Abstract
This paper describes the scenario of external recruitment and staff retention dilemma at Dar es Salaam University College of Education (DUCE) as experienced between 2021 and 2023. In a similar period, a newly appointed Principal of the College, immediately started to analyze the issue with intention to sort it out by conveying regular meetings with the Head of Departments and senior staff. The case investigated the root causes behind the increased turnover rates among academic staff at DUCE, specifically the case explored the effectiveness of the institution's recruitment policy, weighing the advantages and disadvantages of hiring from external sources versus promoting employees internally. Using the Resource-Based View (RBV) and Equity Theory as guiding frameworks, the study examined the implications of both recruitment strategies on employee morale, satisfaction, and the institution's overall credibility. The business case adopted analytical approach in order to present the event or situation of external recruitment and staff retention dilemma in the College as well as the actions and decisions which were implemented against the problem. The qualitative data were collected by this business case through discussion with the protagonists and analyzed using qualitative methods of explanation and discussions. The research employed a decision-making case design and qualitative approach, involving interviews with 5 key administrative members at DUCE, documentation was used in reviewing the secondary information such as turnover rates statistics and recruitment policy. Findings indicate that external recruitment, while beneficial for bringing in top talent and enhancing the institution's credibility, has demoralized internal staff, leading to higher turnover rates. Conversely, internal promotions enhance employee satisfaction and commitment but may not always meet the qualifications required for senior positions. The study concludes that a dual recruitment strategy, which balances internal promotions to boost morale and external hiring for specialized expertise, could be an effective solution to address the turnover dilemma. Recommendations include developing a robust internal control system, investing in staff capacity building, and aligning recruitment practices with government policies to ensure the institution's long-term sustainability and growth. In view of this, the business case proposes that the management need to strike the balance between the external recruitment objectives and the internal staff promotion procedures while keeping the employee retention system in place.