Abstract:
The proficient management of employees and their contribution to export processing businesses (EPB) are
commonly accepted as contributing to Sri Lanka's future prosperity. Effective recruitment, selection and
retention of employees are a part of the employment relationship and can enhance work performance and contribute
to business success. Principal focus of the study was to understand the variables and dynamics of the
recruitment, selection and retention process. Qualitative exploratory research investigated the recruitment,
selection and retention activities in export processing businesses in Sri Lanka. Seven constructs were developed by
the Principal Component Analysis (PCA) and then the analysis of variance (ANOVA) with post hoc comparisons was
applied to identify any significant difference. Finally implications, future research needs and directions were
discussed. Research revealed that around 50% of Sri Lankan export processing businesses utilize formal written
policies and procedures to deal with human resource management issues and 49% export processing businesses
employ a person or group of persons, specifically to look after human resource management needs. Thus, it was also
found that Export Processing Businesses with a demographic trading type of 'Company Ltd.' utilize all of the
characteristic constructs of Human Resource Planning practices. Sign in Shop/Business Front was the most valued
method of recruitment while salary/wages package able to offer was the most important issues impacting on
employee recruitment. Completing an application form was the most popular selection method and the most
important strategy identified by Sri Lankan Export Processing Businesses in retaining staff was financial benefits
offered them by the company.
