THE EFFECT OF JOB SATISFACTION ON EMPLOYEES’ ORGANIZATIONAL COMMITMENT; IN THE CASE OF ADDIS KETEMA SUB-CITY TEN WOREDAS LABOR AND SOCIAL AFFAIRS SERVICE OFFICE

Abstract

The general objective of this study was to assess the effect of intrinsic and extrinsic job satisfaction on employees’ organizational commitment in Addis Ketema Sub City Ten Woredas labor and social affairs service office. Therefore, this study was deeming to fill the gaps by identifying and assessing the effects of job satisfaction on organizational commitment, and shade light on competent employees that affect their performance and productivity. The study was conducted at Addis Ketma sub-city ten wordas at Addis Ababa city administration. This study was descriptive and explanatory research. Addis Ketema Sub City Ten Woredas Labor and social affairs service office employees were taken as the overall population of the study. The sample size of this study is 78(80.4% of target population). Stratified sampling technique was used to select the sampled employees from each stratum/woredas. Close ended questionnaires were used as instrument of data collection tools. The collected data was encoded and analyzed using Statistical Package for Social Science (SPSS) computer software program version 20. From the correlation analysis intrinsic job satisfaction has the highest correlation with continuance commitment, r=0.767 and the extrinsic job satisfaction has also the highest correlation with continuance commitment with r=0.438. This implies that the analysis demonstrates a positive and significant effect of job satisfaction on each level of organizational commitment. Intrinsic job satisfaction is the most significant predictors of organizational commitment in all levels at p<0.05 than extrinsic job satisfaction. Thus, the value of organizational commitment increases with every change of intrinsic job satisfaction in each Beta coefficient. In the context of Addis ketema subcity ten woredas labor and social affairs service office both intrinsic and extrinsic job satisfaction should be developed for the attainment of good commitment.