ABSTRACT:
Nowadays one of the main challenges which are faced by the managers is job satisfaction and employee loyalty, apparently it seems easy but it is one of the difficult tasks for a manager. The main objective of a manager is to satisfy their employees because they are the most valuable asset of the organization and also there will be less chance for them to leave the organization.
In past few years many researchers has conduct a research in which they want to see that does job satisfaction have any impact on employee loyalty. Employee loyalty talks about that how much an individual is committed and sincere to its work. There are many factors underlying job satisfaction and employee loyalty. In order to achieve the main objective of this study we used survey method. Our result shows that there is no significant impact of job satisfaction on employee loyalty.
INTRODUCTION:
One of the major disputes which managers usually face is job satisfaction and employee loyalty especially when they have to manage their employees. Many researches have been done on this study and they have found that when the employee is satisfied from its work and environment than that employee tend to be more motivated towards its job. The productivity of the company depends that how much the employee is motivated so the manager need to make it sure that the employee is motivated because it has a huge impact on company’s performance.
Since the employees generate revenue for its company and they perform an important role in the significant investments of organization such as locating, recruiting and training. In order to keep their employees motivated and to uplift the performance of their organization; many managers focuses on their benefit packages in which they come up with those packages which fulfill their needs, training programs in which they train their employees for their required task if there is any need to, performance appraisal is the most important factor in which they evaluate their overall performance and work system in which they make it sure that their organization is working with the flow and they enhance this all things by keeping the company policy’s in their mind. One of the main reasons that the manager do all of this is because they want their employees to be loyal with them and it will lead to a longer tenure.
JOB SATISFACTION:
It was getting difficult for the managers to handle their employees so in 1935 hoppock talked about job satisfaction. According to him job satisfaction means that the combination of any external and internal sources which will force them to say that they are satisfied with their job.
When employees have a positive attitude towards their job than that means they are satisfied from their job and they are highly motivated to do their work. Job satisfaction also gets influenced by some factors such as salary, advancement, appreciation, recognition, work environment, supervisor, and colleague and team members.
Basically it is the combination of positive or negative attitude of an individual towards their job. When a company hires an individual on the basis of desires, needs and experience which determines the expectation of the manager from them so then they must have to match with those criteria in order to get a reward. An individual behavior in the workplace actually tells that how much he/she is satisfied from their job. (Davis et al.1985)
Achievement can also be the source of job satisfaction. Job satisfaction has a direct connection with the performance of an employee. One can be only satisfied from their only when they are doing the work of their interest and they have a positive attitude towards their job and whenever they do their job they have a feeling of fulfillment and also they are being rewarded for their efforts. The more the one is happy doing their work the more they are satisfied from their job. Job satisfaction is the main element which will leads to recognition, promotion, income. (kaliski, 2007)
The employees should also be satisfied from their rewards (statt, 2004). people can have different attitude and feelings towards their job either it can be negative which shows that how much an employee is dissatisfied from their work or positive which shows that how an individual is satisfied and enjoying their job(Armstrong, 2006). It is the collection of one’s beliefs and feelings about their job; it varies from one employee to another employee. They can also have an attitude towards their colleagues and supervisors which will show that how much they are satisfied from their job (George at el, 2008).
Since job satisfaction have many sides so because of that people have different meaning or opinion in their mind. People usually think that job satisfaction and motivation is one thing, they have a vague relation with each other. Motivation and job satisfaction are two different things; basically motivation is a part of job satisfaction it all depends that how much a person is intrinsically motivated about their job. The achievement of motivation or job satisfaction can be in qualitative terms or quantitative terms (Mullins, 2005).
In job satisfaction the feelings can lead to the perception about what the job is offering them like their material and psychological need (aziri, 2008).
EMPLOYEE LOYALTY:
Employee loyalty shows that how much an employee is committed to their jobs which further on increase the level of job satisfaction. Satisfaction starts when an employee evaluates the firm or their job internally and when their expectation are met or exceed at a certain level their satisfaction will automatically grow. Employees are loyal only when they attach themselves in an emotional way to their organization. There is a direct relationship between job satisfaction and employee loyalty because the more employee are satisfied from their job the more they will be loyal to their organization.
Through the attitude of the employees we can determine that how much they are loyal to their organization. The employee who is more attached to the organization is likely to have more loyal behaviors and they work to achieve the organizational goals which will increase their productivity, they will be more efficient, and they will have a good relationship with their customers.
People usually refer employee loyalty as the attitude of an individual towards their job which is wrong; it basically means that how an individual is committed to their organization or how much they are loyal to them that even at the times of difficulties they don’t stop supporting their organization which means that they will never leave their company at any circumstances (Solomon, 1992). They will prioritize their company over anything and they will work for the interest of their company and also they never think about switching their job or company (the loyalty research center, 1990). The relationship of employees with their organization will reflect their image to other organization (Bentten Court, Gwinner and Meuter, 2001).
Employee loyalty shows that how much an individual is committed to their organization and how much they are mentally and physically involved in their organizational work. It have three factors; they truly understand the goals and values of their organization, they will also go out of their job description or exert more effort on the behalf of their senior for the betterment of their organization and their aim is to last long in the organization (Mowday, Porter and Steers 1979).
LITERATURE REVIEW:
According to Hassan et al if the organization wants to satisfy their employees then they must use different compensation methods because the satisfaction level varies from one employee to other employee and if they want loyalty from their employees than for that they must empowered them.
Hooi lan wan thinks that there is no such direct relation between job satisfaction and employee loyalty; it’s not necessary that if an employee is satisfied from their job so they will also be loyal to their organization. Employee Satisfaction plays a key role in the field of sales and services because they contact directly with the customers and if they show a positive attitude towards their company than that will encourage them to buy their product or deal with their organization (jain and Singh, 2003). Khare and pandey 2012 they did a research together to find that does employee satisfaction and organizational commitment have a direct influence on the employee loyalty so the results of their research shows that these both factors have a direct impact on employee loyalty. According to kumari and pandey (2011) performance of the organization solely depends upon the attitudes of the employee towards their job if they have a positive attitude then their performance will be high and if they have a negative attitude then their performance will be low.
After testing many factors of the job satisfaction kabir and parveen (2011) find that the manager should enhance those factors or points which will improve their company’s performance and which will satisfy them more. Appreciation and rewards also plays an important role in the job satisfaction of the employee it will increase the productivity of the organization because that’s natural if anyone get appraisal or reward for their performance they will perform more better next time ( abugre and sarwar 2013). Adjetey and prako (2013) they both think that there is direct relation between the employee loyalty, performance and commitment. They also find that the personal development and creativity have a positive impact on the employee loyalty. If the manager involves their workers on those works where they can invest their total energy that will increase the performance of the company and they will be more satisfied from their job (bauer 2004). Employees will be more satisfied from their job when they are working in flexible workforce environment and they will be more loyal when they will find opportunities in their organization for themselves. According to akbar et al (2011) if any manager empower their employees than they will have a positive result on the job satisfaction and through their research they find that male workers are more satisfied from their job as compared to female workers.
OBJECTIVES:
- This research aim to develop a measure that can be used for evaluation of job satisfaction along with employee loyalty
- There are several factors that have major impact on job satisfaction and employee loyalty and this study aims to find out all these factors.
- The impact of job satisfaction on employee loyalty is going to be discussed among academicians. Identification of new areas for research is the last objective of current study.
RESEARCH METHODOLOGY:
DATA COLLECTION AND MEASURMENT SCALE:
The study was based on teachers in the Institute of Business Management. The main purpose was to see the impact of job satisfaction to employee loyalty. For this purpose, a research was carried out in IOBM among the faculty, the data used was primary data, we carried out a questionnaire survey which consisted of 10 questions, 5 of which showed job satisfaction and the other 5 showed job loyalty. The questionnaire was based on three options; Yes, Maybe and No. Samples of 50 teachers were used. The questionnaire is as follows:
JOB LOYALTY:
Please take a few minutes to tell us about your job and how the organization assists you.
- Will you go out of your way to do something which brings benefit to your organization?
| Yes | Maybe | No |
- Do you have any idea what your organization vision is and how your performance is contributing to attain that vision?
| Yes | Maybe | No |
- If you get a similar job in a different organization will you go?
| Yes | Maybe | No |
- Do your values and the values of your organization differ?
| Yes | Maybe | No |
- Do you regret working for this organization?
| Yes | Maybe | No |
JOB SATISFACTION:
- Does your work give you a feeling of personal satisfaction?
| Yes | Maybe | No |
- Is your job utilizing all of your skills and abilities?
| Yes | Maybe | No |
- Does your organization embrace diversity and do you understand why it is important for your organization?
| Yes | Maybe | No |
- Does your manager appreciate and recognize your efforts?
| Yes | Maybe | No |
- Are you satisfied with the information which is provided by the management as per your division activities?
| Yes | Maybe | No |
DATA ANALYSIS AND INTERPRETATION:
Every Yes was scored as 1, maybe as 0 and No as -1 except question 3, 4 and 5 of job loyalty which were scored as 1 for No, 0 for maybe and -1 for Yes. After the surveys were filled, we gave each answer their respective score and then made a tally graph which made it easier to count the final result. The result that came was that for every 88% people who are satisfied with their jobs, 64% of them are loyal towards their job as well.
HYPOTHSEIS TESTING:
Our hypothesis which said there is no significant impact of Job satisfaction on Job loyalty was proved wrong as the result of our research showed a link between job satisfaction and job loyalty.
DISCUSSION AND CONCLUSION:
Employees are loyal when they will go out of their way to do some work for their organization, they never want that their organization face any harm because of them and they will all the time think about their organization success and also they never replace their organization with other organization whereas job satisfaction means that what an individual feels towards their job it can be positive or negative; the positive feeling will lead to a better performance where the negative feeling will decrease the performance. Managers can increase the satisfaction of their employees by giving them reward, appreciation, bonuses, perks, advancement. A research has been conducted which shows that the job satisfaction have a direct impact on employee loyalty because as the employees will have more authority and they have more power in decision making then it’s more likely that they will be loyal to their organization ( bordin, bartram, gian, 2007). Hence the article international journal of learning and development support our hypothesis testing because in there article they say that there is a significant relationship between the job satisfaction and employee loyalty.
