You are on page 1of 14

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

An Empirical study on the Factors


Influencing Employee Satisfaction in the
Public Health Sector of Pakistan
Supervisor
Abdul Kabeer Kazi
MBA W

A research report submitted for the course of


Methods of Business Research

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Approval and Declaration Sheet


The research report named An empirical research on the factors influencing
Employee Satisfaction

was prepared and submitted by ____________ d/o

_______________ (ID: ____) , and it has been satisfactory in terms of scope, study
, matter , quality and presentation has partial fulfillment for the course of Methods
for Business Research.

Approved By

-------------------------------------------------Abdul Kabeer Kazi


Course Supervisor
Associate Dean, Faculty of Management Sciences
KASBIT
MBA W
April June 2013

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Abstract
Employee satisfaction has always been a critical issue and keen of interest for all
organizations, it has been researched by many authors to find the factors
influencing the employee satisfaction directly. This study aims to provide a clear
frame work for the employee satisfaction, in reference to the relations of employee
with its organization, pay and benefits offered, work place environment, job
satisfaction.

The study will focus on the influences directly related with the

employee satisfaction towards, job satisfaction, Working Condition and Job


security and rewards, which are given by its organizations that have a direct
relation with the employee satisfaction rate.
Working Conditions, job Satisfaction and Rewards and benefits have a direct
relation towards employee satisfaction, as these are the common variables which
motivate the employees.
Key words: working conditions or working Environment, job satisfaction, Job
security and Rewards.

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Acknowledgement
We wish to express our sincere gratitude to our Course instructor Assistant
Professor Sir. Abdul Kabeer Kazi, for his patience, support and guidance. We are
thank full to all those who have helped us in conducting the survey, and filling up
the questionnaire, data analyses, data collection, facts and figures, all together it
was a great experience in the formation of Empirical Research Report.

(your name)(id)
(your name)(id)
(your name)(id)
(your name)(id)
(your name)(id)

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Table of Content
Approval & Declaration
Abstract
Acknowledgement
Table of Content
Chapter No. 1 Introduction to Research Problem
1.1 Introduction -------------------------------------------------------------------1.2 Problem Area -----------------------------------------------------------------1.3 Research Objective -----------------------------------------------------------

06
07
07

Chapter No. 2 Literature Review


2.1 Working Conditions ----------------------------------------------------------2.2 Job Security --------------- ----------------------------------------------------2.3 Rewards & Benefits -----------------------------------------------------------

08
08
09

Chapter No. 3 Theoretical Frame work of Hypothesis


3.1 Research Questions ----------------------------------------------------------2.2 Hypothesis
------- ----------------------------------------------------2.3 Theoretical Framework--------------------------------------------------------

08
08
09

FACTORS INFLUENCING EMPLOYEE SATISFACTION

1.

June 1, 2013

INTRODUCTION TO RESEARCH PROBLEMS

1.1 INTRODUCTION:
Employee satisfaction is the extent to which employees are happy or content with
their jobs and work environment. Employee satisfaction is the terminology used to
describe whether employees are happy and contented and fulfilling their desires
and needs at work.
Employee satisfaction or job satisfaction is, quite simply, how content or satisfied
employees are with their jobs.
Employee satisfaction increases employees morale, productivity and employees
loyalty. Employee satisfaction creates innovative ideas among the employees.
Individuals may become more loyal towards the organization. Employees will be
more satisfied if they get what they expected, job satisfaction relates to inner
feelings of workers. Naturally it is the satisfied worker who shows the maximum
effectiveness and efficiency in his work.
Employee Satisfaction has a direct relation with Job satisfaction and employee
Loyalty as researched and mentioned by Dr.R.Anitha, Sep 2011, pp. 36-47.
Employee satisfaction has been a critical issue for the organizations for decades,
and it has been examined that Employee satisfaction is highly based on the benefits
and rewards provided to the employees, it increases its motivation level and thus
the employee engages himself towards betterment of organizations goals and
achieving the aims and objects with full motivation, which results in productivity.

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Employees satisfaction also has significant influences with the working conditions
or environment to which the employee is surrounded by. If the environment isnt
pleasant and motivating, than there might be a difference in the satisfaction level of
the employee, thus it is highly observed and researched that employee satisfaction
highly depends on the three major factors that are directly influencing Satisfaction
of Employee i.e. Job security, Working Conditions, Rewards and Benefits.

1.2 PROBLEM AREA:


Employee satisfaction is found to be influenced by the factors having direct
relation with working condition, Job security, Rewards and benefits.
Will be briefly demonstrating the satisfaction level of the employees working in
the Public Health Sectors with relation to working Condition, Job Security,
Rewards and benefits.
All the variables are positively affecting the employee satisfaction level.

1.3 RESEARCH OBJECTIVES:


To analyze employee satisfaction with working Conditions.
To analyze employee satisfaction with its job security.
To analyze employee satisfaction with the benefits, pay and rewards offered
by its organization.

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

2. LITERATURE REVIEW:
2.1 Working Conditions:
According to (Sameer Rajbhandary and Kisalaya Basu, 2009) working conditions
were found to have a strong significant, positive influence on the factors
influencing Employee satisfaction. A study conducted by (Department of
Anesthesiology and Critical Care, June, 2011) showed 96% employees with a
positive satisfaction level with relation to working conditions. A Survey conducted
during SARS crisis in Canada by (Zdravko Marjanovica, Esther R. Greenglassa,
Sue Coffey, Feb 2006) showed several significant relations between employee
satisfaction and Working Condition. A study on European older workers by
(Thierry Debrand and Pascale Lengagne, 2008) estimated that Working conditions
are an important variable, which has a positive influence on Employee Satisfaction.
An analysis on working environment by (Dr. K. Chandrasekar, 2011) explains that
work productivity and employee satisfaction is decreased by working conditions,
which clearly shows a positive relation between the factors influencing employee
satisfaction with working condition. A study conducted in Mental Health and Burn
Out unit Hospital in Japan by (Yasuharu TOKUDA1, Keiko HAYANO, Makiko
OZAK,Seiji BITO, Haruo YANA and Shunzo KOIZUM, 2006) , says that a
number of employees left the hospital due to bad workind conditions, which
indicates that there is a positive influence of working condition on Employee
satisfaction. A research carried by (Habib Akhtar Bahalkani, Ramesh Kumar,
Abdul Rehman Lakho, Benazir Mahar, Syeda Batool Mazhar, Abdul Majeed,
2011) at the Health Care Setting in Islamabad, simply demonstrates that nurses are
dissatisfied, working conditions being one of the major reason, which results in a
8

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

positive influence with employee Satisfaction. A study conducted on the nurses in


the public health services of Botswana by (A.H. HWARA, June 2009) clearly
shows significant positive influences of working condition on employee
satisfaction level. The results showed that 67.3% nurses disliked the working
conditions which affected the satisfaction level.
2.2 Job Security:

A survey report by (Human Resource Management, 2009) conducted a survey


which showed a result that around 86% of people are overall satisfied with their
Job Security, thus which show a positive influence of Employee satisfaction with
Job security. According to (GIL A. PREUSS, BRENDA A. LAUTSCH, 2002)
examines that the job security, will increase employees level of satisfaction and
motivation, which indicates that job security has a positive significant on employee
satisfaction. A study conducted in different European countries by (Andrew Clark,
Fabien Postel-Vinay, 2005) have constructed indicators to evaluate the perception
of Job security among employees, it shows a positive relation between employee
satisfaction with job security, as employees are more satisfied to work when they
are sure of their job security. A survey conducted by individual and employment
characteristics by (Frdric Salladarr, Boubaker Hlaimi, Franois-Charles Wolff,
2011) indicates a relation between job security and satisfaction, which is because
of the difference in employee characteristics. A study by (Gholamreza Jandaghi*,
Ali Mokhles and Hamid Bahrami) indicates that there is a significant positive
relation between employee satisfaction and Job Security. A study conducted in
Public Haelth Sector of Zimbabwe by (Dorothy Mutizwa-Mangiz, 1998) finds that
workers Perceived value for satisfaction is increased with response to Job Security,
which shows a positive relation of Job Security with Employee Satisfaction.
9

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

According to study conducted in Canada by (Juha Mikkonen, Dennis Raphael,


2010), clearly show that the insecurity of jobs increases day by day, which show a
positive relation.

2.3 REWARDS & BENEFITS:


A research carried out in Norway by (Jorunn Theresia Jessen, 2010) considers that
social rewards when valued, perceived are found to have a positive influence on
employee satisfaction. A study by (Bahaudin G. Mujtaba, Shandana Shuaib, 2010)
demonstrates a positive relation between employee satisfaction and Rewards and
benefits. Its also elaborates on the fact that it is an important component for
attracting employees and engaging them, which also increase their motivation
level. A survey conducted by (By Brad Hill and Christine Tande, 2006) explains
that rewards are among the top 3 factors that have a positive influence on
employee satisfaction. According to the research conducted in Uganda Health
workers by (Ministry of Health National Health Policy, 2009) clearly shows that
employee satisfaction level of the medical staff including nurses, Doctors, highly
significant positive influence with respect to Rewards & Benefits. A research
survey examined in the health sector in Lagos State, Nigeria by (ABOSEDE,
Adebiyi Julius. & ADEKUNLE, Olusegun, 2012), the impact of rewards &
Benefits has a positive relation with the employee satisfaction level.

10

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

3. THEORETICAL FRAME WORK OF HYPOTHEIS:

2.1 Research Question:


1. What is the impact of working condition on The Factors Influencing
Employee Satisfaction in the public health sector of Pakistan?
2. Is there any relation between working condition and The Factors Influencing
Employee Satisfaction in the public health sector of Pakistan?
3. What is the impact of Job Security on The Factors Influencing Employee
Satisfaction in the public health sector of Pakistan?
4. Is there any relation between Job Security and The Factors Influencing
Employee Satisfaction in the public health sector of Pakistan?
5. What is the impact of Rewards & Benefits on The Factors Influencing
Employee Satisfaction in the public health sector of Pakistan?
6. Is there any relation between Rewards & Benefits and The Factors
Influencing Employee Satisfaction in the public health sector of Pakistan?

2.2 Hypotheses:
Working Condition:
Ho A 1:

There is no influence of working condition on factors influencing

Employee Satisfaction in the public health sector of Pakistan


H1 A 1: There is a positive relation.

11

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Job Security
Ho A 2: There is no influence of Job Security on factors influencing Employee
Satisfaction in the public health sector of Pakistan
H1 A 2: There is a positive relation.

Rewards & Benefits


Ho A 3: There is no influence of Rewards & Benefits on factors influencing
Employee Satisfaction in the public health sector of Pakistan
H1 A 3: There is a positive relation.

2.3Theoretical Frame work:

WORKING
+ VE CONDITION

JOB
SECURITY

REWARDS &
BENEFITS

+ VE

+ VE

FACTORS INFLUENCING
EMPLOYEE
SATISFACTION

+ VE

12

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

References:
ABOSEDE, Adebiyi Julius, ADEKUNLE, Olusegun
International Journal of Business and Behavioral Sciences Vol. 2, No.11; November 2012
Reward System as a Predicator of Workers Job Performance: The Case of Health Workers in
Lagos State, Nigeria
A.H. HWARA June 2009
MOTIVATION, JOB SATISFACTION AND ATTITUDES OF NURSES IN THE PUBLIC
HEALTH SERVICES OF BOTSWANA
Bahaudin G. Mujtaba, Shandana Shuaib
Journal of Management Policy and Practice vol. 11(4) 2010 111
An Equitable Total Rewards Approach to Pay for Performance Management
Institute of Management Sciences, Peshawar-Pakistan

Brad Hill and Christine Tande, Tandehill Human Capital Consulting Contents
2006 WorldatWork
Total Rewards, the employment Value Proposition
Dr. K. CHANDRASEKAR
International Journal of Enterprise Computing and Business Systems (Online)
http://www.ijecbs.com, Vol. 1 Issue 1 January 2011
WORKPLACE ENVIRONMENT AND ITS IMPACT ON ORGANISATIONAL PERFORMANCE
IN PUBLIC SECTOR ORGANISATIONS

Dorothy Mutizwa-Mangiza, Ph.D.Consultant Abt Associates Inc. November 1998


Major Applied Research 5 Working Paper No. 4
The Impact of Health Sector Reform on Public Sector Health Worker Motivation in Zimbabwe

Emin Kahya
International Journal of Industrial Ergonomics 37 (2007) 515523 Received 26 September
2006; received in revised form 3 January 2007; accepted 8 February 2007
The effects of job characteristics and working conditions on job performance

13

FACTORS INFLUENCING EMPLOYEE SATISFACTION

June 1, 2013

Habib Akhtar Bahalkani, Ramesh Kumar, Abdul Rehman Lakho, Benazir Mahar,
Syeda Batool Mazhar*, Abdul Majeed J Ayub Med Coll Abbottabad 2011;23(3)
JOB SATISFACTION IN NURSES WORKING IN TERTIARY LEVEL HEALTH CARE
SETTINGS OF ISLAMABAD, PAKISTAN
Jorunn Theresia Jessen, Researcher, Norwegian Social Research (NOVA), Norway.
Job satisfaction and social rewards in the social services
E-mail: Jorunn.Jessen@nova.no
Juha Mikkonen, Dennis Raphael 2010
Social Determinants of Health: THE CANADIAN FACTS
Thierry Debrand, Pascale Lengagne Fvrier 2008
Working Conditions and Health of European Older Workers IRDES

Republic of Uganda Ministry of Health National Health Policy II: 2010/11-2019/20,


May 2009 Version (Draft), p 6.
UGANDAN HEALTH WORKERS SPEAK: THE REWARDS AND THE REALITIES
Sameer Rajbhandary and Kisalaya Basu
International Conference on Applied Economics ICOAE 2009 559
Working conditions of nurses and absenteeism: Is there a causal relationship? An empirical
analysis using National Survey of the Work and Health of Nurses

Yasuharu TOKUDA, Keiko HAYANO, Makiko OZAKI, Seiji BITO, Haruo YANA
and Shunzo KOIZUM
Industrial Health 2009, 47, 166172
The Interrelationships between Working Conditions, Job Satisfaction, Burnout and Mental
Health among Hospital Physicians in Japan: a Path Analysis
Zdravko Marjanovica, Esther R. Greenglassa, Sue Coffeyb
Received 17 May 2005; received in revised form 6 January 2006; accepted 28 February 2006
The relevance of psychosocial variables and working conditions in predicting nurses coping
strategies during the SARS crisis: An online questionnaire survey

14

You might also like