Taguig City, Philippines, through the lens of HRM 4.0. The study explores how digital employee experience, digital communication and collaboration, and digital accessibility as measures of personnel engagement influence personnel retention. Using a quantitative research design, data were collected from 400 employees via an online survey. Exploratory factor analysis (EFA) was utilized to assess the uniqueness and reliability of the study’s factors, ensuring that each factor had a communality value of at least .40. Subsequently, confirmatory factor analysis (CFA) was conducted using IBM SPSS Amos V.21 to validate the proposed model and confirm its fit with the collected data, and a range of statistical tests were performed to evaluate the relationships between variables. The findings indicate that a positive digital employee experience is associated with higher personnel retention, while excessive digital communication and collaboration can negatively affect both the length of service and retention. Moreover, longer length of service is associated with higher retention rates, emphasizing the importance of sustained engagement. The study also shows that younger employees engage more positively with digital technologies, and that the effectiveness of these technologies varies with the length of service. These results highlight the necessity for HR strategies that integrate digital interactions and customize approaches for different age groups. Finally, this paper highlights the study’s contributions to theoretical and policy implications, empirical findings, and suggests areas for further research.