The Effect of Core and Non-Core Function Outsourcing Motivators on Employee Retention in Kenya’s Oil and Gas Industry

Authors

  • Faith Amisi Daystar University
  • Dinah Keino, PhD Daystar University
  • Job Omagwa, PhD Kenyatta University

DOI:

https://doi.org/10.47604/jhrl.3863

Keywords:

Core Function, Non-core Function Outsourcing Motivator, Core Function Outsourcing Motivators, Employee Retention, Resource Based View Theory, Oil and Gas Industry

Abstract

Purpose: The purpose of this study was to evaluate how core and non-core outsourcing motivators influence employee retention in the Kenyan oil and gas industry.

Methodology: Pragmatism philosophy guided the research, adopting a mixed methods design. The study targeted 219 oil and gas companies from a population of 430 firms, with a sample of 125 companies. Data was collected from 211 Heads of Human Resources and Procurement, yielding a response rate of 84.4 percent. Data analysis involved descriptive statistics and multiple regression analysis. Core and non-core outsourcing motivators recorded a strong positive and statistically significant effect on employee retention (β = 0.295, p = 0.000).

Findings: The findings indicate a growing shift in organizational practices toward outsourcing core HR functions to external providers with specialized expertise and advanced capabilities, challenging the traditional view that core activities should be managed internally.

Unique Contribution to Theory, Practice and Policy: Core and non-core motivators are key drivers of workforce outcomes and recommend that organizations implement value-oriented outsourcing strategies aimed at improving service quality, enhancing performance, and fostering employee retention. The study further recommends the implementation of policy frameworks that promote equitable compensation for outsourced employees, reducing disparities between outsourced and in-sourced staff in comparable roles. Such measures can enhance fairness, improve employee satisfaction, and strengthen workforce retention while supporting overall organizational performance.

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Published

2026-07-10

How to Cite

Amisi, F., Keino, D., & Omagwa, J. (2026). The Effect of Core and Non-Core Function Outsourcing Motivators on Employee Retention in Kenya’s Oil and Gas Industry. Journal of Human Resource and Leadership, 11(3), 32–49. https://doi.org/10.47604/jhrl.3863

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