Determination of Human Resoruces Policies Based on Regional Labour Dynamics by Cluster Analysis

Regional labour force differences create strategic and operational challenges for national service sector firms, particularly in securing comparable employee competencies and maintaining consistent service quality across regions. This study analyses regional labour force dynamics in Türkiye and examines how human resource policies can be aligned with regional labour market profiles. Using 2023 provincial data from the Turkish Statistical Institute (TurkStat), six labour market indicators for 81 provinces were analysed through K-means clustering. The results classify provinces into three clusters: metropolitan cities, characterised by higher education levels, stronger knowledge-intensive service capacity and a larger working-age population; medium-sized cities, with relatively balanced labour market structures but more limited knowledge-intensive service development; and disadvantaged regions, marked by lower labour force participation, higher unemployment and weaker human capital conditions. Cluster differences were further examined using descriptive statistics, one-way ANOVA and Tukey HSD post hoc tests. Based on these findings, the study proposes cluster-specific HR policy priorities for service sector firms, including talent attraction and retention strategies for metropolitan cities, skill development and retention-oriented practices for medium-sized cities, and training and capacity-building policies for disadvantaged regions. By linking provincial labour market profiles to cluster-specific HR priorities, the study contributes to strategic human resource management research and regional labour market studies, while offering practical guidance for policymakers and service sector managers.