4) Why Employee Job Satisfaction is important to Banking Industry

                                       

   

A good employer makes going to work each day fun, rewarding and challenging. When searching for jobs, look for companies with happy employees, good benefits and a positive company culture. These are signs of a great place to work.

A great place to work cares about and supports its employees while also challenging them to grow with the company. At these companies, managers and their employees trust and respect each other and have a shared commitment to both individual and company success. Great companies try to meet their employees' financial, mental, physical and emotional needs. As a result, employees are often more productive, satisfied and willing to stay at the company long term. These things are very important to banking industry to maintain positive working environment.

Why is a positive working environment important?

                        

Positive working environments provide several benefits for both employees and employers. This is because this type of environment can lead to employee success and happiness both personally and professionally. Here are four reasons why a positive work atmosphere is important in the workforce.

Simple ways to foster a positive work environment

*Prioritize onboarding and training.

*Create a comfortable work environment.

 *Conduct regular check-ins.

 *Encourage collaboration and communication.

 *Develop a strong workplace culture.

 *Facilitate opportunities for learning. 

Factors Influencing Job Satisfaction in Banking Industry 

                           

Job Satisfaction                                                                                                                       

A satisfied workforce is an asset to any organizations. Nowadays, organizations are considering workforce as the source of competitive advantage which creates both tangible and intangible benefits for the organization and as such they are concerned with employees satisfaction and well-being.

Job satisfaction described how much employees are satisfied with their job and there are different factors affecting their satisfaction. factors actors which mostly influenced the job satisfaction are Job security, job    rotation , job enrichment, salary, promotion, working condition, nature of work, benefits, relationship with coworkers, supervision support, demographic factors, working experiences, quality of management, attitude of employee, career opportunities, communication, higher education level, motivation, long term employment. The success of an organization would be mostly depends upon the satisfaction   of its   employees. Job satisfaction builds through the conditions, Work Environment, Salary, Team Work, Nature of Work, an experience that employees are getting from their work.  Job security is the most common factor for job satisfaction. It clearly states that higher job satisfaction, better will be its functioning in an organization.

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

HR is considered to be   most important asset in any organization, especially for banks.   It is most important pillar of economic, social and cultural development. Job satisfaction is the level of contentment a person feels regarding his or her job. This feeling is mainly based on an individual's perception of satisfaction. If job is pleasantness, an employee satisfies his/her job. Generally, bank employees are feeling stress, which can impact job performance, mental well-being, physical health, impact decision making skills and may lead to making unethical decisions. These are obviously leads to job dissatisfaction. Job satisfaction as a bi-dimensional concept consisting of intrinsic and extrinsic satisfaction dimensions. Intrinsic sources of satisfaction depend on the individual characteristics of the person. Extrinsic sources of satisfaction are situational and depend on the environment. Both extrinsic and intrinsic job facets should be represented, as equally as possible, in a composite measure of job satisfaction.

 Factors Affecting Job Satisfaction

 *Age

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

* Leadership

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

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

* Challenges

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

* Responsibilities

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

 * Creativity in the Workplace

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

* Personal Interest

Having a personal interest in the job one does is an essential factor. It is because here, the job work is more of a hobby, which never ceases to bore the individual. 

* Flexibility

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

 * Two-way Feedback

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

* Performance Management

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

* Trust

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

How important is Job Satisfaction to Banking Industry

The importance of job satisfaction for Banking Industry is huge as it is linked to many variables, including productivity, absenteeism, and turnover.

It is significant because a person’s attitude and beliefs may affect his or her behavior.

Attitudes and beliefs may cause a person to work harder, or, the opposite may occur, and he or she may work less.

Job satisfaction studies often focus on the various parts that are believed to be important, since these jobs related attitudes predispose an employee to behave in certain ways.

It also affects a person’s general well-being.

Consequently, if a person is dissatisfied with their work, this could lead to dissatisfaction in other areas of their life. Keeping workers happy helps to strengthen a company in many ways.

                             

Lower Turnover

Turnover can be one of the highest costs attributed to the Banking Industry. Retaining workers help to create a better environment, and makes it easier to recruit quality talent and save money. A person is more likely to be actively searching for another job if they have low satisfaction; whereas, a person who is satisfied with their job is less likely to be job seeking.

Medina (2012) found that job satisfaction was strongly inversely correlated with turnover intention and this relationship was mediated by satisfaction in workplace culture.

The study provides evidence that should be further explored to aid in the understanding of employee turnover and job satisfaction; particularly how job satisfaction and employee turnover relate to workplace culture. The bottom line: satisfied employees are typically much less likely to leave.

Higher Productivity

Irrespective of job title and pay grade, employees who report high job satisfaction tend to achieve higher productivity. When someone is happy with their job, they focus well and they pay attention to their tasks.

They seem themselves responsible and accountable for achieving the organizational goal that does make them happy.

When one member of a team displays high productivity, it is natural for other members of the team to try to increase productivity at the desired level.

Increased Customer Satisfaction

Keeping employees safe and satisfied can lead to higher sales, lower costs and a stronger bottom line. Profit can be earned by selling, the products or giving services to the customers.

If the employees are satisfied with their job then they can give better customer service and we know that customer retention and loyalty are dependent based on the given service of the employees. If customers’ loyalty is increased, automatically it will lead to an increase in profit. Loyalty: When employees feel the company has their best interests at heart, they often support its mission and work hard to achieve its objectives

In this situation, job satisfaction and the level of loyalty of that employee will be increased. And, they may be more likely to tell their friends, which helps to spread goodwill.

Employee Absenteeism

It is likely that a satisfied worker may miss work due to illness or personal matters, while an unsatisfied worker is more likely to take “mental health” days, i.e. days off not due to illness or personal reasons.

When people are .satisfied with their job they may be more likely to attend work even if they have a cold; however, if they are not satisfied with their job, they will be more likely to call in sick even when they are well enough, to work.

Helps to Earn Higher Revenues

No amount of training or motivation-would help, unless and until individuals develop a feeling of attachment and loyalty towards their organization. Employees waste half of their time fighting with their counterparts or sorting out issues with them.

Satisfied employees are the happy employees who willingly help their fellow workers and cooperate with the organization even during emergencies. For them, their organization comes first, everything else later. They do not come to the office just for money but because they feel for the organization and believe in its goals and objectives.

Instead of wasting their time in gossiping and waiting around they believe in doing productive work eventually benefitting the organization. They take pride in representing their respective organizations and work hard to ensure higher revenues for the organization.

 Satisfied Employees Tend to Handle Pressure

Employees who are happy with their jobs are willing to participate in training programs and are eager to learn new technologies, software which would eventually help them in their professional careers.

Satisfied employees accept challenges with a big smile and deliver even in the worst of circumstances. Employee satisfaction is of utmost importance for employees to remain happy and also deliver their level best. Satisfied employees are the ones

Who are extremely loyal towards their organization and stick to it even in the worst scenario. They do not work out of any compulsion but because they dream of taking their organization to a new level.

Employees need to be passionate about their work and passion comes only when employees are satisfied with their job and organization on the whole.

Banks should concentrate to build a set of satisfied employees. It must be  admitted   and   appreciated  because  total  success  of  the  bank  depends  on  the  employees’ performance,  efficiency,  honesty, diligence  and integrity.  So  special  care should  be taken  to increase and  maintain their level  of job  satisfaction and  thereby assist  them to  increase their efficiency and productivity since they are playing a vital role in the economic development of any country.

Reference 

1.https://www.iedunote.com/importance-job-satisfaction on 10.05.2022

2.https://www.villanovau.com/resources/hr/importance-of-job-satisfaction-in-the-workplace/ on 10.05.2022

3.https://positivepsychology.com/job-satisfaction/ on 10.05.2022

4.Attitudes and job satisfaction[online]Available from :Job Satisfaction theories https://www.slideshare.net/speedaoc/ch3-attitudes-and-job-satisfaction on 10.05.2022