Global Journal of Management and Business Research, A: Administration and Management, Volume 23 Issue 5

An Empirical Study on Factors Influencing Job Satisfaction of Human Resource in Banks and Insurance Companies of Nepal Biplav Poudel Author: BBA Undergraduate Student Mahendra Multiple Campus, Dharan, Nepal Faculty of Management Tribhuvan University, Kathmandu, Nepal. e-mail: Poudelbiplav70@gmail.com Abstract- Job satisfaction is the positive emotional feeling of an employee towards their job. It is one of the most important outcomes of an organization depends on the various motivational factors. Out of different motivational theories, this research work has used Herzberg’s Two Factor Theory of motivation to understand the impact of motivational factors on job satisfaction of human resource working in bank and insurance companies of Nepal. Due to the use of the theory, the assumed 15 motivational factors are classified into two groups- i.e, hygiene factor and motivator factor, and later on, each of the motivational factors are further grouped into motivational and de-motivation factors to meet the assumption of independent sample t-test through IBM SPSS 25 version. To test the internal consistency reliability of questions related to 15 constructs, the Cronbach Alfa ( α ) coefficient has been calculated. To create consistency with the sample size assumed in Herzberg’s theory of motivation, this research paper has collected primary data from 200 respondents through a face-to-face interview method with a structured questionnaire. Results of this research work have partially accepted the conclusion of Herzberg’s theory of motivation. The development of the independent sample t-test, it has been found that relation with colleagues and allowances do not significantly affect on the level of job satisfaction of human resources, whereas the remaining 13 motivational factors- i.e, salary, bonus, vehicle facility, training, job promotion, work environment, rules & regulations, loan facility, relation with superior, awards, challenging job, relation with subordinate and job security do significantly effect on job satisfaction of human resources. The research paper concludes that to improve the job satisfaction of human resource, the bank and insurance companies of Nepal should increase their time, effort and finance on the remaining 13 motivational factors rather than on the two motivational factors. Keywords: job satisfaction, herzberg’s two factor theory, bank, insurance companies, human resources, motivational factors, Nepal. I. I ntroduction ob satisfaction is one of the major outcomes of an organization which means positive, emotional and pleasurable response of employees towards their particular job or organization. Job satisfaction increases the efficiency and productivity of the business organization. When employees receive expected rewards and incentives from their job it helps to satisfy them (Poudyal & Pradhan, 2018). For example, paying workers high salaries can enhance satisfaction and reduce turnover, but it also may detract from bottom-line performance (Griffin & Moorhead, 2017). Therefore, job satisfaction is an essential dependent variable that companies always expect to make positive by making favorable changes in the organization’s motivational factors for its employees with the view of achieving various organizational goals like; reduction in the organization’s cost of training employees, increment in organization’s productivity, reduction in workplace stress of employees, reduction in inter-personal, intra- personal and inter-group conflict in organization, etc. Companies provide various motivational forces to their employees working in different managerial levels. According to ‘Herzberg’s Two Factor Theory’ of motivation, the job satisfaction of employees is determined by mainly two factors. He named the factors as hygiene factors and motivator factors. This study uses the hygiene (extrinsic) factors and motivator (intrinsic) factors of Herzberg to determine the level of job satisfaction of employees working in existing banks and insurance companies of Nepal. Intrinsic factors, such as achievement, recognition, the work itself, responsibility, advancement and growth seem to be related to job satisfaction (Aswathappa, 2017). On the other hand, when they are dissatisfied, they tended to extrinsic factors, such as company policy and administration, supervision, work conditions, salary, status, security, and interpersonal relations (Aswathappa, 2017). However, this research study has undertaken salary, bonus, vehicle facility, work environment, relation with colleagues, allowances, rules and regulations, loan facility, relation with superior, relation with subordinate and job security as hygiene factors of job satisfaction, whereas training, job promotion, awards and challenging job are considered as motivator factors of job satisfaction of employees working in bank and insurance companies of Nepal. In summary, Nepal has witnessed a noticeable growth of banking and financial institutions after economic liberalization and intensified competition J 11 Global Journal of Management and Business Research Volume XXIII Issue V Version I Year 2023 ( ) A © 2023 Global Journals