The Journal of Science of Labour
Online ISSN : 2187-2570
Print ISSN : 0022-443X
Field Reports
Causal Relationship between Job Satisfaction and Organizational Performance
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2011 Volume 87 Issue 4 Pages 157-168


An investigation of job satisfaction was conducted by administering a questionnaire to about 1800 white-collar workers at 70 companies. The business performance of the companies as measured by the operating profit ratio in three different periods, before, during and after the survey, was ascertained based on published information. To avoid the influence of business fluctuations and exchange rates, the companies were classified in three groups, machinery, chemical and pharmaceutical, and the correlation coefficient between job satisfaction and the operating profit ratio was calculated for each industry.
The results of data analysis revealed that job satisfaction was significantly correlated with the operating profit ratio both during and after the survey period. However, job satisfaction was not correlated with the profit ratio before the survey. These findings suggest that job satisfaction is not the result of the business performance, and that higher job satisfaction results in improved organizational performance.

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© 2011 The Institute for Science of Labour
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