FACTORS INFLUENCING

JOB SATISFACTION IN TERTIARY SECTOR

Research Project Submitted

To

University Business School, Panjab University

Chandigarh

In partial fulfillment of the course of Organizational Behaviour for Masters of

Business Administration

2015-17

On

October 7, 2015

Submitted to Submitted by

Dr Purva Kansal Indramani Tripathi

UBS, PU Isha Seth
Raunaq Singh
MBA Gen (1st sem)
UBS, PU

Factors influencing job satisfaction

Acknowledgments

The completion of this project/research assignment would not have been possible without the
help and support of our advisor Dr.PurvaKansal who was keen on guiding us into a feasible
and consistent way of dealing with various challenges while we were engaged in this
assignment. We would like to express gratitude for your time and valuable advices that made
us confident about our results. Not only your support and advice was limited to academics,
but also to non-academic issues that helped reduce the level of anxiety and stress.
We learned a lot while doing this as a team, we were able to see how team dynamics work in
practical manner. We would be thankful of each other for their respective contributions.
Last but not the least, we would like to thank to all the respondents of this research, without
their contribution, we would be having nothing to prove our results statistically.

Sincerely,
IndramaniTripathi
Isha Seth
Raunaq Singh
University Business School, Chandigarh.

Factors influencing job satisfaction

Contents
1. INTRODUCTION.......................................................................................................................................1
2 REVIEW OF LITERATURE...........................................................................................................................5
3.RESEARCH METHODOLOGY....................................................................................................................10
3.1 RESEARCH DESIGN...........................................................................................................................10
3.2 OBJECTIVES OF THE STUDY..............................................................................................................10
3.3 HYPOTHESIS FORMULATION............................................................................................................12
3.4 VARIABLES.......................................................................................................................................12
4 DATA COLLECTION..................................................................................................................................12
4.1 Instrument.......................................................................................................................................12
4.2 SAMPLING........................................................................................................................................12
5 DATA ANALYSIS.......................................................................................................................................13
5.1 Exploratory Data Analysis................................................................................................................14
5.2. Testing the reliability......................................................................................................................17
5.3 Checking the normality of collected data........................................................................................17
5.4 Testing the hypotheses....................................................................................................................18
5.4 Regression Analysis..........................................................................................................................19
5.5 Evaluation based on demographics.................................................................................................20
6 Results....................................................................................................................................................21
7 Implication..............................................................................................................................................21
REFERENCES..............................................................................................................................................23

Factors influencing job satisfaction

Factors influencing job satisfaction
 1. INTRODUCTION

Job Satisfaction represents one of the most complex areas facing today’s managers when it
comes to managing their employees. In order for an organization to be successful they must
continuously ensure the satisfaction of their employees. Job satisfaction is defined as "an
individual's reaction to the job experience" (Berry, 1997). Job satisfaction is the level of
contentment a person feels regarding his or her job. According to a 2014 survey of U.S.
households by the Conference Board, job dissatisfaction is widespread among workers of all
ages across all income brackets. The study found that only 47% of those surveyed say they
are satisfied with their jobs.
With worker dissatisfaction so high, how can you avoid it? Or, if you are working and
dissatisfied, what can you do about it?
First, it is important to know that there are different kinds of job satisfaction.  This is when a
person considers the whole job and everything about it. Overall job satisfaction is actually a
combination of intrinsic and extrinsic job satisfaction:
 Intrinsic job satisfaction is when workers consider only the kind of work they do, the
tasks that make up the job.
 Extrinsic job satisfaction is when workers consider the conditions of work, such as
their pay, co-workers , and supervisor.
 These two types of satisfaction are different, and it helps to look at jobs from both
points of view. For example, if you are dissatisfied with your current job, ask
yourself, "To what extent is it due to thekind of work I am doing?" and "To what
extent is it dueto the conditions ofmy work?" If it is primarily the kind of work you
are doing, it is intrinsic job dissatisfaction. This calls for a different solution, than if
your dissatisfaction is extrinsic in nature.
 And, second, you want to recognize that job satisfaction is influenced by job
expectations - what people look for or require from a job such as job security, pay,
prestige, or independence. And, that some people have higher expectations for work
than others. What expectations do you have for your work? How strong are they?
Tertiary sector ( Banking , restaurants, healthcare, retail stores) is one of the most
important sector for economic growth of the country. It constitutes 57% of the GDP in
India .Tertiary sector study is the need of the hour since people need more of the services
rather than physical goods for better quality life. They require more of education

Factors influencing job satisfaction Page 1

 ,training ,healthcare ,transport ,communication ,doctors , hospitals ,diagnostic centres,
entertainment, ATMs ,banks, organised shopping malls and so on.

1.1 THEORIES
Many theorists have tried to come up with an explanation for why people feel the way
they do in regards to their job
 Personality
According to the authors of Five Factor Model of Personality and Job Satisfaction,
five personality characteristics have a major impact on job satisfaction. These traits
are neuroticism, extraversion, and openness to experience, conscientiousness and
agreeableness. Neuroticism is the only one of the five directly related to lack of job
satisfaction. The more neurotic an individual, the less likely he will be satisfied on his
job. On the other hand, people who have a high degree of any of the other four traits
have a better chance of being satisfied on the job.
 Motivational Framework
One theory suggests that an employee's job satisfaction is directly related to what he
thinks he deserves or what he thinks is important, rather than the fulfillment of his
needs. For example, an employee may be able to make ends meet on a $25,000 salary.
If the employee thinks he deserves $25,000, he will experience job satisfaction. If he
thinks he deserves $32,000 per year, he will be unsatisfied in his employment.
 Social Influence
The hypothesis of social influence in job satisfaction suggests that employees want
what they think their co-workers want. For example, if the workplace culture is one in
which employees want authority over their projects, a new hire will feel satisfied
when he is given responsibility for a project. However, a new hire who perceives that
other workers are jockeying for time off will want to see how much time off he can
get. The social influence hypothesis links job satisfaction to getting what you think
others want.
 Self-Deception
Amir Erez and Timothy A. Judge of Cornell University conducted research into the
role of self-deception in employee job satisfaction. They found that employees with a
subjective sense of personal well-being were more likely to experience job
satisfaction. They also discovered that employees who engage in some self-deception

Factors influencing job satisfaction Page 2

 were more satisfied in their lives and in their jobs. The researchers defined self-
deception as holding positively biased views of oneself, ignoring minor criticisms
offered by others, discounting their own failures, avoiding negative thoughts and
expecting a high level of success in their own efforts.

FACTORS INFLUENCING JOB SATISFACTION

1) Compensation

Compensation/ Pay has been one of the top contributors to job satisfaction since 2002; 61%
of employees indicated that it was “very important” to their job satisfaction.
In addition to overall compensation/pay, employees rated the importance of three other
common compensation factors that contribute to job satisfaction:
• Being paid competitively with the local market
• Base rate of pay
• Opportunities for variable pay
Benefits- Historically, benefits have been a major factor in contributing to job satisfaction.:
• Paid time off
• Health care/medical benefits
• Flexibility to balance life and work issues
• Defined benefit pension plans
2) Job Security
After the Great Recession began in late 2007, job security claimed the number one spot
as the job satisfaction contributor rated as “very important” from 2008 to 2011. While
workers still value steady employment, they are gaining more confidence as the labor
market grows, causing job applicants to reprioritize the elements they seek in a job. Job
security and compensation are the only two job satisfaction contributors that have
remained in the top five list for the last 12 years. Job security was more important to
female employees than to male employees. Feeling Safe in the Work Environment is to
uphold the overall well-being of its staff, it is advantageous for an organization to assess
ts safety needs on a regular basis to maximize the efforts in preventing harmful acts.
Although unfortunate events may occur anywhere, even in the workplace, it is
reasonable for employees to expect a certain level of security and protection at work.

3 ) Occupational Stress

Factors influencing job satisfaction Page 3

 Stress in the workplace The experience of stress reactions in the workplace is not an
isolated phenomenon .A number of workplace factors and indicators of mental ill health,
such as free-floating anxiety, somatic anxiety and depression. A number of aspects of
working life have been linked to stress. Aspects of the work itself can be stressful,
namely work overload and role-based factors such as lack of power, role ambiguity, and
role conflict .The quality of the social environment in the workplace is associated with
stress as are certain behaviours of the leader .Threats to career development and
achievement, including threat of redundancy, being undervalued, and unclear promotion
prospects are stressful .The conflict between home and work and the work impact on
personal relationships is stressful .Stress has been associated with important occupational
outcomes of job satisfaction.
4) Leadership
Employees may be likely to associate their perception of their supervisor with their
overall attitude toward their organization. In fact, management issues are one of the
major sources driving up employee turnover, which emphasizes multiple implications the
employee/ management relationship has on an organization. Poor management has
widespread consequences, ranging from diminished employee morale and reduced
productivity to damage to an organization’s reputation. Developing effective
communication practices and respecting employees’ work and opinions help build better
relationships between managers and their staff. Trust Between Employees and Senior
Management. Organizations that lack trust between their employees and upper
management often develop adverse working conditions. If management does not support
its workers, suspicion may arise, resulting in a less than productive workforce. Even
though management may establish goals and objectives for the organization, giving
employees the freedom and flexibility to decide how and when they complete projects
may improve employee satisfaction and engagement. Holding employees accountable for
their work outcomes motivates them to produce better results.

1.2 NEED FOR STUDY

Around the world, companies have helplessly watched their employees walk out searching
for better career opportunities as their needs or wants from the job are not fulfilled. Attrition
rates are going high .There is no question that attracting the "right people" is a challenge for
any organization. An even more important challenge an organization faces is to retain a
productive workforce.

Factors influencing job satisfaction Page 4

Tertiary sector study is the need of the hour since people need more of the services rather
than physical goods for better quality life . Tertiary sector (Banking, restaurants,
healthcare, retail stores is one of the most important sector for economic growth of the
country. It constitutes 57% of the GDP in India .Tertiary sector study is the need of the hour
since people need more of the services rather than physical goods for better quality life. They
require more of education , training ,healthcare ,transport ,communication ,doctors , hospitals
,diagnostic centres, entertainment, ATMs ,banks, organised shopping malls and so on.
It describes the challenges that a tertiary sector faces in order to keep their employees
satisfied.

2. REVIEW OF LITERATURE

Mulla R.,Vyas B.,Hanji S.(2014) conducted a study on Job satisfaction factors on cement
industry employees of Bagalkot district. This study was conducted on cement industry
because cement industry is currently undergoing continued expansion at competitive world.
The main objectives of their study which they considered was as

 To access the satisfaction level of employees in cement industry

 To identify the factors which influence the job satisfaction of employees
 To identify the factors which improves the satisfaction level of employees

For this study descriptive research was used with a sample size of 80 respondents from low
level employees from the cement industries at Bagalkot district. The researchers used
convenience sampling. From the data analysis it was found that most of the employees were
dissatisfied with their job positions and infrastructure provided them for work. To understand
this researcher studied various factors which may affect these dissatisfaction like working
environment, use of skills and knowledge, pay and salary, remuneration, work activities,
work relationship factor, rewards/pay and leave factor, fairness, employees suggestion
implements, expectation from management etc. And from this they found out that maximum
factors were not according to employees but something like medical facilities provided to
them were at satisfactory level. In this research it was found out that 45% were at positive
level and rest 55% can be improved by suggestions.

Tepret N. Y., Tuna K. (2014) conducted a research work according to a manager’s

perspective to study which leadership and how much it is going to affect job satisfaction
among employees. The researchers’ main objective was to study how much compatibility of

Factors influencing job satisfaction Page 5

leaders/managers and expectation of employees can meet up and does the leadership style
and management approach affect employees’ job satisfaction. For this an essential
telecommunication company was selected named as Marmara Regional Directorate and the
employees of there were target population and the sample was taken from sub managers’
population with 202 employees. In the analysis part Cronbach’s alpha coefficient was
calculated and it was found to be 0.981 for leadership and 0.940 for job satisfaction. In
another part of analysis correlation analysis was done on job satisfaction and various
leadership styles which was found to be 0.556 for employee oriented leadership, 0.580 for
production oriented leadership and 0.570 for chance oriented leadership and coefficient of
determination was highest for production oriented leadership which indicates it is going to
lead in comparison to other leadership styles. Finally it was concluded that there is a strong
and positive correlation between leadership and job satisfaction and employees perceive that
there supervision are mostly production oriented.

Nazir S., Qun W., Akhtar M. N., Shafi A., Nazir N.(2015) defined job satisfaction as an
attitudinal variable that reflects how people feel about their jobs overall. The endeavour of
this research was to find out whether financial rewards have an influence on the attitudes and
feeling of employees. For this they conducted a research on 172 employees of a retail
organization and found out that financial rewards caused positive job satisfaction of
employees and boosted their commitment and increase the output of the organization. The
questionnaire findings were that it measured how much an employee was satisfied or
dissatisfied with different aspects of their jobs but it could not give any idea about whether an
employee was satisfied or dissatisfied with their job as a whole. From the findings it can be
seen that the factors which lead to satisfaction towards a job was as following

 Physical work condition

 Location
 People worked with

The factors which lead towards job dissatisfactions were as following

 Rate of pay
 Fringe benefits
 Relationship with supervisor

Factors influencing job satisfaction Page 6

So it was concluded that role of job satisfaction of employees and responsibilities of
organization in the promotion of good quality practices of HRM in retail business, and offers
a substitute alleyway for employee’s satisfaction performance.

Schreurs B., Guenter H., Emmerik I. J. H., Notelaers G., Schumacher D.(2015) conducted a
research work on to understand what are the moderating variables which are going to affect
the pay level satisfaction impact on job satisfaction. For this they took pay level satisfaction
as independent variable which is going to affect dependent variable which is employee
outcomes which consist of job satisfaction, affective commitment and intention to stay. The
moderating variable which was subject of study was autonomy climate and support climate.
For this they took a survey from 2003 to 2006 with the help of questionnaire over Belgian
employees which consist of finally 5801 respondents from over 48 departments. Finally it
was concluded that high autonomy climate lessened whereas high support climate
exacerbated the negative effects of low pay level satisfaction. So it can be suggested that
changing a climate of autonomy may be particularly beneficial for companies when their
employees are dissatisfied with their wages.

Rad A. M. M., Yarmohammadian M. H. (2006) conducted a research work to understand the

relationships between managers’ leadership styles and employees ‘ job satisfaction in Isfahan
University Hospitals, Isfahan Iran during 2004. They performed a descriptive and cross
sectional study. Here stratified random sampling was used among employees, first line,
middle and senior managers with 814 respondents. In the analysis it was found that
employees demonstrated less satisfaction with salaries, benefits, work conditions, promotion
and a satisfier with communication in comparison to satisfaction with nature of job, co-
workers and supervision type factors. Here the limitations which came for this study was that
managers should select the best leadership style according to the organizational culture and
employees’ organizational commitment in place of leadership style of managers. From this
study it was concluded that leadership style of managers especially employee oriented
dimension affects job satisfaction of an employee specific job satisfaction dimension
indicates that highest dissatisfaction level occur in the area of salary, benefits and working
conditions and area of dissatisfaction are signal of change for that in hospitals in Iran.

Morris J. T. (2014) conducted a research work to study the impact of authentic leadership and
ethical firm culture on auditor behaviour with respect to fact that unprofessional behaviour
has resulted in several high profile financial scandals and business failures and leaders within

Factors influencing job satisfaction Page 7

major audit firms are urged to foster more ethical firm environments as a means of inhibiting
dysfunctional auditor behaviour. In the questionnaire Morris tried to create anonymity of
respondents so a result could not get affected by the respondents reply. The data collected
through it was then analysed by descriptive statistics, correlation, and reliability and
regression analysis. The study was mainly focussed towards effects of authentic leadership
qualities (ALQ), corporate ethical values (CEV), and ethical firm culture on auditor’s
performance and satisfaction. This study resulted into support of four constructs of authentic
leadership have influence over the employee’s perception of ethical content of a firm’s
organizational culture. Further it also suggested that the underlying values and beliefs of an
organization’s culture may influence the behaviour of an individual member. The major
limitation of this study was that the observation and measurement of ethics is difficult.

Yozgat U., Mesekiran G. (2015) studied the impact of perceived ethical leadership and trust
in leader on job satisfaction and for study of this a questionnaire including measures of
perceived ethical leadership, trust in leader and job satisfaction was distributed to middle
level managers working in the member of Corporate Governance Association of Turkey
companies applying corporate governance principle. This study emphasized the importance
of leadership with the boundaries of organizational studies, exercised leadership behaviour is
crucial in forming and maintaining competitive advantage, sustainable profitability and
satisfactory employee performance. Also the attributes that are consistent with one culture
may not be consistent within the boundaries of another culture when thinking the type of
leadership that is accepted, enacted and effective. The main limitation of this study was that it
was conducted through non probabilistic sampling method which was purposive and
convenience sampling.

Yaacob M., Long C. S. (2015) studied the relationship between occupational stress and job
satisfaction among teachers. The determinants which was studied under occupational stress
were role ambiguity, role overload and work family conflict. A total 386 teachers participated
as respondents in which there were 282 females and 104 male teachers. The overall
correlation between job satisfaction and occupational stress was found out to be 0.13 and role
ambiguity, role overload and work family conflict have 0.50, -0.09 and -0.03 respectively.
From which it was founded that only role ambiguity have a relationship with job satisfaction.
There was a high level of occupational stress among teachers which might be due to lack of
clarity in their roles, overload of work, assignments, and relationship conflict at home and
work. The pressure on teachers to do more work was extent of non-teaching task such as

Factors influencing job satisfaction Page 8

photocopying, filing, acting as social worker, paperwork, form filing, duplicating and typing
letters.

Mosadeghrad A. M. (2014) conducted a research to identify the status of occupational stress

among a sample of employees in Iran. He further defined socio-demographic factors of
occupational stress as

 Gender
 Educational level
 Tenure
 Race

He further found that occupational stress may cause physical, mental and social illness like
 Chronic fatigue
 Disordered eating
 Headaches
 Increased blood pressure
 Increased risk of cardiovascular diseases
 Emotional exhaustion
 Lack of concentration
 Sleeping problems
 Anxiety
 Suicidal ideation
Job related stresses were defined as anything related to duties, responsibilities and
organisational role that produces adverse consequences for an individual such as workload,
time pressure and decision latitude. Occupational stress is an important determinant of
employee retention so it is important to reduce it by applying the right human resource
policies.

Kraimer M. L., Wayne S. J., Liden R. C., Sparrowe R. T.(2005) explored the role of full-
time employees’ perceived job security in explaining their reactions to the use of temporary
workers by using a sample of 149 full-time employees who worked with temporaries. The
purpose of this study was to examine the relation between full-time employees’ perceived job
security and their perceptions of temporary workers as a threat and a benefit, and the relation
between these perceptions and supervisory ratings on job satisfaction. There was a sample of
149 respondents in this study and it was founded that for those with high job security, there
was a positive relationship between benefit perceptions and performance and for those with

Factors influencing job satisfaction Page 9

low job security, there was a negative relationship between threat perceptions and
performance.

Imran R., Majeed M., Ayub A. (2014) explored the relationship between job security,
organizational justice and organizational productivity with the mediating role of job
satisfaction. Employees can work properly only if they are committed, loyal and sincere
towards the organization and this is only possible if they are satisfied with the organization,
its decisions, their salary packages and other similar factors. It is very important for the
organization to ensure employee job satisfaction as the cost of hiring a new employee is very
high and no organization has enough resources and time to hire a new employee every now
and then. In the analysis it was proved statistically that job security is positively related
productivity and job satisfaction. So it can be concluded from this study that job security, job
satisfaction and organizational justice, productivity of any organization can be increased. In
this competitive age only those organizations can survive who focus on their employee
satisfaction, justice and security in other words we can say human resource management.

3. RESEARCH METHODOLOGY

This study has been undertaken to understand the factors influencing job satisfaction in
tertiary sector. This study also investigates the demographic variables such as age, gender,
educational qualification, work experience and income as factors of job satisfaction.

3.1 RESEARCH DESIGN

The research methodology used to conduct the study is DescriptiveResearch designas well as
Exploratory research design. The idea behind this quantitative research is to study the
impact of one variable (independent) on the other variable (dependent), hence falls under the
descriptiveresearch methodologyandwith regards to demographics we are using exploratory
research design.

3.2 OBJECTIVES OF THE STUDY

The main objectives of our research are:
1. To study the effect of compensation on job satisfaction.
2. To study the effect of occupational stress on job satisfaction.
3. To study the effect of job security on job satisfaction.
4. To study the effect of leadership of an organisation on job satisfaction.

Factors influencing job satisfaction Page 10

 5. To see the association between demographic variables (age, gender, educational
qualification, work experience and income) and job satisfaction.

3.3 CONCEPTUAL MODEL

This study is aimed to develop and examine a conceptual model regarding the factors
influencing job satisfaction in tertiary sector, based on the review of literature. The developed
conceptual model is presented as follows:

COMPENSATION

OCCUPATIONAL
STRESS
JOB
SATISFACTION
JOB
SECURITY

DEPENDENT
LEADERSHIP OF
VARIABLE
AN
ORGANISATION DEMOGRAPHICS

INDEPENDENT MEDIATOR
VARIABLES VARIABLE
VARIABLES
Independent Variables:
1. Compensation
2. Occupational stress
3. Job security
4. Leadership of an organization
Dependent Variable:
1. Job security
Mediator Variable:
1. Demographics

Factors influencing job satisfaction Page 11

3.4 HYPOTHESIS FORMULATION
H1: There is a significant and positive relationship between compensation and job
satisfaction.
H2: There is a significant and negative relationship between occupational stress and job
satisfaction.
H3: There is a significant and positive relationship between job security and job satisfaction.
H4: There is a significant and positive relationship between leadership of an organisation and
job satisfaction.

3.5 SAMPLING PROCEDURE

3.5.1Sampling Plan
Employees working in the tertiary sector (Banking sector and
Target Population
Education Sector).
Unit of population Individuals (Males and Females)
SBI and ICICI Bank (Banking Sector) andPanjab University
Sampling Unit
(Education Sector)
Extent Chandigarh
Sampling Technique Quota and Judgmental Sampling
Sample Size 100

3.5.2 Response Rate

The questionnaire was administered to 100 people to the employees of SBI, ICICI
Bankand Panjab University. Out of this -89 completed questionnaires were received which
were deemed fit to carry out further analysis whereas others refused to fill in the
questionnaire. Thus the response rate is89%.

3.6 DATA COLLECTION

3.6.1Data Collection Procedure

Primary data was collected through self-administered questionnaire to the respondents.
Secondary data was collected through research papers, journals, websites, books, project
reports and so on.

Factors influencing job satisfaction Page 12

 3.6.2 Instrument
Questionnaire: A specific questionnaire designed for the purpose of research was
used.The questionnaire was composed of three section and total of forty eight statements.
In our questionnaire first 10 questions are related to compensation, next 10 questions to
job security, next 5 questions to leadership, next 7 questions to occupational stress and last
10 questions for job satisfaction. Compensation and Job security scales were taken from
Greg R.Oldham ,Carol T. Kulik scale which is measured on a 7 point Likert scale.
Leadership scales was taken from Jan Taylor Morris scale which is measured on a 5 point
Likert scale. Occupational stress scales was taken from William O. Bearden scale which is
measured on a dichotomous scale. Job satisfaction was taken from Scott Macdonald and
Peter Mac Intyre scale which is measured on a 5 point Likert scale.

3.6.3 Data Analysis Plan

A planned statistical analysis by the use of IBM SPSS v20 shall be carried out post
tabulation of the data. The proposed analyses are: Regression and Correlation Analysis.

5 DATA ANALYSIS

The following Data analysis is performed on the basis of the data filled in the questionnaires.
There are various tools of data analysis that helps the researcher to interpret data into final
results. Various tools have been used to analyse the data for the data analysis, Probability and
Non-probability data analysis and for the testing of Hypothesis.

5.1 Exploratory Data Analysis

Exploratory data analysis has been done on the data and is shown as follows. The
demographic profile for the overall data reveals that the sample consisted of 50.60% female
and 49.4% male. This shows the sample was representative of the true population and it does
not have biasness towards a particular gender.

Frequency Percent

Female 45 50.6

Valid Male 44 49.4

Total 89 100.0

Factors influencing job satisfaction Page 13

Further the data reveals that the age between 18 to 25 was 36%, age between 25 and 35
consists of 59.6%, further between age 35 &504.5% and finally the people above age 50 is
nil.
Age

Frequency Percent

18-25 32 36.0

25-35 53 59.6
Valid 35-50 4 4.5
Above 50 0 0

Total 89 100.0

Factors influencing job satisfaction Page 14

Data regarding income reveals that 13.5% of respondents have income upto 2.5 Lakh, it
further reveals that 44.9% of respondents had 2.5 lakh to 5 lakh as their income, income
between 5 Lakh -10 Lakh has 28.1% population, income above 10 Lakhhas 13.5%.
Income

Frequency Percent

2.5 Lakh to 5 Lakh 40 44.9

5 Lakh to 10 Lakh 25 28.1

Valid Above 10 Lakh 12 13.5

Upto 2.5 Lakh 12 13.5

Total 89 100.0

Data regarding the qualification reveals that there were no respondents with secondary as
well as higher secondary education level,59.6% respondents were graduates and 40.4% were
post graduates and above.

Educational Qualification

Frequency Percent

Secondary 0 0
Higher Secondary 0 0

Valid Graduation 53 59.6

Post Graduation and above 36 40.4

Total 89 100.0

Factors influencing job satisfaction Page 15

Data regarding the work experiencereveals that there were 31.5% respondents with work
experience between 0-2 years, 47.2% sample had a work experience of 2-5 years, respondents
with experience of 5-10 years were 15.7% and 5.6% respondents had a work experience of
10-20 years.
Work Experience

Frequency Percent

0 - 2 years 28 31.5

10 - 20 years 5 5.6

Valid 2 - 5 years 42 47.2

5 - 10 years 14 15.7

Total 89 100.0

Factors influencing job satisfaction Page 16

5.2. Testing the reliability
Cronbach's alpha is the most common measure of internal consistency ("reliability"). It is
most commonly used when we have multiple Likert questions in a survey/questionnaire that
form a scale and we wish to determine if the scale is reliable or not.

Reliability Statistics

Cronbach's N of Items
Alpha

.914 42
Since the value of Cronbach’s alpha > 0.7 therefore data is reliable.

5.3 Checking the normality of collected data

Normality test was applied. Average values of collected responses for each section was
calculated and used for applying normality test. Since the sample size < 2000, Shapiro-Wilk
test has been used for ascertaining the normality of the data at hand.

Tests of Normality

Kolmogorov-Smirnova Shapiro-Wilk

Statistic df Sig. Statistic df Sig.

CompensationMean .087 89 .096 .980 89 .183

*
JobSecurityMean .062 89 .200 .984 89 .349
LeadershipMean .104 89 .019 .972 89 .049
OccStressMean .152 89 .000 .901 89 .000
JobSatisMean .090 89 .069 .973 89 .058

*. This is a lower bound of the true significance.

Factors influencing job satisfaction Page 17

a. Lilliefors Significance Correction

Thus the p-values are below 0.05, Therefore the data under consideration is not normal.
Thus, non parametric tests shall be used for analysis.

5.4 Correlaton Analysis(Testing the hypotheses)

We made use of Spearman’s Correlation test to analyse the hypotheses, due to the following
relevant factors:

 The hypotheses try to study the relationship between consumerknowledge, attitude

and acceptance of functional food.
 The data is non-normal in nature.

Correlations

Compensati JobSecurit Leadership OccStress JobSatisMe

onMean yMean Mean Mean an
** ** **
Correlation Coefficient 1.000 .343 .514 -.308 .561**
Compensation
Sig. (2-tailed) . .001 .000 .003 .000
Mean
N 89 89 89 89 89

Correlation Coefficient .343** 1.000 .401** -.350** .447**

JobSecurityMe
Sig. (2-tailed) .001 . .000 .001 .000
an
N 89 89 89 89 89
** ** **
Correlation Coefficient .514 .401 1.000 -.441 .671**
Spearma LeadershipMea
Sig. (2-tailed) .000 .000 . .000 .000
n's rho n
N 89 89 89 89 89

Correlation Coefficient -.308** -.350** -.441** 1.000 -.493**

OccStressMea
Sig. (2-tailed) .003 .001 .000 . .000
n
N 89 89 89 89 89
** ** ** **
Correlation Coefficient .561 .447 .671 -.493 1.000

JobSatisMean Sig. (2-tailed) .000 .000 .000 .000 .

N 89 89 89 89 89

**. Correlation is significant at the 0.01 level (2-tailed).

H1: There is a significant and positive relationship between compensation and job
satisfaction.

Interpretation:

 As the Sig. 2 tailed value is .000, less than .05, this is statistically significant. Also the
value of correlation coefficient is 0.561 which means a good positive correlation.

Factors influencing job satisfaction Page 18

 Hence, there is positive and significant relationship between compensation and job
satisfaction.

H2: There is a significant and negative relationship between occupational stress and job
satisfaction.

Interpretation:

 As the Sig. 2 tailed value is .000, less than .05, statistically there is a significant
correlation between occupational stress and job satisfaction.. The value for Spearman
Coefficient is -0.493. Hence there is a significant and negative relationship between
occupational stress and job satisfaction.

H3:There is a significant and positive relationship between job security and job satisfaction.

Interpretation:

 As the Sig. 2 tailed value is .000, less than .05, statistically there is a significant
correlation between job security and job satisfaction. The value for Spearman
Coefficient is 0.447. Hence there is a significant and positive relationship between job
security and job satisfaction.

H4:There is a significant and positive relationship between leadership of an organisation and

job satisfaction.

Interpretation:

 As the Sig. 2 tailed value is .000, less than .05, statistically there is a significant
correlation betweenleadership of an organization and job satisfaction. . The value for
Spearman Coefficient is 0.671. Hence there is a significant and positive relationship
between leadership of an organization and job satisfaction.

5.4 Regression Analysis

Regression analysis is done to find the relationship between the dependent variable and
independent variable. It will generate a model indicating a link between the dependent and

Factors influencing job satisfaction Page 19

independent variables.

From value of R square, it can be said that Job Satisfaction account for only 53.5 % of
variation in various factors.

ANOVAa

Model Sum of Squares df Mean Square F Sig.

Regression 40.062 4 10.015 24.143 .000b

1 Residual 34.846 84 .415

Total 74.907 88

a. Dependent Variable: JobSatisMean

b. Predictors: (Constant), OccStressMean, CompensationMean, JobSecurityMean,
LeadershipMean

The value Sig = 0.000 denotes that the model is significant.

Regression Equation:

Job Satisfaction = 2.367+ 0.271*Compensation + 0.327*Leadership – 0.632*Occ. Stress

Factors influencing job satisfaction Page 20

 This equation indicates that for every 1 unit increase towards Compensation, a 0.271 unit
increase in job satisfaction is predicted (holding all other variables constant).

This equation indicates that for every 1 unit increase towards Leadership, a 0.327 unit
increase in job satisfaction is predicted (holding all other variables constant).

This equation indicates that for every 1 unit increase towards Occupational Stress, a 0.632
unit decrease in job satisfaction is predicted (holding all other variables constant).

5.5 Evaluation based on demographics

Chi Square Test

Interpretation:

There is statistically significant relation between work experience and Job satisfaction.

6 Results

Hypothesis Accepted/Rejected
H1: There is a significant and positive relationship between Accepted
compensation and job satisfaction.
H2: There is a significant and negative relationship between Accepted
occupational stress and job satisfaction.
H3: There is a significant and positive relationship between job Accepted
security and job satisfaction.
H4: There is a significant and positive relationship between leadership Accepted
of an organisation and job satisfaction.

7 IMPLICATION

 Attrition rate can be controlled in tertiary sector by maximizing job satisfaction which
is dependent on various factors.
 The job satisfaction depends upon the various factors namely compensation,
leadership, occupational stress and job security.

Factors influencing job satisfaction Page 21

  Organizations should formulate their policies targeting the most impactful attribute of
job satisfaction.
 There was no major difference among the different demographic groups except work
experience which has some relationship with job satisfaction.

8 LIMITATIONS OF THE STUDY

 The study was conducted in a short period of time.

 The study is limited to only Chandigarh.
 The purview of this study is limited by the small size of sample.
 As it was academic study cost was a constraint.

Factors influencing job satisfaction Page 22

 Refrences
 Lu, H. , While, A. E. , &Barriball, K. L. ( September 2004). Job satisfaction among
nurses: a literature review. International Journal of nursing studies, 42, 211-227.
 Tepret, N. Y., & Tuna, K. (2015). Effect of management factor on employee job
satisfaction: An application in telecommunication sector. Procedia- Social and
Behavioral Sciences. 195, 673-679.
 Morris, J. T. ( September 2014). The impact of authentic leadership and ethical firm
culture on auditor behaviour. Journal of Behavioral Studies in Business Volume, 7, 1-
32.
 Yozgat, U., &Mesekiran, G. ( February 2015). The impact of perceived ethical
leadership and trust in leader on job satisfaction. Journal of Economics, Business and
management, 4(2), 125-131.
 Nazir, S., Qun, W., Akhtar, M. N., Shafi, A., &Nazir, N. ( January 2015). Financial
rewards climate and its impact on employee attitudes towards job satisfaction in the
retail organization. European Scientific Journal, 11(1), 351-364.
 Yaacob, M., & Long, C. S.( March 2015). Role of occupational stress on job
satisfaction. Mediterranean Journal of Social Sciences, 6(2), 81-87.
 Schreurs, B., Guenter, H., Emmerik, I. J. H., Notelaers, G., &Schumache, D. (2015).
Pay level satisfaction and employee outcomes: the moderating effect of autonomy and
support climates. The International Journal of Human Resource Management, 26(12),
1523-1546.
 Rad, A. M. M., &Yarmohammadian, M. H. (2006). A study of relationship between
managers’ leadership style and employees’ job satisfaction. Leadership in Health
Services, 19(2), xi-xxviii.
 Mulla, R., Vyas, B., &Hanji, S. ( October 2014). A study on factors influencing
employee job satisfaction in cement industry at Bagalkot district. International
journal of research in commerce & management, 5(10), 30-38.
 Mosadeghrad, & A. M. ( January 2014). Occupational stress and its consequences.
Leadership in Health Services, 27(3), 224-239.
 Derakhshani, A., &Ghasemzadeh, A. (2014). A survey about the correlation between
accountability, job Satisfaction, job Performance, job tension and organizational
citizenship behavior (OCB) in faculty members of East Azerbaijan PNU. International
Journal of Basic Sciences & Applied Research, 3(11), 781-786.
 Oldham, G. R., Kulik, C. T., Stepina, L. P., & Ambrose, M. L. (1986). Releations
between situational factors and the comparative referents used by employees.
Academy of Management Journal, 29(3), 599-608.
 Macdonald, S., &MacIntyre P. (1997). The generic job satisfaction scale: Scale
development and its correleates. Employee Assistance Quarterly, 13(2), 1-16.
 Bearden, W. O., &Netemeyer, R.G. (1999). Handbook of marketing scales (2nded.).
New Delhi, SAGE Publisher.

Factors influencing job satisfaction Page 23

 QUESTIONNAIRE

We the MBA students of University Business School, Panjab University, Chandigarh are
doing a research project on “The factors influencing Job Satisfaction in Tertiary Sector”. We
assure you that your information and feedback you provide will remain confidential and that
this research is purely for academic purposes.

SECTION A

Part 1: Compensation

On the basis of your preference please circle one number per line to indicate the extent to
which you agree or disagree with the following statements, where

(1) = Very Inaccurate; (2) = Inaccurate; (3) = Somewhat Inaccurate; (4) = Neutral; (5) =
Somewhat Accurate; (6) = Accurate; (7) = Very Accurate

Q.

Somewhat

Somewhat
Inaccurate

Inaccurate

Inaccurate

Accurate

Accurate

Accurate
No.

Neutral
Very

Very
Questions

1. I’m paid a great deal of money for 1 2 3 4 5 6 7

performing my job.
2. I get regular raises in this organization. 1 2 3 4 5 6 7
3. I am entitled to take off several 1 2 3 4 5 6 7
"personal" days with pay each year.
4. I make a considerable amount of 1 2 3 4 5 6 7
money on my job.
5. I receive a considerable amount of time 1 2 3 4 5 6 7
off with pay in my position.
6. I make enough money to take care of 1 2 3 4 5 6 7
my family.
7. I get time off with pay on major 1 2 3 4 5 6 7
holidays.
8. If I were to die, my family would 1 2 3 4 5 6 7
receive benefits from the organization.
9. In total, my cash compensation is quite 1 2 3 4 5 6 7
small.
10. I need additional income to make ends 1 2 3 4 5 6 7
meet.

Part 2: Job Security

Factors influencing job satisfaction Page 24

On the basis of your preference please circle one number per line to indicate the extent to
which you agree or disagree with the following statements, where

(1) = Very Inaccurate; (2) = Inaccurate;(3) = Somewhat Inaccurate; (4) = Neutral; (5) =
Somewhat Accurate; (6) = Accurate; (7) = Very Accurate

Q.

Somewhat

Somewhat
Inaccurate

Inaccurate

Inaccurate

Accurate

Accurate
Accurate
No.

Neutral
Very

Very
Questions

1. I am secure in my job. 1 2 3 4 5 6 7
2. I am confident that I will be able to 1 2 3 4 5 6 7
work for this organization as long as I
wish.
3. My organization will not cut back on 1 2 3 4 5 6 7
the number of hours I work each week.
4. Regardless of economic conditions of 1 2 3 4 5 6 7
the organization, I will have a job in
this organization.
5. If my job were eliminated, I would be 1 2 3 4 5 6 7
offered another job in the organization.
6. I'll be able to keep my present job as 1 2 3 4 5 6 7
long as I wish.
7. If this organization were facing 1 2 3 4 5 6 7
economic problems, my job would be
the first to go.
8. My job will be there as long as I want 1 2 3 4 5 6 7
it.
9. The organization would transfer me to 1 2 3 4 5 6 7
another job if I were laid off from my
present job.
10. My job is not a secure one. 1 2 3 4 5 6 7

Part 3: Leadership

On the basis of your preference please circle one number per line to indicate the extent to
which you agree or disagree with the following statements, where

(1) = Not At All; (2) = Once in a while;(3) = Sometimes; (4) = Fairly Often; (5) = Always

Q.
Sometimes
Not At All

Once in a

No.
Always
Fairly
Often
while

Questions

1. He says exactly what he or she means. 1 2 3 4 5

Factors influencing job satisfaction Page 25

 2. He demonstrates beliefs that are consistent 1 2 3 4 5
with actions.
Q.

Sometimes
Not At All

Once in a
No.

Always
Fairly
Often
while
Questions

3. He makes decisions based on his or her 1 2 3 4 5

core values.
4. He asks you to take positions that support 1 2 3 4 5
your core values.
5. He makes difficult decisions based on high 1 2 3 4 5
standards of ethical conduct.

Part 3: Occupational Stress

On the basis of your preference please tick mark Yes/No to indicate that you agree or
disagree with the following statements.

Q. No. Question Yes No

1. I feel nervous because of my job.
2. Problems associated with work have kept me awake at
night.
3. My job tends to directly affect my health.
4. If I had a different job, my health would probably
improve.
5. I often “take my job home with me” in the sense that I
think about it when doing other things.
6. I feel nervous before attending meetings in the
organization.
7. I sometimes feel weak all over.

SECTION B:

Job Satisfaction

On the basis of your preference please circle one number per line to indicate the extent to
which you agree or disagree with the following statements, where

(1) = Strongly Disagree; (2) = Disagree;(3) = Neutral; (4) = Agree; (5) = Strongly Agree

Factors influencing job satisfaction Page 26

 Q.

Disagree

Disagree
Strongly

Strongly
No.

Neutral

Agree

Agree
Questions

1. I receiverecognition for a job welldone. 1 2 3 4 5

2. I feel closeto thepeopleatwork. 1 2 3 4 5

3. I feelgoodabout workingat thisorganisation. 1 2 3 4 5

4. I feel secureaboutmy job. 1 2 3 4 5

5. I believemanagement isconcernedabout me. 1 2 3 4 5

6. On the whole,I believeworkis good for my 1 2 3 4 5

physical health.
7. My wages are good. 1 2 3 4 5

8. All my talentsandskillsareusedat work. 1 2 3 4 5

9. I get alongwithmy supervisors. 1 2 3 4 5

10. I feelgoodaboutmy job. 1 2 3 4 5

SECTION C:

Demographic

Name: ______________________

Gender: Male Female

Age:

(1)18-25 (2) 25-35

(3) 35-50 (4) Above 50

Income:

(1) Upto 2.5 Lakh (3) 5 Lakh to 10 Lakh

(2) 2.5 Lakh to 5 Lakh (4) Above 10 Lakh

Factors influencing job satisfaction Page 27

Educational Qualification

(1) Secondary (2) Higher Secondary

(3) Graduation (4) Post Graduation and above

Work Experience

(1) 0 - 2 years
(3) 5 - 10 years
(5) 20 yearsand above

(2) 2 - 5 years
(4) 10 - 20 years

Factors influencing job satisfaction Page 28

The factors influencing Job Satisfaction in Tertiary Sector Page 29