Relationship between pay, job satisfaction and organizational commitment: a survey of employees of the Kenya state corporations

Abstract

The purpose of this study was to investigate the relationship between type of pay, job satisfaction and organizational commitment of employees working in State Corporations in Kenya.

Data was collected by use of a questionnaires administered by “Drop and Pick later” approach from a sample of forty (40) State Corporations that was drawn by use of stratified sampling method from a population of one hundred and forty two (142) corporations.

The data collected was analyzed using SPPS and Eviews Statistical package, where descriptive statistics such as mean, standard deviations, frequencies and percentages were generated. To establish whether there was any relationship and significance of the said relationship between pay type, job satisfaction and organizational commitment, Pearson’s Product Moment Correlation matrices were also generated.

From the data analysis it was found that the salary paid to the employees was not attractive vis-à-vis what was on offer in the market and that the pay on offer in the majority of the organizations was not commensurate with qualifications, skills and experience. No significant relationship was found to exist between pay type and job satisfaction and also between pay type and organizational commitment.

It can also be concluded that even though in the bulk of the State Corporations the employees were satisfied with their jobs and were committed to their organizations, the only limiting factor was pay levels, which the majority of the employees were not satisfied with.