The influence of communication climate, organizational identification, and burnout on real estate agents' turnover intention

The real estate industry experiences significant turnover, especially among brokers. Economic downturns exacerbate this issue, impacting the industry's stability. This study examines the factors influencing turnover intentions in this context, acknowledging the nested nature of individual data within organizational structures. Organizational factors, such as training programs and communication climates, influence individual-level variables like job stress and burnout. Existing literature suggests that a positive communication climate, characterized by openness and participation, strengthens organizational identification and reduces turnover. Conversely, high job demands, long hours, and performance pressure contribute to burnout, a key driver of turnover. The study focuses on real estate brokers in Tainan City, Taiwan, utilizing a hierarchical linear modeling (HLM) approach to account for the nested data structure and address potential biases inherent in traditional regression analysis. The aim is to understand the interplay of organizational and individual factors influencing turnover and to provide actionable insights for real estate managers.

The literature review explores the relationship between communication climate, organizational identification, and turnover intention. Organizational identification, stemming from employees' investment in their organization, is linked to increased work motivation, job satisfaction, and reduced turnover. A positive communication climate fosters organizational identification. The review also examines the relationship between job stress, burnout, salary level, and turnover intention. Job stress, often exceeding individual capacity, leads to burnout, characterized by exhaustion, cynicism, and reduced personal accomplishment. Burnout is strongly associated with turnover. Higher salaries, conversely, are associated with lower turnover intentions. The review also highlights the mediating and moderating roles of communication climate and organizational identification and burnout. For example, a positive communication climate can mitigate the negative impacts of job stress and burnout on turnover.

This study employed a hierarchical linear moderated mediation model using HLM to analyze data from 558 real estate agents in Tainan City. Data was collected through questionnaires administered to 73 branch offices across five major real estate chains. The questionnaires measured communication climate, organizational identification, job stress, burnout, salary level, and turnover intention, using five-point Likert scales. Control variables, such as business model (direct sales vs. franchise) and job tenure, were also included. Before conducting the HLM analysis, null models were used to assess the variance of turnover intention and burnout between and within branches. The HLM analysis involved three models to test the hypothesized relationships, considering mediation and moderation effects. The study used the Baron and Kenny (1986) three-step method for testing mediation effects and addressed the aggregation of individual-level data to the organizational level by assessing intraclass correlation coefficients (ICC).

The HLM analysis revealed significant findings. Communication climate negatively influenced turnover intention (p < 0.01). Job stress positively influenced burnout (p < 0.01), and burnout positively influenced turnover intention (p < 0.01). Salary level negatively influenced turnover intention (p < 0.01). Communication climate positively influenced organizational identification (p < 0.01), which in turn negatively influenced turnover intention (p < 0.01), supporting a mediating effect. Job stress also indirectly influenced turnover intention through burnout (mediation effect, p<0.01). Communication climate moderated the relationship between job stress and turnover intention (p < 0.01); a positive communication climate weakened the positive relationship between job stress and turnover intention. However, communication climate did not moderate the job stress-burnout or burnout-turnover intention relationships. The hypotheses suggesting a direct negative relationship between communication climate and turnover intention and a direct positive relationship between job stress and turnover intention were not supported.

The findings highlight the crucial role of communication climate and organizational identification in reducing turnover intentions among real estate agents. A positive communication climate fosters a sense of belonging and reduces the negative impacts of job stress. Burnout serves as a significant mediator between job stress and turnover intention, emphasizing the importance of addressing burnout to reduce turnover. The moderating effect of communication climate on the job stress-turnover intention relationship suggests that organizational interventions focusing on improving communication can effectively mitigate the negative effects of job stress. The results are consistent with previous research indicating that organizational identification is a key factor in reducing turnover. The study also offers practical implications for real estate managers, suggesting strategies for improving communication, reducing stress and burnout, and offering fair compensation to retain employees.

This study offers valuable insights into the factors driving turnover among real estate agents, highlighting the significant roles of communication climate, organizational identification, and burnout. The findings emphasize the importance of creating a positive organizational climate that fosters a sense of belonging and supports employee well-being. Future research could explore the role of other organizational variables, such as performance appraisal systems and reward structures, in reducing turnover. Further investigation into the differences in turnover intention between agents selling new and pre-owned homes is also warranted.

The study's limitations include its focus on real estate brokers primarily dealing with pre-owned houses in Tainan City. The generalizability of the findings to other regions or types of real estate agents may be limited. The study also did not examine the potential moderating effect of salary level on the relationship between job stress or burnout and turnover intention. Future studies should address these limitations to enhance the breadth and depth of the findings.