The Influence of Workplace Condition and Employee Satisfaction on Employee Commitment: A Behavioural Decision Making Perspective

Abstract

Developing and maintaining a relationship with employees has become an imperative thing to do for businesses to be competitive in today’s dynamic environment. Workplace conditions tends to have either a positive or negative impact on employees’ behaviour and output. Behavioural decision making theory tends to support that satisfied employees are likely to be more productive and involved in organisational activities. Despite the increase in research focusing on workplace conditions on organisational performance, there seem to be lack of studies that have investigated the influence of workplace conditions and employee satisfaction on employee commitment in the business fraternity in South Africa, Vanderbijlpark in particular. Therefore, using a data set of 150 from lower level employees in Vanderbijlpark, this study examines these relationships. Smart PLS software for Structural Equation Modeling (SEM) technique was used to statistically analyse the measurement and structural models. The results indicated that there is a significant positive relationship between all the three hypotheses. The research paper discusses both academic and managerial implications of the results and future research directions are suggested.

DOI: 10.5901/mjss.2014.v5n27p1015