Job Satisfaction

ST.
MARY’S UNIVERSITY
SCHOOL OF GRADUATE STUDIES
DETERMINANTS OF EMPLOYEES JOB SATISFACTION
(THE CASE OF COMMERCIAL BANK OF ETHIOPIA, NORTH ADDIS

DISTRICT GRADE TWO CITY BRANCHES)
BY
YENEWUB WUDU
ID NO. - SGS/0351/2007A
JULY, 2017
ADDIS ABABA
DETERMINANTS OF EMPLOYEES’JOB SATISFACTION (THE CASE
OF COMMERCIAL BANK OF ETHIOPIA NORTH ADDIS DISTRICT
GRADE TWO CITY BRANCHES)
BY
YENEWUB WUDU SHITA
A THESIS SUBMITTED TO ST. MARY’S UNIVERSITY SCHOOL OF

GRADUATE STUDIES IN PARTIAL FULFILMET OF THE
REQUIREMENTS FOR THE DEGREE OF MASTERS OF BUSINESS
ADMINISRATION
JULY, 2017
ADDIS ABABA
ST. MARY’S UNIVERSITY
DETERMINANTS OF EMPLOYEES JOB SATISFACTION IN THE CASE

OF COMMERCIAL BANK OF ETHIOPIA
BY
YENEWUB WUDU SHITA
Approved by board of examiners
__________________ ________________
Dean, graduates signature
_________________
___________________
Advisor signature
_____________________ _________________
Internal examiner signature
____________________ __________________
External examiner signature

DECLARATION
I declared that this research is the presentation of my original research work. Wherever any
contributions of others are involved, every effort is made to indicate this clearly, with due
reference to the literature, and acknowledgement of contributors in the research. Information
taken from published or unpublished works of others has been acknowledged in the text and a
list of reference is given.
I declare that this research has not been submitted in any form for another degree or diploma at
any university or other institution of tertiary education. The work has been done under the
guidance of Ass. Prof. Zemenu Aynadis, St. Mary‟s university school of graduate studies.
Researcher„s Full Name: Yenewub Wudu Shita
Signature: __________________
Date: _____________
STATEMENT OF CERTEFICATION
This is to certify that Yenewub Wudu has carried out her research work on the topic entitled
Assessment of employees‟ job satisfaction. The work is original in nature and is suitable for
submission for the award of Masters Degree in Business Administration and never presented in
any degree or diploma.
Advisor: Zemenu Aynadis (Ass.pro.)
Signature: ___________________
Date: _____________________
Table of Contents
ACKNOWLEDGEMENTS ................................................................................................................................ iii
ABSTRACT..................................................................................................................................................... iv
1. INTRODUCTION ......................................................................................................................................... 1
1.1 Background of the study ..................................................................................................................... 1
1.2 Statement of the problem .................................................................................................................. 3
1.3 Research Questions ............................................................................................................................ 4
1.4 Objectives of the Study ....................................................................................................................... 4
1.4.1 General objective ......................................................................................................................... 4
1.4.2 Specific objective ......................................................................................................................... 4
1.5 Hypothesis........................................................................................................................................... 5
1.6 Definition of terms and concepts ....................................................................................................... 5
1.7 Significance of the study ..................................................................................................................... 5
1.8 Scope of the study .............................................................................................................................. 6
1.9 Organization of the study ................................................................................................................... 6
2. LITRATURE REVIEW ................................................................................................................................... 7
2.1 Concept of job satisfaction ................................................................................................................. 7
2.2 Job Satisfaction and performance ...................................................................................................... 8
2.3 Theories on job satisfaction ................................................................................................................ 9
2.3.1 Maslow’s Theory of Motivation/Satisfaction............................................................................... 9
2.3.2 Herzberg’s Two-Factor Theory ..................................................................................................... 9
2.3.3 Equity Theory ............................................................................................................................. 10
2.3.4 Job Design Theory ...................................................................................................................... 10
2.3.5 Vroom’s Expectancy Theory....................................................................................................... 10
2.4 Factors influencing job satisfaction .................................................................................................. 11
2.5 Organizational factors influencing job satisfaction........................................................................... 12
2.5.1 Salary and Benefit ...................................................................................................................... 12
2.5.2 Working environment ................................................................................................................ 13
2.5.3 Relationship with Supervisors .................................................................................................... 13
2.5.4 Promotion and job satisfaction .................................................................................................. 14
2.6 Importance of job satisfaction .......................................................................................................... 14
i
2.7 Empirical literature review................................................................................................................ 15
2.8 Conceptual frame work of the study ................................................................................................ 16
3. RESEARCH DESIGN AND METHODOLOGY ............................................................................................... 17
3.1 Research Design ................................................................................................................................ 17
3.2 Population and Sampling Techniques ............................................................................................... 17
3.3 Sources of Data ................................................................................................................................. 19
3.4 Method of Data Analysis ................................................................................................................... 19
3.5 Reliability and validity ....................................................................................................................... 20
3.5.1 Validity of the study ................................................................................................................... 20
3.5.2 Reliability.................................................................................................................................... 20
4. DATA ANALYSIS AND INTERPRETATION .................................................................................................. 22
4.1 Demographic characteristics of the respondents ............................................................................. 22
4.2 Descriptive Statistics Analysis ........................................................................................................... 24
4.3 Correlation analysis between factors and employees job satisfaction ............................................ 35
4.4 Regression Analysis ........................................................................................................................... 36
4.5 Hypothesis test ................................................................................................................................. 38
5. SUMMARY, CONCLUSIONS AND RECOMMENDATIONS ......................................................................... 42
5.1 SUMMARY OF THE FINDINGS............................................................................................................ 42
5 .2 CONCLUSIONS .................................................................................................................................. 44
5.3 RECOMMENDATION ......................................................................................................................... 45
5.4 Limitation of the study ...................................................................................................................... 46
6. Reference ................................................................................................................................................ 47
ii
ACKNOWLEDGEMENTS
My greatest thanks and praise goes to almighty God, who made all things possible for me in
accomplishing this Master program. He has placed wonderful persons around me whom they
have a significant role in this research.
Next to this I would like to thank my mother for her financial and moral support and great
patience at all times.
My regular thanks also go to my advisor Zemenu Aynadis (Ass. Prof.) for his excellence
guidance, unrestricted and friendly support to make this thesis real. He patiently answers my
questions, motivating and supporting me morally and with his expertise in research.
I would also like to thank my friends Molla Gashu, Million Mendaye, Anketse Moges and
Birhanesilase Assefa for their encouragement, motivation and facilitative environment to
finish the study. Finally, my sincere appreciation is extended to all those individuals who
contributed to the completion of this study and all of my respondents for your time and effort
in taking part in this study.
Yenewub wudu
iii
ABSTRACT
This research focus on identifying determinants of employees‟ job satisfaction in commercial

bank of Ethiopia especially north Addis Ababa district Grade two city branches. North Addis
Ababa district has 44 grade two city branches with 1000 professional employees. The
primary data was collected from employees of 11 branches which were selected by using
systematic random sampling, (kthinterval).Then from these branches, 278 sample employees
who were available in the branch have been selected randomly. For the purpose of the study
only primary has been used and secondary sources have been used as literature. The primary
data were collected using likert scale based questionnaire. In addition, the data was analyzed
using descriptive statistics and inferential statistics. It uses regression model and the R 2
shows that 75.3 percent of the changes in job satisfaction has been explained by the
independent variables. On the other hand, the result of the study shows that there is
significant relationship between independent variables, salary & benefit, promotion, work
environment and relation among supervisors and job satisfaction of employees of
commercial bank of Ethiopia. All the above factors highly influence job satisfaction of
employees. Employees are not satisfied on salary and benefit packages in addition with work
environment. Generally this study shows that most of the employees are not satisfied on their
job. Based on this it is recommended that, the bank should work more on the above factors
especially in salary and benefit and work environment by considering the other competitive
banks salary scale. This helps increase to job satisfaction and to achieve its strategies and
goals through productive work force .It also helps to minimize employee‟s turnover and cost
of recruiting and hiring juniors.
Key words; - job satisfaction, promotion, work environment, salary& benefit, relation with
supervisors, commercial bank of Ethiopia.
iv
CHAPTER ONE
1. INTRODUCTION
1.1 Background of the study
An organization with good management would consider its employees its assets and the primary
source and portal to productivity and financial gains. These organizations give more importance
to employees instead of capital. To make sure that their goals are achieved these companies
foster sure that their goals are achieved these companies‟ foster help of strong policies. If the
Human resource department is satisfied, the employees will be satisfied. These motivated
employees then work with better loyalty and pay the company back with a good productivity and
low turnover rate Somiaet.al(2013).Similarly job satisfaction can also affect labor market behavior
and influence work productivity, work effort, employee absenteeism and staff turnover .it is also
considered as a strong predictor of overall individual well-being as well as a good predictor of
decision of employees to leave a job. So companies should take account job in their plan.
Serrano and Vieira (2005).
However, even with the widespread recognition of the importance of facilitating the relationship
between job satisfaction and motivation in facilitating organizational commitment, there are
varying perspectives on the means of doing this. The earliest strategy is to use wage increases to
link job satisfaction and motivation to organizational commitment, Mosammud (2011). With the
recognition that this is not enough to bring about motivation expressed in job satisfaction, other
perspectives emerged giving particular importance to the training and skills development of
employees. According to
Patterson(2001) applied through the underlying principle of continuous organizational learning.
Since this covers only an aspect of human resource management, a holistic approach emerged
that targets the development of a certain quality of employment life Boshoff(2001) that covers
fair wages, benefits, other employment conditions, good working condition. Smooth relation with
supervisors and career development to support the facilitation of motivation and job satisfaction
directed towards organizational commitment. This means that achieving employee‟s job
satisfaction to develop organizational commitment is not simple or easy and works according to
1
the context of individual firms. Although, there are best practices within organizations, it is up to
the individual organizations to determine which human resource strategies meet its needs and
objectives.
On the other hand, regardless of whether the banks are governmental or private, job satisfaction
of their employees will determine the success of their business. High satisfaction in their job will
lead to higher productivity, higher involvement and less likely hood of resignation compared to
the employees who are less satisfied. Job satisfaction also plays an important role in minimizing
the negative behaviors in the workplace such as frequent absence, lack of discipline in
performance and high turnover. Jegan and Gnanadhas(2011), In addition to this lack of
incentives and low staff moral can in turn, undermine the confidence in the administration,
leading to increase stress for the workers and to serve customers with less respect (Hind.et.al,
2013).
Even though employees are much important and job satisfaction influence the profitability of the
organization, meeting employee‟s job satisfaction is becoming more challenging for companies
including commercial bank of Ethiopia due to different factors.
Commercial bank of Ethiopia has more than 30, 0000 employees with 1,180 branches found to
all sides of the country. The bank tries to give relatively better value for employee‟s job
satisfaction till making it as its core value of the bank. But there is still employees complain
about their job satisfaction and there is also senior employees‟ turnover. The bank reaches up to
prohibition of giving clearance for employees who resign the bank. There are also top
management meetings on issues of job satisfaction. But there is no change on salary and benefit
and other allowances. On the other hand different researches take salary as a basic factor which
affects job satisfaction. But there are also different factors which affect job satisfaction.
Therefore this research tries to identify the factors which highly affect job satisfaction. So, in this
research salary and benefit, work environment, relation among co workers and promotion has
been included to show their impact on job satisfaction.
2
1.2 Statement of the problem
Commercial bank of Ethiopia has a wide market share in the Ethiopian banking industry. Until
the data collection period of this research, it has more than 25,000 employees working in 1,100
branches found throughout the country. When the branches become wide and the number of
employees increases, it becomes difficult to manage and made a gap to follow each feeling of
employees as expected. Even though it use new technology, the workload also increased from
time to time .In a situation the employees may not be satisfied with their job. Since, the work
requires interaction between employees, managers and the customers, and if employees are not
satisfied with their work, the interaction will not be smooth. This type of relation affects the plan
of the bank to improve its customer‟s satisfaction and to increase its competition in the bank
industry. In addition to this it has vision of being world class bank by fulfilling requirements
including making employees satisfied.
In addition to this in commercial bank of Ethiopia, the salary paid for employees who are on the
same status is differed based on the grade of the branches .so, if the activities in the branches are
almost the same and if the payment is different especially in the positions which are above
customer service officer. Grade two branches are homogenous and big in number in any district
and have greater number of employees than grade three and four branches. All the above ideas
are the main reasons to choose grade 2 branches for this study.
In banking, service delivery system also includes the existence of viable work place, job design
procedure, planned policies and smooth interaction between the customers and the institution.
Besides that, it includes employee‟s competency, punctuality, neatness of office equipment and
time effectiveness in providing the service. Even though all the above and other factors affect
the way of effective service delivery, commercial bank of Ethiopia cannot do best on it.
Job satisfaction is not an easy feeling since the employees are always in question to meet their
limitless needs. Nowadays, employee‟s satisfaction is a daily discussion issue in the Banks top
level managers and operational level managers especially in salary. The reason is that employee
satisfaction is the baseline to be successful in the banking industry. In addition to this in
conditional meetings employees also raise many questions about being dissatisfied with the work
load and salary they earn, working conditions, work status, and on other issues as well. There is
3
also high employees‟ turnover and employee compliant on the employee‟s promotion of the
bank.
Some researchers like Senayit and Assefa (2014) found that more than 65% of CBE employee‟s
are not satisfied on their job due to different reasons especially on the current salary payment and
different advantages. But the other finding Musie(2010) shows that employees are satisfied on
their job and prefer the bank to retain. The researcher also done pilot research on the employee‟s
job satisfaction by selecting three branches randomly, through distributing questionnaire for 30
respondents those who are selected randomly, the result shows, 75% of them were not satisfied
by their job due to different reasons. This shows that there is a gap on job satisfaction of
employees‟ .one said they are satisfied, the other said dissatisfied. Those researches takes only
salary and benefits as the basic factor which influence job satisfaction .But in this research , work
environment , promotion and relation among managers (supervisors) are also included.
Therefore standing from above issues, the researcher tries to conduct a research on job
satisfaction of employees‟ of commercial bank of Ethiopia. This study was employed to
investigate determinants of employees‟ job satisfaction in commercial bank of Ethiopia north
Addis district.
1.3 Research Questions

The research tries to seek answer to the following basic questions:
- What are the determinants of job satisfaction?
- Does work environment influence job satisfaction
- How does salary and benefits affect job satisfaction?
- Does promotion affects job satisfaction?
-How does the relation among staffs and managers affect job satisfaction?
1.4 Objectives of the Study

1.4.1 General objective
The general objective of this study is to identify determinant of employees‟ job satisfaction in
commercial bank of Ethiopia north Addis district grade two city branches.
1.4.2 Specific objective

The specific objectives of the study were
4
-To identify determinants of employees job satisfaction.
-To explore the effect of work environment on employees job satisfaction.
-To identify the influence of salary and benefits on employee‟s satisfaction
-To examine if promotion influence job satisfaction.
-To identify the relation among staffs and managers affect job satisfaction
1.5 Hypothesis
H1: salary and benefit highly affects job satisfaction of employees
H2:There exists a strong relationship between working environment and job satisfaction
H3: there is strong correlation between relationships with Supervisors and job satisfaction
H4:The existence of promotion significantly affects job satisfaction.
1.6 Definition of terms and concepts

-Job satisfaction: - is an attitude towards work related condition in organization perspective.
(Okpara, 2006).
- Relationship with supervisors: - Workplace relationships are unique interpersonal relationships with
important implications for the individuals in those relationships, and the organizations in which the
relationships exist and develop (Jex, 2002).
- Working condition: - Factors that affect employees‟ were being on operation or office: amount
of work, work facilities, tools, ventilation, temperature, and workspaces. Generally, it means that
having all necessary materials to operate employees‟ job activities, Gyekye (2005).
- Promotion: The advancement of an employee from one job position to another job position that
has a higher salary range, a higher title together with higher job responsibilities, Soeters(2006).
- Salary: - is a payment for employees within organization for achieving the expected task with in
a specific time and it is highly considered as the most important determinant of job satisfaction
relative to the other factors in order to attract and retain expert labor force (Frye, 2004).
1.7 Significance of the study

This study would have a practical importance for the bank managers‟ especially planning
officers and the human resource department. It also helps to improve employee‟s job satisfaction
in order to meet the customers need and to improve their satisfaction through satisfying
employees. In addition to this, it helps to identify factors affecting employee‟s job satisfaction
5
and its impact on their performance and to take action. The recommendation and conclusion of
this study supports the policy makers in commercial bank of Ethiopia to recognize the weakness
and strength regarding employee‟s job satisfaction, benefits and other related issues which helps
to decrease employees‟ high turnover. This research also used as the input for further study in the
topic.
1.8 Scope of the study

Even though commercial bank of Ethiopia has more than 44 city branches, this research only
considers north Addis Ababa district. The result of this research may not represent the whole
employees‟ job satisfaction. The sample consist clerical employees of 11 grade two city branches
of north Addis Ababa district of commercial bank of Ethiopia. From these branches 278
employees were selected randomly. The study uses close ended questionnaire to collect primary
data.The study includes factors of job satisfaction such as salary & benefit, promotion, working
condition and relation among managers. However, there may be other factors like job security,
type of work, location of the branch, policy of the bank, etc that affect employee‟s job
satisfaction in which this study was not explores. In addition to this, the data was analyzed and
interpreted by using frequencies and percentage with regression and correlation analysis, there
may need of analyzing it by using other models.
1.9 Organization of the study

The first chapter presents an overview of the study .It consists of background of the study,
statement of the problem, objective of the study ,research question .hypothesis of the study,
definition of terms ,significance of the study ,scope of the study and organization of the study.
Chapter two presents literature review, concepts, definitions and conceptual framework. Chapter
three provides an in depth discussion of the research methodology used to investigate the
research problem. The design for the sample selection and size, research instruments used, and
the statistical techniques used to analyze the data is highlighted. Chapter four focuses on the
findings that became apparent from the research study. Chapter five deals with, summery of
findings, conclusion, limitation and recommendation. Conclusions are drawn based on the
obtained results and the possible practical implications of the research findings are discussed.
6
CHAPTER TWO
2. LITRATURE REVIEW
2.1 Concept of job satisfaction

Job satisfaction is the most researched areas of organizational behavior. Different scholars also
say different things and arguments .Job satisfaction simply explains attitude of employees toward
their job. In other words, it describes the level of happiness of employees in fulfilling their
desires and needs at the work. Hence, it is the pleasurable feelings that result from an employee
perception of achieving the desire level of needs. Job satisfaction as an intangible variable could
be expressed or observed via emotional feelings. In other words, it hinges on the inward
expression and attitude of individual employee with respect to a particular job. For instance, an
employee satisfaction is high if the job provides expected psychological or physiological needs.
However, satisfaction is said to be low if the job does not fulfill the psychological or
physiological needs (Cook, 2008).Dissatisfied employees may cause undesirable job outcomes
by stealing, moonlighting and demonstrating high rates of absenteeism. As a result these
employees may withdraw from the position psychologically and display disruptive behavior such
as not being punctual, not attending meetings or wandering about trying to look busy.
Dissatisfaction produces a series of withdrawal cognition in which employees examine the costs
and benefits associated with leaving their job. Employee‟s turnover rate is influenced by their
satisfaction level at the work place .if they are dissatisfied the turnover rate may also increase.
This situation increase in cost of recruitment, selection and training employees, Gazioglu and
Tansel (2002).
Job satisfaction is also considered to be dispositional in nature Staw and Ross (1985). It was
discovered from the dispositional perspective that assessing personal traits can give clear
indication in the forecast of job satisfaction. Disposition considers how personal characteristics
can influence the level of job satisfaction and individual genetic makeup has been identified as a
factor.
Job satisfaction plays significant role in both personal interests and organization success and
therefore valuable to study for multiple reason Lim (2008). In recognizing the role of job
satisfaction phenomena, experts are of the view that it can interrupt labor behavior and influence
7
work productivity and therefore worth to be studied (George and Jones, 2008). This is in line
with the believe that happier workers are more productive, but Staw (1986) debunks this
assertion. Nevertheless, job satisfaction contributes immensely to organizations in the following
dimensions. Improved job satisfaction encourages productivity and has inherent humanitarian
value (Smith et. al., 1969). In addition, job satisfaction directly impacts the level of employees‟
commitment and absenteeism at the workplace (Hardy et. al., 2003).
Besides, job satisfaction ensures that counter productive work behaviors are minimized
according to Organ and Ryan (1995) found that job satisfaction enhances organizational
citizenship behaviors. Moreover, it enhances employees „retention level and avoids the cost of
hiring new ones (Murray, 1999). It has also been demonstrated that satisfied employees have
better health and long live and satisfaction on the job carries over to the employee‟s life outside
the job. From the management point of view a satisfied work force translates in to higher
productivity due to fewer interruption caused by absenteeism or good employees quitting.( van
derzee,2009).
2.2 Job Satisfaction and performance

According to Locke (1969), job satisfaction is a pleasurable or positive emotional state resulting
from the appraisal of one„s job or job experience. This implies that, satisfied employees have
positive attitude toward job, which leads to high performance level whereas dissatisfied
employees have negative attitude toward work that yields low performance result. Job
performance on the other hand, comprises apparent behaviors that people observe in their job
that are important in achieving organizational goals and these behaviors must be pertinent to the
goals of the organization (Rotundo and Sackett, 2002). The burgeoning literature of
organizational behavior and organizational psychology suggest that, job satisfaction and
performance relationship is the most researched area (Judge et al., 2001). Their relationship has
been studied widely over decades and the growing interest in the study of the two phenomena is
unusual (Spector 1997).
8
2.3 Theories on job satisfaction
Different scholars had their own on job satisfaction .they also had different argument on it in
different time .scientific movement by Frederick Winslow Taylor (1911) which considers human
being as economic man and money is believed to be the biggest reason for job satisfaction.
However, this idea was criticized by the Hawthorne Studies (1924-1933) by Elton Mayo and
Associates about the nature of human being. They argue that apart from money, there are other
important elements such as personal morale, positive interrelationships, management
understanding of individual employee and group behavior as other factors that contribute to
employee satisfaction.
2.3.1 Maslow’s Theory of Motivation/Satisfaction

Maslow„s (1943) argument based on humanistic psychology and clinical practices revealed that,
an individual„s motivation/satisfaction requirements could be arranged in pecking or hierarchical
order namely physical needs, safety needs, social needs, esteem/achievement needs, and self-
actualization. The theory explains that when one level of these needs is fulfilled or satisfied it
does no longer motivate. Therefore, next higher level of need must be initiated to inspire the
individual so as to feel satisfied (Luthans, 2005).However, needs are affected both by weight
attached to them and the level at which an individual wants to meet those needs (Karimi, 2007).
2.3.2 Herzberg’s Two-Factor Theory

The Two Factor Theory suggests that there are two factors that could satisfy or dissatisfy
workers in carrying out their responsibilities namely job-satisfiers or motivator factors and job
dissatisfaction or hygiene factors. Job-satisfiers are aspects of the job that stimulate employees
„job satisfaction and it considers aspects of a job such as recognition, achievement,
responsibility, advancement and the work itself. Alternatively, job dissatisfaction or hygiene
factors are regarded as contextual factors which are not necessary motivating but their absence at
the workplace bring forth dissatisfaction Herzberg et al. (1959).
9
2.3.3 Equity Theory
The proponent of this theory, Adams (1963) proposes that workers consider their input (what
they put into a job) in relation to their outcome (what they get from a job) and try to evaluate this
ratio with the input-outcome ratio of their colleagues in other organizations. State of equity is
said to exist if they realize that their ratio is equivalent to that of their colleagues in other
organizations (Robbins, 2005). Similarly, there is inequity if the ratio is not corresponding.
Equity brings forth satisfaction among employees while inequity leads 18 to dissatisfaction.
Perry et. al. (2006) found those employees „satisfaction increases with rewards only when these
rewards are valued and observed as equitable.
2.3.4 Job Design Theory

This theory suggests that the job aspects of an employee will show the level of his or
responsibility in the organization. In following Moynihan and Pandey (2007), job transparence
causes greater job satisfaction as job clarity generates such employees who are more satisfied
with the work, committed to the work and concerned with the work. The theory states five
features of a job including skill variety, task identity, task significant and autonomy as factors
that affect individual„s perception of how important the work is, and eventually affects
satisfaction level. Autonomy represents the level of exercising self control, the more independent
a worker feels, the more responsibilities he or she assumes.
2.3.5 Vroom’s Expectancy Theory

Vroom (1964) suggests that the motivations of people to work to realize their dreams depends on
assumptions that the objective is worthy, and are certain that what they do will aid them
accomplish their goals (Weihrich and Koontz, 1999). Robbins (2005) posits that this theory is
founded on three variables namely valance, expectancy and instrumentality.
Valance refers to the strength of individuals‟ preference for a particular output. Expectancy
considers the likelihood that a specific effort will produce a particular first-level outcome.
Instrumentality on the other hand, is the extent to which first-level outcome will cause desire for
second-level outcome. For instance, employees could be motivated (motivational effort) toward
superior performance (first-level output) to 19 gain promotion (second-level output) (Luthans,
2005).
10
2.4 Factors influencing job satisfaction
Researchers have found that a number of variables are related positively to job satisfaction while
others are more of an indicator of job dissatisfaction. A great understanding of the dimensions of
job satisfaction has led to increasing interest in improving job design. According to (Nel, 2004),
determinants of job satisfaction are broadly categorized in to two, personal factors and
organizational factor. The following are some of Personal factors.
Age: One of the regular findings in job literature is the positive relation between age and
satisfaction. Older employees are said to have a high level of organizational satisfaction
compared to younger ones (Eicharet al., 1991).According to the initial debates concerning
age and employee satisfaction, young people have higher expectations from their jobs;
however, most often they cannot find opportunities to satisfy these expectations and are,
therefore, disillusioned. The natural result of this disillusion is dissatisfaction with the work
environment.
Gender: Although the relation between gender and job satisfaction has been the focal point of
many studies, it has not, so far, been really clarified (Witt and Nye, 1992). While significant
differences were found in some studies in the relation between gender and general satisfaction
level Spector(1997), others have not been able to determine important and significant
differences. This implies that the effects of gender on satisfaction are liable to change
according to the organization being studied, the work done and the work environment.
Academic level: Since higher-level jobs tend to be more complex and have better working
conditions, pay, supervision, autonomy, and responsibility, the level at which an individual
works within the organization might also exert some influence on the satisfaction of
employees. Therefore, most researchers have found out that employee satisfaction increases as
the level of the job increases within an organization hierarchy Howard and Frink (1996).
However, some researchers have found negligible associations between employee satisfaction
and job level and it has been reported that employee satisfaction decreases as job level
increases. The academic position held could have significant effects on employee satisfaction.
Since those who have become professors are less apprehensive while doing their work and are
able to create a relatively more independent working environment for themselves, their
11
satisfaction level is likely to be higher than that of the other academic staff. On the other hand,
those with lower academic positions discomfort and their satisfaction level tends to be lower
than that of professors. Therefore, academic position in the institution has been included in the
study as an important variable.
Work experience: people who are satisfied with their job tend to remain in them longer than
those who are dissatisfied. Person with more experience are more satisfied with their jobs
when compared to those who are less experienced Luthans, F., (2001).
Position in the organization (status):- there exists a differential opportunity to satisfy
various motivational needs within different levels in the organization Wae (2001). Generally it
has been found that the higher is one‟s position in an organization the greater is the level of
satisfaction Saiyandain( 1977). This could be explained by the fact that higher the status of the
employee is more enjoys both relatively better working condition and rewards than lower
level employees do.
2.5 Organizational factors influencing job satisfaction
2.5.1 Salary and Benefit

According to Jitendra (2013), this is the most important factor for employee job satisfaction.
Benefits can be described as the amount of reward that a worker expects to gain from the job.
Employees should be satisfied with competitive salary packages and they should be satisfied
with it while comparing their pay packets with those of the outsiders who are working in the
same industry. A feeling of satisfaction is felt by attaining fair and equitable rewards. Following
points may be delineated under this category, Salaries or wages, Bonus and incentives. For
retention and turnover, salary and benefits are very important tools. It also tends to motivate an
employee who is committed to the organization and enhances either attraction or retention. By
considering this points this research hypothesized that:
H1: salary and benefit has effect on job satisfaction employees of commercial bank of Ethiopia
12
2.5.2 Working environment
Employees are highly motivated with good working conditions as they provide a feeling safety,
comfort and motivation. On the contrary, poor working condition brings out a fear of bad health
in employees. The more comfortable the working environment is more productive will be the
employees. The working environment consists of broader dimension such as work and context
.work include all the ,all the different characters of the job like the job is carried out and
completed involving the task like tasks ,training, control on once own job related activities , a
sense of achievement from work , variety on tasks and the intrinsic value for task. The other
dimension of job satisfaction is context comprise of the physical working condition and social
work condition Gazioglu &Tanselb (2006). According to Hytter(2008), work environment has
only really been discussed by people from the industrial perspective, meaning that the focus has
primarily been on the physical sides such as noise, heavy lifts, toxic substances and their
exposure etc. But work environment affects job satisfaction of employees working in the bank.
Therefore by keeping in mind the finding of the previous studies, this study hypothesized that
H2: There exists a strong relationship between working environment and job satisfaction.
2.5.3 Relationship with Supervisors

A good working relationship with your supervisor is essential since, at every stage, you need his
or her professional input, constructive criticism, and general understanding. The relationship
with immediate supervisor, Communication between employees and senior management,
treatment to employee highly affect job satisfaction Ting (1997). Employees want supervisors
who have a bond with them and who trust them understand them and show fairness. If the
supervisor is abusive the worker is left with no choice but to be dissatisfied with their job.
Supervisors play such an important role in jobs that it would not be wrong to say that employees
leave their bosses, not their jobs. Often outside the formal process of evaluation, the supervisor
gets a chance to discuss the progress of employees. Cooperative and supportive relationships
with colleagues are very important, and contribute to higher levels of employee job satisfaction,
Ellickson(2002).by taking account all the above findings this study hypothesizes
H3: there is strong and significant correlation between relationships with Supervisors
and job satisfaction.
13
2.5.4 Promotion and job satisfaction
Promotion can be reciprocated as a significant achievement in the life. It promises and delivers
more pay, responsibility, authority, independence and status. The opportunity for Promotion
determines the degree of satisfaction to the employee. It includes Opportunity for promotion,
Equal opportunity to grow despite being male or female, training program, Opportunity for use
of skills and abilities Ellickson (2002). Opportunities for promotion are important determinants
of employee job satisfaction. The satisfaction of self-actualization in the workplace is enhanced
by creating opportunities for promotion, allowing autonomy, providing challenging assignments
and the optimal utilization of individual‟s ability. This also influences the satisfaction of
employees Hoole &Vermeulen (2003).based on this findings the following hypothesis has been
formulated.
H4: The existence of promotion significantly affects job satisfaction.
2.6 Importance of job satisfaction

Job satisfaction impacts person general well being for the simple reason that people spend good
part of the day at work .it has been linked to many variables including performance, absenteeism
and turnover.
1. It makes Employees more productive and high performer: researchers like cook(2008)
found weak relationship between job satisfaction and performance .however research conducted
by organ(1988), have found that there is a strong connection between job satisfaction and
performance.
2. Reduce employees’ absenteeism: job satisfaction makes positive intention to work of
employees in the organization. They become satisfied and feel easy then before in the job. But if
they are not satisfied with their job, they would be more likely to call in sick even when they are
well enough to work.
3. Reduce turnover: job satisfaction depends on the employee‟s mental satisfaction to his
working condition. When employees don‟t get facilities and opportunity in their work place then
they remove their place. But when employees get satisfaction in their work then they want to
work as long as possible. So it reduces the labor turn over.
4. Itprovides better working environment:-job satisfaction provides better working
environment in the organization. Employees can submit their problem to the authority. Then
14
authority takes appropriate actions to solve the problem or discuss with the employee. So the
environment is become calm in the organization.
5. It improves team work: if the employees are satisfied on their work they become more
volunteer to do activities in a group and their attention would be on their work rather counting
the time to go home.
6. Enhanced customer satisfaction and loyalty: since the banking is more related to serving customers and if
there are satisfied employees on their work, the serving process also become smooth and customers become
satisfied.
2.7 Empirical literature review

According to Phil (2009), job satisfaction is very subjective to each employee. The factors which
dissatisfy one employee may satisfy the other. Through taking account above idea, there are
different myths regarding job satisfaction. One of them is satisfied employee is more productive
Newby(1999).On the contrary, Jex(2002) states that some people being inclined to be satisfied or
dissatisfied with their work irrespective of the nature of the job or the organizational work
environment. It is more related to internal (mental) state of employees.
Job satisfaction is a widely studied topic by different. Those researches found different results .a
research done by muhamuda (2011), which was done on pharmacists‟ shows that more than 60
percent of the respondents were dissatisfied on their job. In addition to this 62 percent of them
were dissatisfied with work environment, 60.4 percent of them were dissatisfied with salary and
benefit ,more than 65 percent of them were also dissatisfied with relation among supervisors and
55 percent of them were dissatisfied with promotion. All the above factors were also positive and
significant correlation with job satisfaction.
The other research were done on banks by Panchanatham and Sowmya (2011) and shows that,
all the factors salary and benefit, work environment , promotion and relation with manager
supervisors ) have a correlation coefficient of greater than 0.85 which mean that there was
strong and positive relation between those factors and job satisfaction .According to Gedefaw
(2012), a research conducted on Ethiopian secondary school teachers shows more than 55
percent of the respondents were dissatisfied with salary and benefit, work environment and
relation among supervisors and co works. In contrast with this a research conducted by
Nezaam(2005) which was done on mining industry ,shows that employees were satisfied on
15
work environment, promotion and salary and benefit. A research conducted by Senait (2012) on
employees of commercial bank of Ethiopia shows that, more than 65 percent of the respondents
were also dissatisfied with their job. Therefore by considering all the above findings, this
research tries to identify the determinants and assess the current level of job satisfaction of
employees.
2.8 Conceptual frame work of the study

According to Upton, (2001), a conceptual framework can be defined as a set of broad ideas and
principles taken from relevant fields of enquiry and used to structure a subsequent presentation.
Therefore based on the overall related literatures and theoretical frameworks, the following
conceptual frame work has been developed. As expounded in the literature review salary and
benefit, work environment, promotion and relation among management (supervisors) has
significant impact on employees‟ job satisfaction. So employees job satisfaction has taken as
dependent variable while salary and benefit, work environment, promotion and relation among
supervisors as independent variable. The relationship of this variable for this study is referred as
follows.
Figure 1 conceptual Framework of the Research
Work
environment
Salary and benefit
Job satisfaction
Relationship with
supervisor
Promotion and
development
Source: Saeed(2013)
16
CHAPTER THREE
3. RESEARCH DESIGN AND METHODOLOGY
3.1 Research Design

A research design is simply the framework of the study. From different types of research
designs, explanatory type of research design was employed as a main research design for this
study to the realization of intended objective. The reason behind using explanatory research
design is because; it is better to connect ideas to understand cause and effect of something or to
explain what is going on. (Creswell, 2003) stated that the explanatory method of research is a
technique for gathering information about the cause of present existing condition and its effect.
The main objective of this research was to identify the major factors that determine the job
satisfaction of employees of Commercial Bank of Ethiopia North Addis District Grade Two City
Branches. The data collected from the respondents has been interpreted by using frequencies and
percentages to describe the level of employees‟ job satisfaction .In addition to this regression and
correlation has been employed to show whether there is relation among variables.
3.2 Population and Sampling Techniques

As per the information collected from the bank, in 2016/2017, there are1000 professional
employees and Forty four (44) grade two city branches under North Addis district which are the
target population for this study. Systematic random (kthinterval) sampling method has been
employed for this study. From those 44 city branches, 11 sample branches have been selected by
using systematic random sampling. First, the researcher list down the name of the branches
alphabetically. Then, every 4th branch has been selected. On the other hand there are 1000
professional employees‟ branches. From those 278 has been selected. Robison (2001) also
proposes that the appropriate sample sizes for most research to be greater than 30 and less than
500. Therefore the sample size 278 is representative .To determine the sample size, the
researcher used sample size calculator in the following sample size formula.
17
Z 2 * (p) * (1-p)
no =
e 2
Where:
Z = Z value (confidence level)

p = percentage picking a choice
e = margin error,
In the sample size calculator I used
 confidence level 95%

 margin error 5%
(1.96)2*(0.5)*(1-0.5
(0.05)2
=384 respondents
This formula used for any number of populations. However, to select sample size which has
small number of population we use the following formula, Cochran (1963).
Where N= population
no =sample size
n=adjusted sample size
Therefore :-
384/1+ (384-1)/1000
=278
18
3.3 Sources of Data
Primary data
According to Cano (2004), Primary data are fresh data that are gathered for the first time and
thus happened to be original in character. Primary data of the study was information gathered
from employees‟ of the bank. Closed -ended questionnaire was prepared and delivered to
employees of commercial bank of Ethiopia. In order to gather the primary data the questionnaire
was filled by those available employees in each branch during the period of distributing the
questionnaire. Secondary sources like journals, books and thesis has been also used as a
reference.
3.4 Method of Data Analysis

The data generated was to test employee satisfaction level on the promotion, salary and benefits,
the relationship they have with their immediate supervisor and staffs and the work environment
attributes within the bank. Every responses assigned some score in this overall satisfaction level
was determined. Respondents were asked to rate their satisfaction with various aspects of their
work along a 5- point Likert scale, range from 1=strongly dissatisfied to 5=strongly satisfied.
The collected data were analyze and interpreted using statistical package for social science
(SPSS) version 20. Frequencies and inferential statics have been used. In the regression model
there are dependent and independent variables. For this study job satisfaction is the dependent
and salary, promotion, work environment and relation among supervisors are independent .The
regression equation should be
Y(x) = β0+β1x+β2x+β3x+β4x+Ԑ0
Whereas y(x) is job satisfaction
β0isthe constant term
β1is correlation coefficient of salary and promotion
β2is correlation coefficient of work environment
β3is correlation of promotion
β4is correlation coefficient of relation among supervisors(managers)
19
Ԑ0is margin of error
This coefficient shows that units in the independent variables make a variation in dependent
variables by units of coefficients.
3.5 Reliability and validity
3.5.1 Validity of the study

Validity is the most critical criterion and indicates the degree to which an instrument measures
what it is supposed to measure, Kothari (2004). The study was explanatory research design and
uses standardized measurement (job description index) which is forward after conceptual and
empirical investigations. In this research follows Job Descriptive Index (JDI) as a research
instrument which is widely used in business and government and its validity is also authentic
(Smith et al., 1969). Job Descriptive Index seeks to measure employee‟s satisfaction with their
job in five dimensions, salary and benefit, supervision, opportunities, promotion and work
environment. Beside this, the study used simple random and systematic sampling to select the
sampling from which both samples are drawn it let any biases to probability. The internal
consistency of the instruments of the study was also tested by pilot study. Thus it is safe to say
that the study valid instruments.
3.5.2 Reliability
A reliability test is used to assess consistency in measurement items (cerri, 2012). Cronbach‟s
alpha is used to measure the internal consistency of the measurement items. From data analysis
the cronbach‟s alpha for this study is 0.93 which is excellent according to the standard set by
Crossman (2003) and it is over the accepted limit of 0.70. For all individual factors the
cronbach‟s alpha is greater than 0.70 which is shown below that signifies greater internal
consistency between the items and measures the intended dimensions of the variables. As well as
it indicates the acceptability of scale for further analysis.
20
Table .1 result of reliability study
Cronbach‟s alpha Cronbach‟s N of items

alpha
Based on
standardized
item
Salary 0.883 0.866 5
Promotion 0.815 0.832 5
Relation among 0.789 0.762 6
Supervisors
Work 0.828 0.823 7
environment
Total results of 23
all
Independent 0.932
variables
Source: own survey, 2017
21
CHAPTER FOUR
4. DATA ANALYSIS AND INTERPRETATION
This chapter contains the reliability analysis, respondent‟s profile, correlation analysis, over all
employees‟ job satisfaction analysis and multiple regression analysis.
A total of 278 questionnaire were distributed and were collected from eleven branches of
commercial bank of Ethiopia employees .From the distributed 278 questionnaire distributed
only 266 and the response rate of 95 percent. It was analyzed by using the statistical package
for social science (SPSS) version 20 to answer the research questions.
4.1 Demographic characteristics of the respondents

This section presents the demographic characteristics of respondents like gender. Education
level, work experience, job title, marital status and overall satisfaction
Table.2. Frequency of age distribution of respondents
Age Frequency Percent

20 to 35 years 211 79.3
36 to 50 years 49 18.4
above 50 years 6 2.3
Total 266 100.0
As shown in the above table, majority of the respondents (n =211, 79.3 %) fall in the category of
20 to 35 years. This sis followed by 49(18.4%) of the respondents are in the category of 36-50
years. among the respondents only 6 (2.3%) were above 50 years. It indicates that the greatest
number of responders was very young and it is a valuable asset for the bank since this age group
will serve for a long period of time.
22
Table 3 educational background of employees
Education Frequency Percent
Masters 20 7.5
Degree 244 92.5
Diploma 2 0.8
Total 266 100.0
From the respondents 20 (7.5%) of them have were post graduates and respondents of 244 which
represents 91.7% of the total respondents have BA degree. only 2 respondents were diploma
holders which represents 0.8% of the total respondents. This shows that, since, majority of the
respondents were young, the current minimum requirement of the bank is degree holders except
some most senior employees.
Table. 4. Frequency distribution of years of experience
Experience Frequency Percent

1 to 5 years 199 74.8
6 to 10 years 44 16.5
11 to 15 years 11 4.1
16 to 20 years 7 2.6
Above 20 5 1.9
Total 266 100.0
It can be viewed in the above table majority of the respondents (n =199 or 74.8%) fall in the 1-
5 years of experience group and 44 respondents (16.5)fall in the 6-10years of experience group
.while 11respondents (4.1%)fall in 11-15 years experience and 7 (2.6%) of them were in the
category of 16-20 years of experience. Finally 5(1.9%) of them have an experience of above 20
years. This shows that the bank has employees with less experience but egger to adopt the new
technologies and since most of them are juniors, it is easy to shape based on the banks culture.
23
Table.5. Frequency distribution of respondents‟ job title
Job title Frequency Percent
Branch Manager 10 3.8

Customer relationship officer 4 1.5
Customer service officer 164 61.7
Junior customer service officer 33 12.4
Customer service manager 25 9.4
Branch controller 10 3.8
SCSO- Accountant 10 3.8
SCSO- Casher 10 3.8
Total 266 100.0
Source: own survey ,2017
As we can see from the above table manager, branch controller, scso- accounts and scso- casher
has the same frequency of respondents. Each has 10 respondents and represents 4.2% of the
total respondents. Majority of the respondents were customer service officers which represents
n= 164 and 61.7% of the total respondents. Next to that junior service officers were N= 33 and
represents 12.4 % of the total respondents. There were also 25 customer service manager which
represents 9.4% and 4 Customer relationship officers which represent 1.5% of the total
respondents.
4.2 Descriptive Statistics Analysis

Frequency and percentages of employees job satisfaction
Table 6. Opinion of respondents on Current the amount of money paid
Current the amount of Frequency Percent cumulative

money paid is enough Percent
Strongly Disagree 142 53.4 53.4
Disagree 77 28.9 82.3
Neutral 22 8.3 90.6
24
Agree 21 7.9 98.5
Strongly Agree 4 1.5 100.0
Total 266 100.0
The above table shows the result of employee‟s response towards the current amount of money
paid for their work is enough. From the result it can be obtained that 53.4 %(n=142) of the
respondents are strongly disagree , 28.9%(n=77) of them disagree, 8.3% (n=22) are neutral
,7.9%(n=21) of them agree and only 1.5% (n=4) are strongly agree with the salary paid.
Therefore the above result implies that more than half of the respondents are not satisfied with
the current salary payment. Even though it is assumed that the bank pays better and tries to
improve the salary, there is still big difference of payment between the commercial bank of
Ethiopia and competitive private banks.
Table 7. Opinion of respondents of on bonus

The bonus paid to Frequency Percent Cumulative Percent
employees is satisfactory
Strongly Disagree 85 32.0 32.0
Disagree 79 29.7 61.7
Neutral 44 16.5 78.2
Agree 52 19.5 97.7
Strongly Agree 6 2.3 100.0
Total 266 100.0
The above table shows that 32 %( n=85) of the respondents strongly disagree on issue of bonus
payment, 29.7 %(n=79) of them are disagree. Out of the respondents 16.3% (n= 44) of them are
neutral, 19.5% (n=52) of the respondents are agree and 2.3% (n=6) of them are strongly agree.
From the above result we can conclude that above 60% of the respondents are not satisfied with
the bonus payment. The result could be results from the reality of the profitability of the bank
and amount of money paid as bonus related with the work load.
25
Table 8. Opinion of respondents on different benefits offered
Benefits offered by CBE like medical, Frequency Percent
insurance and other benefits are
satisfactory
Strongly Disagree 75 28.2

Disagree 58 21.8
Neutral 49 18.4
Agree 65 24.4
Strongly Agree 19 7.1
Total 266 100.0

The above tables show that result of employee‟s response towards benefits that are offered by
CBE like medical and insurance as compared to other companies in the banking industry. As
shown in the result shows 28.2% (n=75) of respondents strongly disagree, 21.8 %(n=58) of
respondents are disagree on the issue. Whereas, 18.4 %( n=49) are neutral, 24.4% (n=65) were
agreed and only 19(7.1%) of them were strongly agree on it. The result shows that most of them
were dissatisfied. This shows that the benefits gained from the bank is not as of the expectation
of the employees.
Table.9.opinion of respondents on other allowances
Other allowances ( overtime , Frequency Percent
mortgage loan) that are offered
by CBE are also satisfactory
Disagree 83 31.2
Neutral 43 16.2
Agree 43 16.2
Total 266 100.0
26
As shown in the above table 35% (n=95) of the respondents were strongly disagree on the
allowances offered by the bank, whereas 31.2% (n=83) of the respondents were also disagree,
16.2 % (n=43) were neutral on it. Out of the respondents 16.2 %( n=43) were agreed and only
1.5 %( n=4) were strongly agree on the issue. We can conclude that more than 60 percent of the
respondents were dissatisfied on the allowances offered by commercial bank of Ethiopia. This
shows that allowances like mortgage loan does not consider the current market. And also the
limit of the loan is when compared to the service year and salary of the employees compared to
other competitive banks.
Table 10.opnion of employee‟s professional development

CBE is committed to Frequency Percent
professional development.

Disagree 70 26.3
Neutral 57 21.4
Agree 74 27.8
Total 266 100.0
As shown in the above table 27.8% (n=74) of the respondents were agreed on the professional
development commitment of the bank. On the other hand 19.5% (n=52) were strongly disagree
on the commitment of the bank .where as 26.3% (n=700 were disagree on the issue, 21.4 %
(n=57) of the respondents were neutral and 4.9% (n=13) were strongly agree on it. As we can see
from the result the percentage dissatisfied respondents is greater than the satisfied respondents on
commitment of the bank to develop professionals. This result should be the results from
employees get operational and procedural trainings one a year. Therefore continuous training
should be arranged for them.
27
Table 11.opinions of respondents on opportunities to use new technology
There is high opportunity to use Frequency Percent

new technologies and to
upgrading oneself

Disagree 95 35.7
Neutral 62 23.3
Agree 68 25.6
Total 266 100.0
As shown in the above table 35.7%(n=95) of the respondents are disagree, 25.6%(n=68) of the
respondents are agree, 23.3%(n=63) of the respondents were neutral, 12.4%(n=33) were strongly
disagree and only 3%(n=8) of the respondents were strongly agree .As of the result majority of
the employees on opportunities to use new technology. These shows, the bank minimize manual
works which makes employees tired off and done by using current technologies.
Table. 12. Respondents opinion on Opportunities of promotion

There is also high opportunity for Frequency Percent
promotion and transfer
Disagree 118 44.4

Neutral 46 17.3
Agree 40 15.0
Strongly Agree 7 3
Total 266 100.0
The above table shows that 44.4% (n=118) of the respondents are disagree,20.3 %( n=54) of the
respondents were strongly disagree on high opportunities of promotion, 17.3 %( n=46) of them
28
were neutral, 15% (n=40) were agreed on the issue and only 3% of them were strongly disagree
on the opportunity of promotion and transfer. This shows that majority of the respondents were
not satisfied on opportunities for promotion, so the bank should correct the policy. Promotion
helps to motivate, for better performance and retain employees, promoting them at proper time is
better and the bank should give attention.
Table13.opinions of respondents on Fairness of promotion
Fairness of promotion Frequency Percent

Disagree 91 34.2
Neutral 65 24.4
Agree 41 15.4
Total 266 100.0
Source: Own survey, 2017
Regarding the fairness and accordingly of law promotion employees of CBE respond that
34.2%(n=91) of them were disagree,22.9%(n=61) were strongly disagree,24.4% (n=65) were
neutral,15.5%(n=41) of them were agreed and 3% of them were strongly agree on the issue.
Therefore employees are not satisfied with the fairness of promotion and way of promotion
according to the law and procedure of the bank. The year of experience to apply for internal
vacancies is minimum of 4 years .so, this could be revised and employees who perform better
should be involved.
Table 14.Opinions of respondents on of working hour.
The working hour is comfortable Frequency Percent

Disagree 22 8.3
Neutral 38 14.3
Agree 82 30.8
29
Total 266 100.0
Source: Own survey, 2017
As shown in the above table for the question is the working hour of CBE is comfortable
employees respond was 30.8% of them were agreed, 30.5% were strongly agreed, 16.2% were
strongly disagreed, 14.3% were neutral and8.3% of them were disagree on working hour of
commercial bank of Ethiopia. This shows that the working hour of the bank is comfortable for
majority of the respondents. The time to start work and the time to finish their work is suitable
for employees.
Table 15 .opinions of respondents on working environment
CBE has safe working Frequency Percent

environment

Disagree 82 30.8
Neutral 65 24.4
Agree 66 24.8
Total 266 100.0
As shown in the above table out of them 30.8% of the respondents were disagreed on the safe
working environment of the bank .others 24.8% agree, 24.4% neutral 14.7% strongly disagree
and 5.3% were strongly agree. The result shows that, majority of them were dissatisfied on
work environment. This could be the result of lack of facilities like cafeteria and neatness office.
Since, employees spent most of their time in the office. The working environment should be
good.
30
Table 16. Opinion of respondents on Job security of the bank
I am certain on strong job security of Frequency Percent
the Bank
Disagree 51 19.2
Neutral 82 30.8
Agree 84 31.6
Total 266 100.0
Source: own survey study, 2017

The other question is you certain on strong job security of the bank? For this question 31.6% of
the respondents were agreed, 30.8% of them were neutral, 19.2% of them were disagreed,
11.3% of them were strongly disagreeing and 7.1% of them strongly agree. This shows that
employees are satisfied and they are certain on their job. Since the bank is governmental and has
respected policy and procedure, employees are certain on their job.
Table 17.opinoin of respondents on working condition

Good working condition and environment Frequency Percent
Disagree 82 30.8
Neutral 80 30.1
Agree 68 25.6
Total 266 100.0
I am interested by work itself, it is Frequency Percent
interesting and challenging
Disagree 90 33.8
Neutral 54 20.3
Agree 25 9.4
Total 266 100.0
Source: own survey study, 2017
31
As shown in the above table 33.8 % of the respondents were disagree on the issue ,29.3% of
them were also strongly disagree and 20.3% of the respondents were neutral for the issue.
Whereas 9.4 % and 7.2% were agree and strongly agree on the challengeness of and
interestingness of their work. This shows that, work is not interesting and challenging for the
majority of the respondents. This could be from the result of routines of the work and lack of
rotation of employees on time promotion from one position to the other.
The above table also shows that out of the respondents 30.8% of them were disagreed on their
working condition,30.1% were neutral, 25.6 % of them were agreed ,7.9% were strongly
disagreed and only 5.6 were strongly disagreed on their working condition .Generally majority
of them were satisfied with their working condition. This could be due to availability of facilities,
devices and others which makes them discomfort on operation.
Table 18. Opinion of respondents on dependency of decision making

independent to make decisions Frequency Percent
Disagree 60 22.6
Neutral 61 22.9
Agree 89 33.5
Total 266 100.0
As shown in the above table 11.7% of them and 33.5% of the respondents are strongly agreed
and agreed respectively on their independency to decide up to their limit .whereas 22.6% of them
disagree and 9.4% of them were also strongly disagree on this issue. Therefore most of the
employees have the right to make decision up to their limit. Everyone has the limit to what extent
does he or she can decide on issues without authorization.
32
Table 19. Opinion of respondents on relation with immediate supervisor and staff
Scale Frequency Percent
frequency of employees relation with
immediate supervisor and staff
Disagree 42 15.8
I have good relationship with my Neutral 48 18.0

immediate supervisor Agree 108 40.6
Total 266 100.0
Disagree 12 4.5
I have strong and smooth relationship Neutral 22 8.3
among staffs Agree 89 33.5
Total 266 100.0
As shown in the above table 40.6% of have good relationship among employees and
supervisors,16.2% of them strongly agree, 18 % of them were neutral .where as 15.8% were
disagree and 9.4% of the respondents were strongly disagree on their relationship among their
supervisor. This could be due to unsmooth supervising way of managers.
On other hand 51.9% of the respondents have strong relationship among staffs, 33.5 % of them
agree, 8.3 % of them were neutral,4.5 % of them were disagree and 1.9 % of them were strongly
disagree on the issue that smooth relationship among staffs. Generally the result shows that
majority of the respondents are satisfied with the relation between the supervisors and co
workers. This helps create teamwork work which fasts to speed up activities.
33
Table20. Respondent‟s opinion on recognition
Frequency Percent
I have recognition for tasks well done

Disagree 57 21.4
Neutral 82 30.8
Agree 83 31.2
Total 266 100.0
The above tables describes that employees have recognition for tasks they do. Out of the
respondents 31.2% of them were agreed, 30.8% of them were neutral, 21.4% of them were also
disagree on the issue and 9.8 of them were strongly disagree on it. The result shows that majority
of them were agreed on the recognition of tasks what they well do. The bank gives appreciation
letters and recognition with internal outlook. .
Table 21. Opinion of respondents on general job satisfaction level
Generally, how are you Frequency Percent

satisfied with your job?
Strongly dissatisfied 21 7.9
Dissatisfied 159 59.8
Neutral 35 13.2
Satisfied 45 16.9
Strongly satisfied 6 2.2
Total 266 100.0
Source: own survey,2017
34
There are five categories in the above table which describe overall satisfaction level of
employees in CBE North Addis District Grade Two City Branches. In the first category (strongly
dissatisfied) there are 21 respondents in each and represents 7.9% of the respondents. In the
second category (dissatisfied) there are 159 respondents and represents 59.8% of the
respondents. In the third category (Neutral) found 35 respondents and holds 13.2% of
respondents. In the forth category the researcher found 45(16.9%) respondents were satisfied.
Lastly in the fifth category 6 respondents which represents 2.3% of the total. From the above
table, the largest numbers of respondents were, 59.8%, of respondents were dissatisfied on their
job. Generally all the above tables show that, employees are not satisfied on different aspect of
the bank including salary and work environment, promotion and relation among supervisors.
4.3 Correlation analysis between factors and employees job satisfaction

Table 22. Relationship among factors of job satisfaction and job satisfaction
SALARY PROMOTION RELATION WORK Generally, how are

AND WITH ENVIRONMENT you satisfied with
BENEFITS SUPERVISOR your job?
Pearson
1 .658** .524** .479** . 884**
Correlation
SALARYAND
Sig. (2-
BENEFITS .000 .000 .000 .000
tailed)
N 266 266 266 266 266
Pearson
.658** 1 .347 **
.429 **
.837**
Correlation
PROMOTION Sig. (2-
.000 .000 .000 .000
tailed)
N 266 266 266 266 266
Pearson
.524** .347 **
1 .350 **
.758**
Correlation
RELATION WITH
Sig. (2-
SUPERVISORS .000 .000 .000 .000
tailed)
N 266 266 266 266 266
Pearson
.479** .429 **
.350 **
1 .740**
Correlation
WORK
Sig. (2-
ENVIRONMENT .000 .000 .000 .000
tailed)
N 266 266 266 266 266
Pearson
.8840** .837 **
.758 **
.740 **
1
Correlation
Job satisfaction Sig. (2-
.000 .000 .000 .000
tailed)
N 266 266 266 266 266
**. Correlation is significant at the 0.01 level (2-tailed).
35
To determine the relationship between factors of job satisfaction (salary and benefit, promotion,
work environment and relation among supervisors) and employee‟s job satisfaction Pearson
correlation was computed.
Correlation analysis is one of the most widely used in research; it is often used to determine a
relationship between two variables. It shows how strong the association between variables is.
The correlation “r” is statics used to measure the degree or strength of relationship among
variables (Taylor, 1990). To interpret the strength of relationship between variables, the guide
line suggested by Taylor (1990) were followed. His classification of the correlation coefficient
(r) is as follows. For r≤0.35 is considered too represent low or weak correlation, for r=0.36-0.67
is modest or moderate correlation, r=0.63-0.89 is strong or high correlation and correlation with
r≥0.90 is very high correlation as we know the value of r is always between 0 and 1. If the value
of r =0 this means that there is negatively related whereas if the value of r= 1 the two variables
are perfectly correlated each other .Therefore, the result in table 22 shows that there is a positive
and significant relationship between all job satisfaction factors and job satisfaction.
The result in the above table indicates that there is a positive and significant relationship between
job independent variables and dependent variable. Salary and benefits with job satisfaction
(r=0.884, p<0.01) .this implies the two variables influence each other positively and they have
strong relationship. There is also positively and significant correlation between Promotion and
employees job satisfaction (r=0.837, p<0.01), relation with supervisor and job satisfaction
(r=0.758, p<0.01) and work environment with job satisfaction (r=0.740, p<0.01).the correlation
among the four factors indicate that there is statistically significant and strong correlation among
them.
4.4 Regression Analysis

Table 23. Model summary
Model Summary
Model R R Square Adjusted R Std. Error of the
Square Estimate
1 .862a .753 .750 .251
36
a. Predictors: (Constant), relationship with supervisors , salary& benefit , work
environment, promotion
Regression model was applied to test how far job satisfaction factors had impact on employee‟s
satisfaction. Coefficient of determination-R2 is the measure of proportion of the variance of
dependent variable about its mean that is explained by the independent or predictor variables
(Hair et.al, 1998). Higher value of R2 represents greater explanatory power of the regression
equation.
The above table shows the R2 value of 0.753. This result shows that the independent variables
(salary and benefit, relationship with supervisor, work environment and promotion) accounted
for 75.3 percent of the variance in employee‟s job satisfaction. This means 75.3 percent of the
variation in job satisfaction of employee‟s is explained by the independent variables where as
the remaining 24.7 percent of the variation is explained by other factors which are not included
in this study.
Table .24. Regression analysis

Coefficientsa
Model Unstandardized Standardized t Sig.

Coefficients Coefficients
B Std. Error Beta
(Constant) .563 .256 2.204 .0280
Salary&
.870 .022 .253 4.022 .000
benefit
Promotion .190 .015 .083 4.278 .000
Work
.600 .018 .008 3.128 .000
environment
Relation with
.507 .012 .285 4.744 .000
supervisor
a. Dependent Variable: Generally, how are you satisfied with your job?
37
The results of multiple regressions, as presented in the above table shows that all the independent
variables are positive and significant on employee‟s job satisfaction. The independent variable
salary and benefit is positive and significant with a beta value of (beta = 0.087) at 99 percent of
confidence level (p<0.01). In addition to this the beta value and p value of promotion was
positive and significant (beta=0.19, p< 0.01).work environment also has positive and significant
value with (beta =0.600, p<0.01) and relation with supervisors has also positive and significant
value with beta value of (beta= 0.507, p<0.01).
All the above confidents show that, a unit change in independent variables can change by a unit
of coefficient. This means when salary and benefit varies by one unit job satisfaction varies by
0.87 units by keeping other variables constant. When work environment, promotion and
relation among vary by one unit job satisfaction varies by 0.600,0.19 and 0.507 unit respectively
by keeping other factors constant.
The regression equations become:
Y(x)= 0.563+ 0.87x+0.19x+0.600x+0.507x+0.256
In overall the result revealed that on one hand, the independent variable accounted for 75.3
percent of the variance in employee‟s job satisfaction (R2 =0.753). Thus 75.3% of the variation
in employee‟s job satisfaction can be explained by the above four factors and other unexplored
variables may explain the remaining 24.7 percent.
More over from the findings of this study, the researcher found that all the factors (salary and benefit,
promotion, relation with supervisors and work environment) have positive and significant effect on
employee‟s job satisfaction and have strong relationship between the factors and the independent
variable job satisfaction. The findings of this study also indicated that salary and benefit is the most
important factor that has positive and significant effect followed by work environment.
4.5 Hypothesis test

The dependent variable is job satisfaction and independent variable salary and benefit ,
promotion, relation with supervisor and work environment the ** sign shows the correlation
result between the variables .this upon the Pearson correlation analysis obtained from the
variables in the above correlation table 24 with the significant level of 0.01(p 0.01) .
38
Hypothesis 1
There is a strong relationship between salary and benefit and employees job satisfaction. As
show in the table 24 the correlation of salary and benefit is 0. 884** and significant at significant
level of 0.01(p=0.01) .the analysis shows that p value is 0.000 which is less than 0.01. Therefore the
hypothesis is supported and concluded that there is strong and positive relationship (r=0.884) between
salary and benefit and job satisfaction.
Hypothesis 2
There is also a correlation between work environment and employee‟s job satisfaction. As
indicated in table24 the correlation of work environment and job satisfaction is 0. 740** and
significant level of 0.01 (p=0.01). The analysis shows that p value is 0.000 which is less than
0.01. As of this analysis the hypothesis is accepted and there is also high relationship.
Hypothesis 3
The other hypothesis was promotion has its own effect on employee‟s job satisfaction. Regarding
this table 24 shows that, there is positive and significant correlation among job satisfaction and
the independent variable promotion. Therefore the hypothesis is accepted with the correlation
r=0.837** at a significant level of 0.01 (p=0.01). The analysis shows that p -value is 0.000 which
is 0.01.
Hypothesis 4
There was a correlation (r=.758**) between relation with supervisors and employees‟ job
satisfaction .it is positively significant at 0.01 significance level and has p value of 0.000 which
is less than 0.01.
This concludes that there is strong relationship between relationship with supervisors and
employees job satisfaction and the hypothesis is accepted.
In summary from all these tests, the study confirmed that all the above factors have positive
relationship with employees‟ job satisfaction .therefore the result reflects that employees‟ job
satisfaction is affected by salary and benefit, promotion, relation with supervisors work
environment. From these factors job satisfaction has higher correlation with salary and benefit
39
(0.884**) followed by promotion (0.837**), relation with supervisor (0.758**) and work
environment (0.740**).
To summarize according to their relationship, the following table shows the approval of
hypothesis
Table 25. Results of hypothesis based on correlation statistics
Hypothesis Independent Correlation Dependent var. Result

var. value
H1 Salary & 0.884 Job satisfaction Accepted
benefit
H2 Promotion 0.837 Job satisfaction Accepted
H3 Relation 0.758 Job satisfaction Accepted

with sup.
H4 Work 0.74 Job satisfaction Accepted

environment
The above table shows that variables that were tested by correlation statistical test of the above
factors have significant relationship with employee‟s job satisfaction. therefore the four
hypothesizes that assumed earlier to accomplish the study were supported all factors. Since all
factors have strong correlation between the factors and job satisfaction all the hypothesis were
accepted.
It has also been observed that salary and benefit has high significant correlation with the job
satisfaction with (r=0.884) compared to the four factors. Next to that promotion has positive and
significant correlation with job satisfaction with (r=0.837). Work environment and relation with
supervisors has also positive and significant value of (r=0.740 and r= 0.7580 respectively. This
implies that all the above four factors can affect employees‟ job satisfaction.
40
Further, the study in the regression analysis shows that salary and benefit is the most important
factor with Beta value of 0.870 followed by work environment which also has Beta value of
0.600, relation with supervisors with Beta value of 0.507 and promotion at Beta value of 0.190
have a positive association with job satisfaction
Since all the four factors have positive and significant value, there is strong correlation between
the factors and overall job satisfaction. Therefore all hypothesizes are accepted and this implies
that all the above mentioned four factors affect job satisfaction of employees‟.
Besides that, from the regression model summary R square is 0.753 which means 75.3 percent of
the variance in job satisfaction is explained by the four factors that are salary and benefit,
promotion, work environment and relation with supervisors.
41
CHAPTER FIVE
5. SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
This chapter discusses the prominent findings of the study and makes reference to relevant
research to support the findings of the current study. It includes conclusion and recommendation.
It also contain information about the sample, results obtained from the descriptive statistics
factors of job satisfaction, correlations between the factors of job satisfaction, Multiple
regression analysis and significant statistical differences between dependent and independent
variables. Conclusions are drawn based on the obtained results and recommendations for future
research that may be of worth are put forth.
5.1 SUMMARY OF THE FINDINGS

The present study captures employees‟ job satisfaction in CBE with 23 item questionnaire
designed to collected data about job satisfaction of employees. In the study nearly job descriptive
index is adopted with four basic factors (salary, and benefit, promotion, relation with
supervisors and work itself or work environment).According to Spector (1997), Job description
index is the most widely used instrument measuring employees‟ job satisfaction within
organizations.
When we see the descriptive analysis of the study, majority of the respondents were dissatisfied
on their job because of the salary paid. Almost more than 80% of the respondents were not
satisfied with their job. This implies employees are not happy and pushes them to leave the bank
and for high turnover. In addition to this, more than 65 percent of the respondents were also
dissatisfied with the different advantage like mortgage loan and other advantages). This leads
also the employees to migrate to the other banks to which they can get better advantage.
There is also a very poor opportunity for transfer and promotion in the CBE. For more than 60
percent of them were not happy on the way and fairness of transfer and promotion. This makes
the dissatisfaction of employees and makes them tired off on their work. The process used to
determine the promotion is one of the main causes of being unsatisfactory in the bank. The
majority of respondents are dissatisfied by the process to determine promotion.
42
On the other hand the bank updates and changes the new technologies for banking operation.
Many respondents are satisfied by the CBE‟s commitment to the new technologies. Most of the
respondents were also satisfied on the working environment and job security of the bank. More
than 70 percent of the respondents feel secured and are happy on working environment and the
work itself. Many employees have an authority to decide issues up to their limit level without
any influence. As the result of the study, more than 80 percent of the respondents have smooth
relationship with the immediate supervisors and co workers. This helps them to be happy on their
work.
Analysis from overall job satisfaction shows that 67.7 percent (n=180) of the respondents were
dissatisfied with their job by different reasons. The remaining 16.9 percent, 13 percent and 2.2
were neutral, satisfied and strongly satisfied respondents respectively.
From the correlation analysis done, it is evident that all the four factors namely salary and
benefit, promotion, relation with supervisors and work environment have a positive and
significant correlation with job satisfaction. This implies that all the factors are important to
judge employees whether they are satisfied or not.
It has also been observed that salary and benefit has high significant correlation with the job
satisfaction with (r=0.884) compared to the four factors. Next to that promotion has positive and
significant correlation with job satisfaction with (r=0.837). Work environment and relation with
supervisors has also positive and significant value of (r=0.740 and r= 0.7580 respectively. This
implies that all the above four factors can affect employees‟ job satisfaction.
Further, the study in the regression analysis shows that salary and benefit is the most important
factor with Beta value of 0.870 followed by work environment which also has Beta value of
0.600, relation with supervisors with Beta value of 0.507 and promotion at Beta value of 0.190
have a positive association with job satisfaction. Since all the four factors have positive and
significant value, there is strong correlation between the factors and overall job satisfaction.
Therefore all hypothesizes are accepted and this implies that all the above mentioned four factors
affect job satisfaction of employees‟.
43
5 .2 CONCLUSIONS
Employee job satisfaction can improve service quality and increase employee motivation. In this
situation, policy makers and managers of the bank should have turned their attention to provide
different kinds of facilities to their employees in order to satisfy their employees and to enhance
their business.
This study tries to identify factors affecting job satisfaction of employees of commercial bank of
Ethiopia North Addis district grade two city branches. The result of this study shows that work
environment, promotion, salary and benefit and relation with supervisors are key factors
affecting employees‟ job satisfaction salary and benefits are the most influential and good
motivator, actually all employees‟ work for money, employees need the money, a good salary
and good compensations are key factors in satisfying the employees. All factors have significant
influence on job satisfaction.
The factor of work environment is also proven to have significant influence over the employees‟
job satisfaction. The physical design and facilities in the branches influences job satisfaction of
employee‟s. A good work environment and good work conditions can increase employee job
satisfaction and the employees will try to give their best which can increase the employees‟ work
performance.
The findings show that, the current salary paid is not satisfactory. This may lead the employees
to resign the bank. Therefore bank should increase the employee salary and compensation to
motivate the employee, the good pay back can be one of the key factors affecting job
satisfaction, also in this way it can increase the service quality and organizational profitability.
Promotion of employees also affects job satisfaction since the work behavior of banks is routine,
rotation and promotion on time is need. If the bank creates fair competitive environment, fair
treatment, fair compensation, fair work hours, these will improve employee job attitudes. After
this consideration, we can see that promotion, good payment can increase employee job
satisfaction; satisfied employees offer good services for the organization. Generally if all the
above factors fulfilled, job satisfaction of employees and organizational performance will be
improved
44
Relationships with managers (supervisors) also affect employees‟ job satisfaction. When we see
the profile of respondents majority of them are young and with less experience so, employees‟
need supervisors‟ guidance and sharing work experiences .in order to fulfill this, the relation with
coworkers and managers should be smooth. Smooth relation also creates good team work
Supervisors .Since; the banking service needs direct contact with the customers and employee.
Generally if the bank wants to achieve its goals and objectives by offering better service to its
customers, it should give better attention to its employees in order to make them satisfied with
their job.
5.3 RECOMMENDATION
Based on the findings and conclusions of the study, the researcher forwards the following
recommendations to the management of the banks and suggestion for other researchers.
 As we can see from the finding of this study employees are not satisfied with the current
salary payment. So, the bank should revise and upgrade the salary scale and allowances which is
being paid for employees. It must be adjusted based on the work load the employees‟ have and
the payment with the competitive market. Since the cost of living is increasing, improving the
allowances by adding living allowances and also increasing amount of fuel allowance payment
will increase the satisfaction of the employees on the salary and benefit they get from the bank
which motivate employees to perform better. Since happiness of employees is the basic thing to
offer good service, to create smooth relationship with the customers and to reduce employees
turnover.
 Most of the respondents were not satisfied on Promotion and transfer opportunities
.therefore it is recommended that, promote fairly those employees who fulfill the quality &
performance expectations of the bank. The current minimum service year required to promote is
4 years. But it should be revised. It is advised not to let the employees to work on the same
position for long period.
45
 Even though majority of the respondents are satisfied with the relation among supervisors
and co- worker, there were also unsatisfied respondents. So building smooth and harmonies
relationship helps to develop team work and supports branches to perform better than the current
performance. This helps to create team work in the branches.
 The result shows that, majority of the employees were satisfied on their work environment.
But there were also employees which are unsatisfied. Therefore the researcher recommends that
making the working environment good makes the employees punctual and stay on work for long
time without any discomfort.
 The research findings reported in this study make a valuable contribution to the awareness of
understanding the concept of job satisfaction and the effect the underlying variables work,
supervision, co-workers, promotion and pay have on job satisfaction. However, additional
research is needed to further investigate the potential relationship and effect these variables and
other extraneous variables, such as role ambiguity, job level, contingent rewards and working
conditions have on job.
5.4 Limitation of the study

The result of this study may not represent the whole job satisfaction of employees of commercial
bank of Ethiopia. Because it only includes only 11 branches of north Addis Ababa district. This
research focuses only north Addis Ababa district city branches, but there may be need of
studying the outline branches employees‟ job satisfaction. Beside this, there may be sampling
error. The respondents were only clerical employees, but there are also non clerical employees
whom job satisfaction issues concerned. In this research, the instrument job description index
was used. But Minnesota questionnaire may describe more detail about job satisfaction. In
addition o this study only considers factors like salary and benefit, work environment, relation
with supervisors and promotion. But there may other factors which affect job satisfaction.
46
6. Reference
 Adams, J. S. (1963). Towards understanding of Inequity. Journal of Abnormal and Social

Psychology, vol 67, p. 422 – 436. Approach. New York: John Wiley and Sons, Inc
 Boshoff, C. (2001). The challenge of motivating top management: A need satisfaction
perspective. Journal of Industrial Psychology, 27(1), 39-42.
 Cano J (2004). “Factors explaining job satisfaction among faculty”, J. Agric. Educ., 45(3):
65−74.
 Cook, L. A. (2008), Job Satisfaction and Performance: Is the Relationship Spurious? MSc,
Texas A&M University
 Crossman, A., &Abou-Zaki, B. (2003). Job satisfaction and employee performance of Lebanese
banking staff. Journal of Managerial Psychology, 18(4), 368-376.
 Diaz- Serrano.L, and Carbral Vieira (2005), low pay and job satisfaction with in European union
empirical evidence discussion paper, no1558.IZA
 Eichar, D.M., Norland, S., Brady, E.M and Frtinski, R.H. (1991). The Job Satisfaction of Older
Workers”, Journal of Organizational Behavior, 12,609-620
 Ellickson, M., MC. (2002). Determinants of job satisfaction of municipal government
employees. Personnel Management, 31(3)
 Frey M.B (2004).equality based compensation for employees, firm performance and
determinants‟. Financial report. Res.27(1):31
 Gazioglu, S., &Tansel, A. (2002), Job satisfaction in Britain: Individual and job-related factors.
Economic Research Centre Working Papers in Economics. 38(10)1163-1171
 Gedefawkassie (2012).job satisfaction of secondary school teachers in Ethiopia, a thesis ,
university of south Africa .
 Hardy, G. E., Woods, D., & Wall, T. D. (2003), the impact of psychological distress on absence
from work. Journal of Applied Psychology, 88, p. 306-314.
 Herzberg, F., Mausner, B., &Snyderman, B. B. (1959), the motivation to work. 2nd Ed. New
York, NY: John Wiley & Sons.
 Hind A.M, Barder, Itan H.M Hashim and NorzarinaMohdZaharim,(2013), job satisfaction
among bank employees in eastern Libya, American international journal of social science
,(2.),1,30-32.
 Hoole, C., &Vermeulen, L.P. (2003). Job satisfaction among South African aircraft
47
 Howard, J.L. and Frink, D. (1996), “The Effects of Organizational Restructure on Employee
Satisfaction”, Group and Organization Management, 21 (3), 278-303ge
 Hytter, A., (2008). Dark Side Leaders, Work Environment and Employee Studies in Leadership,
Entrepreneurship and Organization.
 Jegan .P and Gnanadhas .M.D (2011), job satisfaction of bank employees working with e-
channels, Asian journal of business and economics, 1(11), 1-8.
 Jex.S.M(2002).organizational psychology , a scientist practitioner approach , Nework.
 Jitendra Kumar Singh (2013), a study of employees‟ job satisfaction and its impact on their
performance,Journal of Indian Research (ISSN: 2321-4155) Vol.1, No.4,
 Judge, T.A. andBretz, R. D and Boudreau, J.w (2001), “Job Search Behaviors of Employed
Managers”, Personnel Psychology, p.47.
 K. R. Sowmya and N. Panchanatham (2011), Factors influencing job satisfaction of banking
sector employees in Chennai, India,Journal of Law and Conflict Resolution Vol. 3(5), pp. 76-79.
 Karimi, S. (2007), Affecting Job Satisfaction of Faculty Members of Bu-Ali Sina University,
Hamedan, Iran Scientific & Research Quarterly. Journal of Mazandaran University, 23(6), p. 89-
104.
 Karimi, S. (2007), Affecting Job Satisfaction of Faculty Members of Bu-Ali Sina University,
Hamedan, Iran Scientific & Research Quarterly. Journal of Mazandaran University, 23(6), p. 89-
104.
 Kothari, C.R. 2004. Research methodology methods and techniques. 2nd ed. New Delhi: New age
international.
 Locke, E. A. (1976), the nature causes and causes of job satisfaction. In Dunnette M. C.(Eds.),
Handbook of industrial and organizational psychology (pp. 1297–1349). Chicago, IL: Rand
McNally.
 Luthans, F. (2005) .Organizational behavior. 10th ed. McGraw-Hill.

 Luthans, F., (2001), Job Satisfaction, organizational behavior, 9th edition
 Maslow, A. (1943), Theory of Human Motivation. Psychological Review, 50, p. 370-396.

 MosammodMahamuda (2011),factors affecting employee job satisfaction of pharmaceutical
sector, Australian Journal of Business and Management Research Vol.1 No.9 [113-123].
48
 Moynihan, D. P. & Pandey, S. K. (2007), Finding Workable Levers over Work Motivation
Comparing Job Satisfaction, Job Involvement, and Organizational Commitment. University of
Wisconsin–Madison, the University of Kansas, Lawrence.
 Murray, R. A. (1999), Job Satisfaction of Professional and Paraprofessional Library Staff at
Chapel Hill, North Carolina.
 Mussie, Demeke (2010). Assessment of Service Quality and customer satisfaction commercial bank
of Ethiopia; the case of Addis Ababa. Unpublished.
 Nel, P .S., Van Dyk, P.S., Haasbroek, H.D., Schultz, H.B., Sono, T., & Werner, A. (2004).
Human resources management (6th ed.). Cape Town: Oxford University
 Newby, J. A. (1999). Job satisfaction of middle school principals in Virginia. Doctor of
Education in Educational Administration, Faculty of Virginia Polytechnic Institute and State
University, Virginia.
 Okpara(2005), gender and the relationship between perceived fairness ,pay ,promotion and job
satisfaction in sub Saharan economy ,women in management review, A x p 25.
 Organ, D. W. (1988), A restatement of the satisfaction-performance hypothesis. Journal of
Management, 14, p. 547-557.
 Organ, D. W. (1988), A restatement of the satisfaction-performance hypothesis. Journal of
Management, 14, p. 547-557.
 Patterson MG, West MA (2001). Job satisfaction and team work: the role of supervisor support.
J. Organ. P- 537-550.
 Perry, J. L., Mesch, D., &Paarlberg, L. (2006), Motivating Employees in a New Governance Era:
The Performance Paradigm Revisited. Public Administration Review, 66 (4).
 Phil, S. (2009). A study on job satisfaction among the employees of state bank of India in
CoimbatoreCity Retrieved 2012.
 Robbins, S. P. (2005), Organizational behavior. 11th ed. New Jersey: Prentice hall..
 Rotundo, M., &Sackett, P. R. (2002), the relative importance of task, citizenship, and
counterproductive performance to global ratings of job performance: A policy capturing
approach. Journal of Applied Psychology, 87(1), p. 66–80.
 Saiyadain, S. (2004). Human Resource Management. Delhi: Hill Publishin
 Sekeran, U. (2003). Research Methods for Business: A skill building
49
 SenayitGetachew and AssefaMaru (2014). An assessment of job satisfaction and its effect on
employees‟ performance; the case of commercial bank of Ethiopia selected branches:
unpublished.
 Smith, P. C., Kendall, L. M., &Hulin, C. L. (1969), the measurement of satisfaction in work and
retirement. Chicago:
 Spector, P. E. (1997), Job satisfaction: Application, assessment, causes, and consequences.
Thousand Oaks, CA: Sage Publications, Inc.
 Staw, B. M., & Ross, J. (1985), Stability in the midst of change: A dispositional approach to job
attitudes. Journal of Applied Psychology, 70, p. 469–480.
 Taylor,G.S., & Vest, J. (1992), Pay comparisons and pay satisfaction among public sector
employees. Public Personnel Management, 21 p. 445-454.
 Tessema ,M. seoters.J(2006).challenges and prospects of HRM in developing countries testing
the HRM performance link in Eritrea civil service, international journal of HRM 17(1):86
 Upton, W.S. (2001), Business and Financial Reporting: Challenges from the New Economy
special report, Financial Accounting Standards Board, Norwalk.
 Van -der zee ( 2009), organizational commitment and job satisfaction ; a quantities study at the
Durban office of the department of labor .Durban south Africa masters in psychology .university
of kwazulu-natal.
 Vroom, V.H. (1964), Work and motivation. New York: John Wiley & Sons.
 Wae, M. (2001). Inter relationship between personality, emotional intelligence, and job
satisfaction of bank employees.
 Weihrich, H., & Koontz, H. (1999), Management: A global perspective. 10th ed. McGraw-Hill.
Inc
 Witt, l. A. and Nye, L.G. (1992), “Gender and the Relationship between Perceived Fairness of
Pay or Promotion and Job Satisfaction”, Journal of Applied Psychology, 77 (6), 910-917.
50
APENDEX
ST.MARY’S UNIVERSITY
Questionnaire for the respondents
Dear respondents;
This questionnaire is prepared to collect primary data for conducting a pilot research on ‘
determinants of job satisfaction of employee’s in the CBE „- for the partial-fulfillment of MA
in business administration in St Mary‟s university. The responses are to be kept confidential and
will be used for academic purpose only.
First thank you very much for giving attention and you precious time to give response and for
your willingness to answer these questions. No need of name, only circle from the choice.
Part I: Demographic Characteristics
1. Age A.20-35 B.36-50 and above
C. above 50
2. sex A. Male B. female
3. Marital status
Married widowed
Single divorced
4. Educational level A. Masters B. degree
C. diploma D. other qualification
5. How many years do you spent in cbe?
A.1-5Years B.6-10 Years D.16-20 years
C.11-15 Years E. above 20
51
6. What is your job title?
A. Branch Manager D. Customer service manager
B. Customer relationship officer (CRO) E. Branch controller
C. Customer service Officer F. SCSO- Accountant
G. Junior customer service Officer H. SCSO- Cash
7.my work is meaningful .
A.Strongly disagree
B.disagree
C.Neutral
D.Agree
F.Strongly agree
8.Myjobis challenging and interesting.
A.Strongly disagree
B.disagree
C.Neutral
D.Agree
F.Strongly agree
9. There is no risk during working.
A.Strongly disagree
B.disagree
C.Neutral
D.Agree
F.Strongly agree
10. I am glad in paid for the work that I do.
A.Strongly disagree
52
B.disagree
C.Neutral
D.Agree
F.Strongly agree
11. There are good opportunities for promotion.
A.Strongly disagree
B.disagree
C.Neutral
D.Agree
F.Strongly agree
12.There is good working environment.
A.Strongly disagree
B.disagree
C.Neutral
D.Agree
F.Strongly agree
13. Generally am satisfied on my work.
A.Strongly disagree
B.disagree
C.Neutral
D.Agree
F.Strongly agree
Thank you!!!
53
ST.MARY’S UNIVERSITY
Questionnaire for the respondents
Dear respondents;
This questionnaire is prepared to collect primary data for conducting a research entitled ‘To
identify determinants of job satisfaction of employee’s in the CBE „- for the partial-
fulfillment of MA in business administration in St Mary‟s university. The responses are to be
kept confidential and will be used for academic purpose only.
First thank you very much for giving attention and you precious time to give response and for
your willingness to answer these questions. No need of name, only make (√) under the box.
Part I: Demographic Characteristics
1. Age A.20-35 B.36-50 and above
C. above 50
2. sex A. Male B. female
3. Marital status
Married widowed
Single divorced
4. Educational level A. Masters B. degree
C. diploma D. other qualification
5. How many years do you spent in commercial bank of Ethiopia ?
A.1-5Years B.6-10 Years D.16-20 years
C.11-15 Years E. above 20
54
6. What is your job title?
A. Branch Manager D. Customer service manager
B. Customer relationship officer (CRO) E. Branch controller
C. Customer service Officer F. SCSO- Accountant
G. Junior customer service Officer H. SCSO- Cash
Part: two
Determinants of job satisfaction
1. Which factor of the following factors do you consider to be a major factor that determines
your job satisfaction?
A. Salary and benefit
B. Promotion
C. Relation with co workers
D. Relation with managers
E. Work environment
2. Which of the factors mostly affects your job performance?
A. Salary and benefit

B. Promotion
C. Relation with co workers
D. Relation with managers
E. Work environment
55
Part: three
Plane indicate the extent to which you satisfied with the following statements.
Your opinion on salary and benefits of the CBE

4 Items Strongly Neutral Agree Strongly
disagree disagree agree
5 Currently the amount of money

paid for my work is enough.
6 The bonus which is paid to the

employees is satisfactory and
fair.
7 The benefits that are offered by

Cbe like medical, insurance and
Other benefits is better as
compared to other companies in
the industry
8 Other allowances that are offered

by CBE are also satisfactory.
What do you feel on promotion of employees in CBE
Items Strongly disagree Neutral agree Strongly

disagree agree
9 There is high Opportunity to

use new technologies and to
upgrading oneself.
10 There is also high opportunity

for promotion and transfer.
11 The way of employee‟s

promotion is fair and
according to the policies and
regulations
12 Cbe is committed to
professional development
56
Your opinion on Work Environment of the CBE
Item Strongly disagree Neutral agree Strongly

disagree agree
13 The working hour is

comfortable
14 Cbe has safe working

environment
15 I am certain on strong Job

security of the Bank.
16 I am satisfied with this good

working condition and
environment
17 I am interested by Work
itself, it is interesting and
challenging
Your opinion about Relationship with management and staff of the CBE
Items Strongly disagree Neutral agree Strongly agree

disagree
18 I have good relationship with my

immediate supervisor.
19 I am independent to make
decisions up to limit of authority.
20 I have recognition for tasks well

done.
21 my supervisor gives me feedback

that helps me to improve my
performance .
22 It is clear for me that what my

supervisor expects from me
regarding my job performance.
23 I have strong and smooth

relationship among staffs
57
24.Generally, how are you satisfied with your job?
A. Strongly dissatisfied
B. Dissatisfied
C. Neutral
D. Satisfied
E. Strongly satisfied
Thank You!!!
58

Job Satisfaction

Uploaded by

Copyright:

Available Formats

Job Satisfaction

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Job Satisfaction

Uploaded by

Copyright:

Available Formats

ST.

SCHOOL OF GRADUATE STUDIES

DETERMINANTS OF EMPLOYEES JOB SATISFACTION

(THE CASE OF COMMERCIAL BANK OF ETHIOPIA, NORTH ADDIS

YENEWUB WUDU SHITA

A THESIS SUBMITTED TO ST. MARY’S UNIVERSITY SCHOOL OF

SCHOOL OF GRADUATE STUDIES

DETERMINANTS OF EMPLOYEES JOB SATISFACTION IN THE CASE

YENEWUB WUDU SHITA

Approved by board of examiners

Dean, graduates signature

Internal examiner signature

External examiner signature

Researcher„s Full Name: Yenewub Wudu Shita

Advisor: Zemenu Aynadis (Ass.pro.)

This research focus on identifying determinants of employees‟ job satisfaction in commercial

1.3 Research Questions

1.4 Objectives of the Study

1.4.2 Specific objective

1.6 Definition of terms and concepts

1.7 Significance of the study

1.8 Scope of the study

1.9 Organization of the study

2.1 Concept of job satisfaction

2.2 Job Satisfaction and performance

2.3.1 Maslow’s Theory of Motivation/Satisfaction

2.3.2 Herzberg’s Two-Factor Theory

2.3.4 Job Design Theory

2.3.5 Vroom’s Expectancy Theory

2.5 Organizational factors influencing job satisfaction

2.5.1 Salary and Benefit

2.5.3 Relationship with Supervisors

2.6 Importance of job satisfaction

2.7 Empirical literature review

2.8 Conceptual frame work of the study

Salary and benefit

3. RESEARCH DESIGN AND METHODOLOGY

3.1 Research Design

3.2 Population and Sampling Techniques

Z = Z value (confidence level)

In the sample size calculator I used

 confidence level 95%

3.4 Method of Data Analysis

Whereas y(x) is job satisfaction

β0isthe constant term

β1is correlation coefficient of salary and promotion

β2is correlation coefficient of work environment

β3is correlation of promotion

β4is correlation coefficient of relation among supervisors(managers)

3.5 Reliability and validity

3.5.1 Validity of the study

Cronbach‟s alpha Cronbach‟s N of items

4. DATA ANALYSIS AND INTERPRETATION

4.1 Demographic characteristics of the respondents

Table.2. Frequency of age distribution of respondents

Age Frequency Percent

Table. 4. Frequency distribution of years of experience

Experience Frequency Percent