DETERMINANTS OF EMPLOYEE JOB SATISFACTION IN THE CASE OF COMMERCIAL BANK OF ETHIOPIA

Abstract

This paper attempted to measure the effect of factors of motivation on the basis of the following hypotheses, i.e., such as H1: Promotion opportunities have positive effects on employees’ job satisfaction in the bank, H02: Employees recognition has positive impact on employees’ job satisfaction in the bank, H03: Salary (pay) has positive impacts on employees’ job satisfaction in the bank, H04: Leadership style and employee job satisfaction have strong positive association in the bank, H05: Employees work place friendship is positively correlated with job satisfaction in the bank, H06: Nature of the work/work design has positive effects on employees’ job satisfaction in the bank, H07: Work environment is affected positively employees’ job satisfaction in the bank, H08: Special reward system and employee job satisfaction have positive relationship in the bank, H09: Corporate/firm value and employee job satisfaction have a strong positive linkage in the bank, on job satisfaction of employees in Commercial Bank of Ethiopia (CBE). In order to test hypotheses, the study deployed a quantitative research approach using a sampling technique of a purposive and convenience random sampling by applying multiple regression analysis. In connection with this, 326 questionnaires were distributed, and out of this, 286 sheets of paper were returned back which had a response rate of 86%. According to the analysis, the research obtained summary of findings i.e. two factors only: salary/payment and employees recognition had significance positive effects on job satisfaction, whereas, the rest seven factors promotion, leadership style, workplace friendship/relationship, firm/corporate value, reward system, work condition and environment had scored insignificance result which divulged that there were not had impacts on job satisfaction. Based on the summary of findings, the research was concluded that the aggregate impacts of the motivation factor on job satisfaction of employees were insignificance i.e. unsatisfactory. Considering this, the researcher recommended that the bank should have a clear motivation policy which integrated with the strategy of the bank