Employer Brand Perception and Turnover Intention: The Mediating Role of Trust in Leaders in Sri Lanka’s It Sector

Abstract

Background: Employer branding plays a critical role in retaining skilled professionals in Sri Lanka’s rapidly expanding IT sector. This study examines how employees’ perceptions of their employer brand (EBP) influence their turnover intentions (TI), with a focus on the mediating role of trust in leaders. Objective: Grounded in social exchange theory, the study argues that when employees perceive their organization as a strong employer brand, they are more likely to develop trust in their leaders, which in turn reduces their intention to leave. Methodology: A quantitative, deductive research design was employed, and data were collected using a convenience sampling method from 310 IT professionals working in software development, cybersecurity, and network administration roles across Colombo and Jaffna districts. Established scales were used to measure EBP, trust in leaders, and TI. The data were analyzed using SPSS and regression based on Baron and Kenny’s (1986) four-step mediation procedure. Key Findings: Results revealed that EBP had a significant negative effect on TI (β = –0.278, p < 0.01) and a significant positive effect on trust in leaders (β = 0.521, p < 0.001). Moreover, trust in leaders partially mediated the relationship between EBP and TI (indirect effect β = – 0.134, 95% CI [–0.223, –0.056]), suggesting that employees’ trust strengthens the retention impact of a positive employer brand. Conclusion/ Implication: The study underscores the importance of cultivating trustworthy leadership and strong employer branding strategies to retain talent in Sri Lanka’s IT industry. However, the reliance on self-reported data and a cross-sectional design limits causal generalization. Future studies could adopt longitudinal approaches and examine sectoral differences in employer branding effects.