Motivating language and intent to stay: An investigation into the mediating effect of job satisfaction in a backsourced information technology environment

Information technology (IT) backsourcing is a recent phenomenon that is gaining momentum because effective sourcing strategy can have major implications for organizations regarding financial investments, IT infrastructure, and changes in employee outcomes. Recent studies suggest that organizations are bringing their previously outsourced IT operations and services back in-house with one reason being employee dissatisfaction with prior outsourcing experiences. Because IT employees are integral to an organization's performance and productivity, the loss of these employees during and after a backsourcing transition can have harmful effects on both backsourcing and organizational success. Research has shown that effective use of motivating language as a leadership communications strategy during times of change can improve employee outcomes such as job satisfaction and their intent to stay with the organization. The current study evaluated the mediating effect of job satisfaction on the relationship between a supervisor's use of motivating language, and an IT employee's intent to stay with an organization where backsourcing was occurring. Survey respondents were IT employees who had experienced IT backsourcing within the past five years. One hundred five IT professionals over the age of 18 completed the questionnaire. The results from hierarchical multiple linear regression indicated that motivating language significantly predicted both job satisfaction and intent to stay, and job satisfaction significantly predicted intent to stay. Although there was a robust relationship between motivating language and intent to stay, the link was not a direct one. It was found that job satisfaction partially mediated this relationship.