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This study examines when and why internal job transitions enhance employees’ motivation and retention. Building on the Challenge–Hindrance Framework and the Self-Determination Theory, we hypothesize that transition challenges (i.e., horizontal and vertical transition magnitude) satisfy people’s basic psychological needs and may therefore enhance motivation and retention, whereas transition hindrances (i.e., increased work–life conflict) thwart basic needs satisfaction and are accordingly likely to decrease motivation and retention. In addition, we argue that transition resources (i.e., social support and personal control) may boost the impact of transition challenges and buffer the impact of transition hindrances. Hypotheses were tested with 173 employees who recently made an internal transition. We found support for the positive impact of vertical transition magnitude and the negative impact of increased work–life conflict on motivation and retention through an impact on basic needs satisfaction. In addition, social support was found to boost the former path. No other moderation effects were found. Implications of the results are discussed
