Abstract

Employee turnover remains a significant challenge for organizations, particularly in Uganda's industrial sector. This 
study investigated the effect of promotion as a reward management strategy on employee retention at Hima Cement 
Factory, Kasese District. Anchored on Maslow’s hierarchy of needs, the expectancy theory, and the two-factor 
theory, the study employed a descriptive cross-sectional design using a mixed-methods approach. A total of 106 
participants were selected from a population of 145 employees using Slovin’s formula and proportionate sampling 
across departments. Data were collected using structured questionnaires and interviews, analyzed using SPSS (v27), 
and triangulated with thematic analysis for qualitative insights. The findings indicated that promotion practices at 
Hima Cement were inconsistent and often perceived as unfair. Notably, only 13.2% of employees agreed that 
promotions were based on merit or achievements, while 52.8% disagreed with the fairness of promotion procedures. 
Although 76.4% acknowledged that some promotions came with benefits, the majority felt that the process lacked 
transparency. Furthermore, 73.5% were uncertain whether similar benefits were given across promotions, reflecting 
poor internal communication and inequity. The overall mean score for promotion-related rewards stood at 3.06 (SD 
= 1.08), suggesting neutral to low satisfaction, with most employees expressing disagreement or uncertainty about 
promotional policies. Low scores in employee retention predictors were associated with negative perceptions of 
promotion strategies. The study concludes that ineffective promotion systems undermine employee motivation and 
retention. It recommends establishing clear, merit-based promotion criteria, consistent reward benefits, and open 
communication to improve organizational loyalty and reduce attrition.