THE RELATIONSHIP BETWEEN EMPLOYEES’ PERCEIVED LEADERSHIP STYLE AND JOB SATISFACTION: THE CASE OF COMMERCIAL BANK OF ETHIOPIA

Abstract

The purpose of this study was to assess the effects of employees perceived leadership style and their job satisfaction in case of commercial bank of Ethiopia Addis Ababa regions. The study employed explanatory research design and quantitative research methods employed. Primary sources of data were used in the study. In addition the study employed a simple random sampling technique to collect data from professional employees of commercial bank of Ethiopia found in branches under the districts of Addis Ababa and head office. Accordingly, 386 questionnaires were distributed and 375 were obtained & used for further analysis. The collected data was analyzed using SPSS software version 20. In addition, to analyze the collected data descriptive statistics (frequencies, means & standard deviations), Correlational and regression analysis is used to investigate the relationship between leadership styles and job satisfaction. The finding of this study indicated that job satisfaction of CBE employees is significantly affected by the two types of leaders behavior (transformational and transactional leadership style) in addition, it was found that Laissez-faire leadership style has a negative effect on job satisfaction of CBE employees while the remain two behaviors (transformational and transactional leadership style) had a positive effect on job satisfaction .Accordingly the researcher forwarded the following recommendation. The bank should determine the appropriate leadership style to implement for employees to achieve organizational goal, the leaders should lead by example in certain situations to provide as a role model for subordinates, the leaders in CBE should to implement its standardize leadership style & should Further research studies can be conducted on the investigation of other factors such as demographic factors , Future studies can benefit by including leadership styles other variables in determining employee performance.