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1.3 Review of
Literature:
T h e s u b j e c t ‘ e mp l o ye e s a t i s f a c t i o n ’ h a s a l wa ys b e e n
a t t a i n i n g g r e a t i n t e r e s t among researchers and practioners.
This has been a subject of interest regardless of the e c o n o m i c
c o n d i t i o n s . W h e n t h e e c o n o m y wa s d o i n g we l l , t h e
c o mp a n i e s we r e concerned over their employees satisfaction in order
to retain them in their business. Inthis current recession times too, the
organizations are concerned about their satisfactionlevels to enhance
productivity. In the workplace, it is often assumed that
employeeswho are more satisfied with the physical environment
are more likely to produce better work outcome. User
satisfaction is recognized as an important factor in the success
of an organization and is regarded as a key indicator of
performance (Lee, 2006, Dole andSchroeder, 2001). The topic of job
satisfaction therefore, is an important one because of its relevance to
the physical and emotional well being of employees, ie job
satisfactionhas relevance for human health. This is also an
implicit fact that job satisfaction is a potential determinant of
productivity, absenteeism, turnover, job performance and also of
attitude towards organization. In addition to its humanitarian
value, job satisfactiona p p e a r s t o b e e xt e n s i ve l y r e s e a r c h e d
i n a va r i e t y o f o r g a n i z a t i o n s f o r wo r k - r e l a t e d objectives.
According to Locke(1976), employees job satisfaction is perhaps one of
thesingle most extensively researched topics of organizational
psychology.Employee job satisfaction therefore, refers to an
individual’s positive emotionalr e a c t i o n s t o a p a r t i c u l a r j o b . I t
i s a n e f f e c t i ve r e a c t i o n t o a j o b t h a t r e s u l t s f r o m t h e
person’s comparison of actual outcomes with those that are
desired, anticipated, anddeserved (Oshagbemi, 1997).Every person
will have his or her own definition of what it means to be satisfiedwi t h a
j o b . S t u d i e s s h o w t h a t e mp l o ye r s wh o a r e s a t i s f i e d wi t h
t h e i r j o b a r e m o r e productive, creative and be more likely to be
retained by the company. (Eskildsen and Nussler, 2000; Kim 2000;
Kirby 2000;In his study Kanungo(1986) reveals that increasing
productivity is the major goal of every successful organization,
be it private or public, service or manufacturing. It has been
established in his study that there is a specific casual relationship
between jobsatisfaction and productivity. In a study on impact of
age on the job satisfaction of accountants conducted by Ang et
al,(1993), they analyzed the effect of age on the level of 3
job satisfaction of accountants in Singapore public organization and
concludes the directsignificant relationship. Kiely(1986), in her study
explains that personnel managers areconcerned with making
effective use of people. Job satisfaction is thus an issue of
fundamental importance in Personnel management.E m p l o ye e s t h a t
a r e s a t i s f i e d a n d h a p p y wi t h t h e i r j o b s a r e mo r e d e d i c a t e d
t o doing a good job and taking care of customers that sustain the
operation (Hammer 2000;Marini 1999). Job satisfaction is something
that working people seek and a key elementof employee
retention.R e s e a r ch h a s s h o wn t h a t t h e r e m a y b e ma n y
f a c t o r s t h a t c a n b e c r e a t e d a n d maintained to give employee
satisfaction. Pay and benefits communication, motivation, justice are few
to say(Kirby 2000). HRM practices have a statistically significant andi n
s o me c a s e s s u b s t a n t i a l e f f e c t o n e m p l o ye e s o ve r a l l j o b
s a t i s f a c t i o n a n d o n t h e i r satisfaction with pay. They enjoy on going
learning and job autonomy.(Alina et al, 2008)On the preliminary
review of literature on employees’ job satisfaction, it can beseen
that there are very few studies on employee satisfaction in
Indian public sector organization especially in power transmission
sector. Considering the importance of thesector, it was found useful to
conduct a study on employee satisfaction in POWERGRID

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1

  • 1. 1.3 Review of Literature: T h e s u b j e c t ‘ e mp l o ye e s a t i s f a c t i o n ’ h a s a l wa ys b e e n a t t a i n i n g g r e a t i n t e r e s t among researchers and practioners. This has been a subject of interest regardless of the e c o n o m i c c o n d i t i o n s . W h e n t h e e c o n o m y wa s d o i n g we l l , t h e c o mp a n i e s we r e concerned over their employees satisfaction in order to retain them in their business. Inthis current recession times too, the organizations are concerned about their satisfactionlevels to enhance productivity. In the workplace, it is often assumed that employeeswho are more satisfied with the physical environment are more likely to produce better work outcome. User satisfaction is recognized as an important factor in the success of an organization and is regarded as a key indicator of performance (Lee, 2006, Dole andSchroeder, 2001). The topic of job satisfaction therefore, is an important one because of its relevance to the physical and emotional well being of employees, ie job satisfactionhas relevance for human health. This is also an implicit fact that job satisfaction is a potential determinant of productivity, absenteeism, turnover, job performance and also of attitude towards organization. In addition to its humanitarian value, job satisfactiona p p e a r s t o b e e xt e n s i ve l y r e s e a r c h e d i n a va r i e t y o f o r g a n i z a t i o n s f o r wo r k - r e l a t e d objectives. According to Locke(1976), employees job satisfaction is perhaps one of thesingle most extensively researched topics of organizational psychology.Employee job satisfaction therefore, refers to an individual’s positive emotionalr e a c t i o n s t o a p a r t i c u l a r j o b . I t i s a n e f f e c t i ve r e a c t i o n t o a j o b t h a t r e s u l t s f r o m t h e person’s comparison of actual outcomes with those that are desired, anticipated, anddeserved (Oshagbemi, 1997).Every person will have his or her own definition of what it means to be satisfiedwi t h a j o b . S t u d i e s s h o w t h a t e mp l o ye r s wh o a r e s a t i s f i e d wi t h t h e i r j o b a r e m o r e productive, creative and be more likely to be retained by the company. (Eskildsen and Nussler, 2000; Kim 2000; Kirby 2000;In his study Kanungo(1986) reveals that increasing productivity is the major goal of every successful organization,
  • 2. be it private or public, service or manufacturing. It has been established in his study that there is a specific casual relationship between jobsatisfaction and productivity. In a study on impact of age on the job satisfaction of accountants conducted by Ang et al,(1993), they analyzed the effect of age on the level of 3 job satisfaction of accountants in Singapore public organization and concludes the directsignificant relationship. Kiely(1986), in her study explains that personnel managers areconcerned with making effective use of people. Job satisfaction is thus an issue of fundamental importance in Personnel management.E m p l o ye e s t h a t a r e s a t i s f i e d a n d h a p p y wi t h t h e i r j o b s a r e mo r e d e d i c a t e d t o doing a good job and taking care of customers that sustain the operation (Hammer 2000;Marini 1999). Job satisfaction is something that working people seek and a key elementof employee retention.R e s e a r ch h a s s h o wn t h a t t h e r e m a y b e ma n y f a c t o r s t h a t c a n b e c r e a t e d a n d maintained to give employee satisfaction. Pay and benefits communication, motivation, justice are few to say(Kirby 2000). HRM practices have a statistically significant andi n s o me c a s e s s u b s t a n t i a l e f f e c t o n e m p l o ye e s o ve r a l l j o b s a t i s f a c t i o n a n d o n t h e i r satisfaction with pay. They enjoy on going learning and job autonomy.(Alina et al, 2008)On the preliminary review of literature on employees’ job satisfaction, it can beseen that there are very few studies on employee satisfaction in Indian public sector organization especially in power transmission sector. Considering the importance of thesector, it was found useful to conduct a study on employee satisfaction in POWERGRID