THE IMPACT OF QUALITY OF WORK LIFE AND ORGANIZATIONAL COMMITMENT OF EMPLOYEE IN COMMERCIAL BANK OF ETHIOPIA

Abstract

In any country, banking sector plays a vital role for overall development of primary and industrial sectors. The employees in commercial bank of Ethiopia take painful effort to deliver the multiple needs of its customers. Banking industry is still emerging industry in our country; the entry of private banks laid foundation stone and passed a mile journey from its start. The study attempted to test the relationship between quality of work life and organizational commitment of employees in Commercial Bank ofEthiopia.Theresearchiscross-sectionalfieldsurveyandcorelationalstudy. Among a total of around 7100 employees currently working in CBE in Addis Ababa City, 120 employees were selected as the sample of the study. The standardized questions of Walton (1974) QWL and OC of Meyer et al. (1990) were adapted to undertake the study. Questionnaires were distributed to 120 employees but, 112 respondents filled and replied were found valid for analysis. Spearman correlation and Ordinal logistic Regression was used to analyse the gathered data. The results of the study indicate that QWL has a significant effect on organizational commitment of employees in CBE. the five dimensions of QWL have a significant relationship on OC of employees. Based on the regression result, it can be concluded that 96.5% of the change in OC is explained by QWL in CBE