02.FACTORS INFLUENCING JOB SATISFACTION IN BANKING INDUSTRY

 

What is Job Satisfaction ..

A satisfied workforce is an asset to any organizations. Nowadays, organizations are considering workforce as the source of competitive advantage which creates both tangible and intangible benefits for the organization and as such they are concerned with employees’ satisfaction and well-being.
 
Job satisfaction described how much employees are satisfied with their job and  there are different factors affecting  their satisfaction. factors actors which mostly influenced the job satisfaction are Job security, job    rotation , job enrichment, salary, promotion, working condition, nature of work, benefits, relationship with coworkers, supervision support, demographic factors, working experiences, quality of management, attitude of employee, career opportunities, communication, higher education level, motivation, long term employment. the success of an organisation would be mostly depends upon the satisfaction   of its   employees. Job satisfaction builds through the conditions, Work Environment, Salary, Team Work, Nature of Work, an experience that employees are getting from their work.  Job security is the most common factor for job satisfaction. It clearly states that higher job satisfaction, better will be its functioning in an organization.

Job satisfaction or employee satisfaction has been defined in many different ways by researchers. Some believe it is simply how content an individual is with his or her job, in other words, whether or not they like the job or individual aspects or facets of jobs, such as nature of work or supervision. Despite its wide usage in scientific research, as well as in everyday life, there is still no general agreement regarding what job satisfaction is. One of the most often cited definitions on job satisfaction is the one given by Spector (1996). Job satisfaction is defined as "the extent to which people like (satisfaction) or dislike (dissatisfaction) their jobs" (Spector, 1996). Job satisfaction is a complex and multifaceted concept which can mean different things to different people. Job satisfaction is usually linked with motivation, but the nature of this relationship is not clear. Satisfaction is not the same as motivation. Job satisfaction is more of an attitude, an internal state. It could, for example, be associated with a personal feeling of achievement, either quantitative or qualitative (Mullins, 2005). The results shown above, clearly states the presence of both the factors in overall job satisfaction of employees, however Climate and culture play significant role in comparison to HR policy and procedure.

HR is considered to be   most important asset in any organisation, especially for banks.   It is most important pillar of   economic , social and cultural development. Job satisfaction is the level of contentment a person feels regarding his or her job. This feeling is mainly based on an individual's perception of satisfaction. If job is pleasantness, an employee satisfies his/her job. Generally, bank employees are feeling stress, which can impact job performance, mental well-being, physical health, impact decision making skills and may lead to making unethical decisions. These are obviously

leads to job dissatisfaction. Job satisfaction as a bi-dimensional concept consisting of intrinsic and extrinsic satisfaction dimensions. Intrinsic sources of satisfaction depend on the individual characteristics of the person. Extrinsic sources of satisfaction are situational and depend on the environment. Both extrinsic and intrinsic job facets should be represented, as equally as possible, in a composite measure of job satisfaction.

Job Satisfaction literature views

Job satisfaction can be defined also as the extent to which a worker is content with the rewards he or she gets out of his or  her job, particularly in terms of intrinsic motivation (Statt, 2004). The term job satisfactions refers to the   attitude and feelings people have about their work. Positive and favorable attitudes towards the job indicate job satisfaction. Negative and unfavorable attitudes towards the job indicate job dissatisfaction (Armstrong, 2006). Job satisfaction is the collection of feeling and beliefs that people have about their current job. People’s levels of degrees of job satisfaction can range from extreme satisfaction to extreme dissatisfaction. In addition to having attitudes about their jobs as a whole. People also can have attitudes about various aspects of their jobs such as the kind of work they do, their coworkers, supervisors or subordinates and their pay (George et al., 2008). Job satisfaction is a complex and multifaceted concept which can mean different things to different people. Job satisfaction is usually linked with motivation, but the nature of this relationship is not clear. Satisfaction is not the same as motivation  . Job satisfaction is more of an attitude, an internal state. It could , for example, be associated with a personal feeling of achievement, either quantitative or  qualitative (Mullins, 2005). We consider that job satisfaction represents a feeling that appears as a result of the perception that the job enables the material and psychological needs (Aziri, 2008).

Job satisfaction theories have a strong overlap with theories explaining human motivation. The most common and prominent theories in this area include: Maslow's needs hierarchy theory; Herzberg's motivator-hygiene theory; the Job Characteristics Model; and the dispositional approach.

 Maslow's needs hierarchy theory;

Maslow's hierarchy of needs is an idea in psychology proposed by American Abraham Maslow in his 1943 paper "A Theory of Human Motivation" in the journal Psychological Review. Maslow subsequently extended the idea to include his observations of humans' innate curiosity. 

                                        Maslow's Hierarchy of Motivational Needs In 2 Minutes! 

https://youtu.be/j7OnQiJSdkA

As per the Maslow each person needs to be in five different categories. According   to him   the manager needs to know where an employee  is on the hierarchical pyramid in order to motivate him or her. Then they need to focus on meeting that person’s need that level (Robbins ,1999)As one moves up in Maslow’s pyramid their need become more complicated. In order to reach each higher   level , one should first fulfil  the needs  of the lower level therefore , when the need  in the highest  level of Maslow’s pyramid is met, more job satisfaction is generated  and HR will be converted  in to human capital. It causes    organisation   growth .

Herzberg's motivator-hygiene theory

Frederick Herzberg theorized that employee satisfaction has two dimensions: “hygiene” and motivation. Hygiene issues, such as salary and supervision, decrease employees' dissatisfaction with the work environment. Motivators, such as recognition and achievement, make workers more productive, creative and committed

Motivating Factors

The presence of motivators causes employees to work harder. They are found within the actual job itself.

Hygiene Factors

The absence of hygiene factors will cause employees to work less hard. Hygiene factors are not present in the actual job itself but surround the job. The impact of motivating and hygiene factors is summarized in the following diagram. Note that you will often see motivators referred to as factors for satisfaction, and hygiene factors referred to as Factors for  dissatisfaction.

Motivating factors include:

 »Achievement: A job must give an employee a sense of achievement. This will provide a proud feeling of having done something difficult but worthwhile.

»Recognition: A job must provide an employee with praise and recognition of their successes. This recognition should come from both their superiors and their peers.

»The work itself: The job itself must be interesting, varied, and provide enough of a challenge to keep employees motivated.

»Responsibility: Employees should “own” their work. They should hold themselves responsible for this completion and not feel as though they are being micromanaged.

»Advancement: Promotion opportunities should exist for the employee.

»Growth: The job should give employees the opportunity to learn new skills. This can happen either on the job or through more formal training.

Hygiene factors include:

»Company policies: These should be fair and clear to every employee. They must also be equivalent to those of competitors.

»Supervision: Supervision must be fair and appropriate. The employee should be given as much autonomy as is reasonable.

»Relationships: There should be no tolerance for bullying or cliques. A healthy, amiable, and appropriate relationship should exist between peers, superiors, and subordinates.

»Work conditions: Equipment and the working environment should be safe, fit for purpose, and hygienic

Salary: The pay structure should be fair and reasonable. It should also be competitive with other organizations in the same industry.

»Status: The organization should maintain the status of all employees within the organization. Performing meaningful work can provide a sense of status.

»Security: It is important that employees feel that their job is secure and they are not under the constant threat of being laid-off.

 Job Characteristics Model

job characteristics theory is a theory of work design. It provides “a set of implementing principles for enriching jobs in organizational settings”.

dispositional approach.

In psychology, trait theory (also called dispositional theory) is an approach to the study of human personality. Trait theorists are primarily interested in the measurement of traits, which can be defined as habitual patterns of behavior,   thought, and emotion.

Benefits of Job Satisfaction in Banks

Job satisfaction has many benefits to an organization. Some of the most notable are:

• Lowers voluntary turnover
• Reduces Employee Absenteeism
• Reduces long-term HR costs
• Contributes positive results towards Employee Referral Programs
• Boosts Employee Productivity
• Increases Employee Retention

  Factors Affecting Job Satisfaction

1. Age

Satisfaction has a significant relation with age. It means older workers have higher job satisfaction than newer employees. It is because with longevity in career comes many benefits.

2. Leadership

Job satisfaction in leadership positions is often high. It’s because employees feel more valued when they are in a power position and can show their leadership skills.

A position of leadership helps them be more productive at work. It builds high levels of workforce satisfaction.

3. Challenges

Ethical challenges in an organization give the workers a chance to grow. It has a positive impact on their career trajectory and feel satisfied at the same time. Furthermore, these challenges also mean trust in management, which increases job satisfaction.

4. Responsibilities

Job roles wherein a higher degree of responsibility are involved often adds to higher job satisfaction. It is because people expect to feel valued and appreciated for work done. But, if bombarded with lots of responsibility, it creates a negative effect. This negative effect gives rise to employee burnout. It diminishes employee satisfaction and employee experience. It is important to note here that the amount of responsibilities delegated is fair.

 5. Creativity in the Workplace

Routine work often bores a worker, which often leads to job dissatisfaction. Allowing a sense of creativity in the workplace makes things interesting. It helps the workforce grow and puts a stop to a monotonous work cycle. This sense of creativity gives the workers freedom wherein they can express their work better. It breaks the repetitive day to day cycle, which helps restore fulfillment and satisfaction.

6. Personal Interest

Having a personal interest in the job one does is an essential factor.

It is because here, the job work is more of a hobby, which never ceases to bore the individual.

7. Flexibility

Flexibility in work is desirable for all employees concerned. A flexible work environment and working hours give the employees the gift of time, which boosts employee satisfaction. Moreover, everyone is productive in their own given time. As an organization, employers can receive more out of a flexible work environment.

 8. Two-way Feedback

Proper feedback is vital for every individual to grow. It includes an organization as well. Feedback is a two-way street wherein it must be received professionally as well. Many organizations fail to address this and fall prey to employee attrition. An employee will record a higher sense of satisfaction if the company listens to his/her feedback on the management. Here, when an employee’s voice is valued, it shows equality and professionalism. These attributes multiply employee satisfaction in the workplace.

9. Performance Management

Promotion is an aspect every worker works very hard for and aspires. For securing better employee satisfaction, it is not only enough to exercise employee promotion. It would help if you also did it at the right time. If an individual is working hard, then you must not keep the due promotion for long.

10. Trust

Most of the time, employers fail to deliver on the promises and contracts to employees. Despite the circumstances, it always has a very negative effect on employees. Delaying promised increment of promotion due to rising competition or lack of revenue is one such example out of many. A loss of trust upon the employer by the employee leads to massive job dissatisfaction and attrition.

Conclusion

Banks plays a vital role, in the development process of the country through financing industrial and   agricultural process, local and foreign trade, and allocation of funds to various off-firm employment and self-employment projects. In this process they   plays important role by mobilizing people’s savings into the form of deposits. The performance of a bank mostly depends upon the level of its customer satisfaction. Bank, as a service oriented organization, will lose confidence of the clients if it fails to serve them properly. Any problem related to customer service causes customer dissatisfaction. Everybody will confess the truth that a set of dissatisfied employees can’t satisfy its customers perfectly. Privatization is a   not a solution for making a bank profitable rather job satisfaction of officers is important. So the organisations   should concentrate to build a set of satisfied employees. It must be   admitted   and   appreciated  because  total  success  of  the  bank  depends  on  the  employees’ performance,  efficiency,  honesty, diligence  and integrity.  So  special  care should  be taken  to increase and  maintain their level  of job  satisfaction and  thereby assist  them to  increase their efficiency and productivity since they are playing a vital role in the economic development of any country.

 Referencing 

Attitudes and job satisfaction[online]Available from :Job Satisfaction theories https://www.slideshare.net/speedaoc/ch3-attitudes-and-job-satisfaction[Accesed:19December 2021]