'Faculty of Economics and Business, University of Zagreb'
Abstract
Job satisfaction, work engagement and employee loyalty are popular human resource (HR) concepts that significantly contribute to individual and organizational performance. While they have been widely studied, their interplay was rarely explored. Therefore, a field study was conducted on the sample of 567 employees from a large-sized Croatian organization. We have examined the interaction among job satisfaction, work engagement and employee loyalty. The correlation analysis revealed significant positive relationships between explored HR concepts. Single and multiple regressions showed that job satisfaction is a significant predictor of work engagement, while work engagement strongly predicts employee loyalty. Furthermore, a mediation analysis confirmed that work engagement mediates the relationship between job satisfaction and employee loyalty