Saturday, 27 April 2019

JOB SATISFACTION AND EMPLOYEE RETENTION



Employee retention is the primary importance of an organization because organizations invest significant resources in training, developing, tangible and intangible compensation and taking the time to build organizational citizenship and buy-in to goals and objectives (Kazi & Zadeh, 2011). Job Satisfaction plays a major role in employee retention.

Hoppock (1935) states that job satisfaction is any combination of psychological, physiological and environmental circumstances, which cause a person truthfully, satisfied with his/her job.  Locke (1976) defined job satisfaction as” a pleasurable or positive emotional state resulting from the appraisal of one’s job or job experience.”  Feldman and Arnold (1983) have defined job satisfaction as,” Job satisfaction will be defined as the amount of overall positive affect (or feelings) that individuals have towards their jobs”.  Davis et al., (1985) stated that job satisfaction is a combination of positive and negative feelings that workers have towards their work. 

When studying above statements by different people it is understood that in order for an employee to continue to stay with the same organization job satisfaction is very important, if the person doesn’t like the job that he/she does or not happy with the working environment or any other, he/she will tempt to leave the organization.



When a person joins a business organization, he/she brings with him/her needs, desires and experiences which he/she expects from the job. Job satisfaction represents the extent to which expectations matches with the real awards. Job satisfaction is closely linked to that individual's behaviour in the work place.

Importance of job satisfaction to retain experts and efficient in an organization

  • Employee satisfaction is of utmost importance for employees to remain happy and also deliver their level best. Satisfied employees are the ones who are extremely loyal towards their organization and stick to it even in the worst scenario.
  • The first benefit of employee satisfaction is that individuals hardly think of leaving their current jobs. 
  •  Employee satisfaction is essential to ensure higher revenues for the organization. 
  • Satisfied employees tend to adjust more and handle pressure with ease as compared to frustrated ones.


Now we will see some of the factors that effects Employee/Job Satisfaction
  •        Working condition
  •        Career/Opportunity Advancement
  •        Workload and stress level
  •        Respect from co-workers
  •        Relationship with the supervisors
  •        Financial Rewards



Job satisfaction affects retention of employees. As when any component of job satisfaction is troubled it will directly affect the employee turnover. Focusing on employee satisfaction can positively impact the organization as it increases employee productivity, performance, quality of work, profits, commitment to the organization and reduces turnover and absenteeism and increases retention.

Therefore to retain efficient and experts of an organization the organization must focus on the job satisfaction of employees.  


References:

Davis, K. and Nestrom, J.W. (1985). Human Behaviour at work: Organizational Behaviour. 7th Edition, McGraw Hill, New York, p.109.

Feldman, D.C., & Arnold, H.J., (1983). Managing Industrial and Group Behaviour in Organizations McGraw-Hill, New York, p. 192.

Hoppock, R. (1935). Job Satisfaction, Harper and Brothers, New York, p. 47.

Kazi, G., & Zadeh, Z. (2011). The Contributions of Individual Variables: Job Satisfaction and Job Turnover. Interdisciplinary Journal of Contemporary Research in Business. Retrieved from http://journal-archieves8.webs.com/984-991.pdf

Locke, E.A.,(1976) The Nature and Cause of Job Satisfaction, In M. Dunnette(Ed.), Handbook of Industrial and Organizational Psychology( Rand McNally, Chicago, 1976) p.1300.

7 comments:

  1. True,Job dissatisfaction or dissatisfaction with leadership is common reason for why many employees leave for other jobs.Employee satisfaction means that workers are fully engaged in their tasks and feel that the company appreciates their effort and diligence.Therefore Job satisfaction definitely to be there for employees retention.

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  3. Company culture will also impact on job satisfaction. If staff are expected to regularly work long hours, it's likely run into issues with employee retention. Burnout is real. A healthy work-life balance is essential, and people need to know that management understands its importance. Encourage staff to take vacation time, and if late nights are necessary to wrap up a project, see if the company can offer late arrivals or an extra day off to compensate and increase job satisfaction. Many companies offer telecommuting or flexible schedules to improve work-life balance for their employees.

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  4. Can we measure the job satisfaction? there should be a specific reason but the problem is how we are identify them?

    Yes, above factors are clearly important. Do we need to address them all to keep our employee satisfied?

    I'm not much into HR, so its difficult to address practical issues but this blog gives me clear idea about how we can retain employees.

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  5. At present the relationship between employee retention and job satisfaction at work has been one of the most researched areas in the field of management. Job satisfaction is the most important factor for organization success. If employees are satisfied at their jobs then they will stick and work for the organization.

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  6. Satisfy human beings not a easy game. We can satisfy employee by short term solutions or boosters but in long run 2nd stage dissatisfaction come across with disappointment. HR department in all large and SSME organisations continously struggling to make employee satisfie and minimise the employee retention. Expectation and perceptions are emotional things no any devices to identify ar indication also all the time employees without present their needs and wants left organization.

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  7. agreed with your post.Discussion about how important is the employee job satisfaction to the organization is explained well in details.
    Also another important aspect is, it helps the organization to enhance its reputation and goodwil among the employee(Yang et al,2015).



    Yang, Lijie, Yaacob, Zulnaidi, Sin Yin, Teh.(2015). The Impact of Corporate Reputation on Job Satisfaction and Financial Performance: A Study of Small and Medium Sized Enterprises in Hebei, China. Journal of Entrepreneurship and Business. 3(1). pp 72-87.

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