International Review of Business Research Papers

Vol.6, No.1 February 2010, Pp.319-330

Job Satisfaction Among National Highway Authority Employees

Masood Hayat, Gulfam Khan Khalid, Arooj Malik

Job satisfaction has not lost its fame as an important measure to help assess
employee perception and ownership about the work. Out of the many applaud
able reasons for this distinct fame, one may be that job satisfaction is itself made
up of a number of constructs like pay, nature of work and supervision, promotions
etc and leads to a number of outcomes held in high primacy by the organizations.
The current study assesses the employees’ impression about the Emolument
Packages, Career Advancements, High Salaries, Compensation Policy and Clear
Job Descriptions applicable in National Highway Authority and its impact upon
Job Satisfaction. The results showed high job-satisfaction levels, insignificant
staff turnover rate, and major dissatisfaction regarding emolument and packages
(basic salary, health and housing as some of the important components of
emoluments). Furthermore, employees felt that instead of performance-based
compensations, decisive factors were seniority, relationships and political
influence. The respondents feel that Salary increase will enhance transparency,
suppress corruption and increase performance of the employees.

Key Words: Salary, Career Advancement, Compensation Management, Job

Descriptions, Emolument Packages, Job Satisfaction

1. Introduction
Job satisfaction describes how content an individual is with his or her job. It is a
relatively recent term since in previous centuries the jobs available to a particular
person were often predetermined by the occupation of that person's parent and not
much by the interest of that particular person. There are a variety of factors that can
influence a person's level of job satisfaction; some of these factors include the level of
pay and benefits, the perceived fairness of the promotion system within a company, the
quality of the working conditions, leadership and social relationships, and the job itself
(the variety of tasks involved, the interest and challenge the job generates, and the
clarity of the job description/requirements).
____________________________________
Masood Hayat ,Director, Development Consulting,WA Associates, Islamabad, Pakistan
www.waassociates.com, Email: masoodhayat@yahoo.com

Gulfam Khan Khalid, Lecturer, Faculty of Management Sciences, National University of

Modern Languages Islamabad, Pakistan, Email: goolfam@hotmail.com, gulfam.kk@gmail.com

Arooj Malik, Lecturer, Department of Business Administration, Federal Urdu University of Arts,
Science & Technology Islamabad, Pakistan, Email: arooj_malikk@yahoo.co.in
 Hayat et al

National Highway Authority (NHA) is a public sector organization in Pakistan; amongst

various restructuring strategies, enhancement of the existing emoluments package of all
levels of NHA cadres is also pursued. The idea emanates from the understanding that
normally lower performance and job satisfaction level of employees are resulting from
organizational poor emolument packages, compensation policy, lack of career
advancement path, vague job description. In contrast, the organizations offering better
emolument packages, good compensation policy, clear job description and proper
career advancement path to their employees tend to get high level of their job
satisfaction, who in turn enhances the organizational performance. The specific
objectives of the study include: (1) To measure the job satisfaction level of NHA
employees. (2) To develop better job satisfaction and compensation policy of NHA that
could address the organizational needs of attracting best available talent during a
medium and long-term planning period and will increase the job satisfaction of
employees.

2. Literature Review
Satisfied workers are happy workers and happy workers are productive workers is an
old rule of thumb. The underlying theology may be a blend of Human Relation Theory
by Elton Mayo and Scientific Management Theory by Adam Smith. To develop, maintain
and exploit an environment conducive to learning and achievement is a primary concern
to today’s organizations. Research has shown employees with higher job satisfaction
are more productive, more committed to the organization, have lower turnover rates,
care more about the quality of their work, and believe in the long run they will be
satisfied with the company.

2.1. Job Satisfaction

Job Satisfaction as defined by Locke (1976) is “a pleasurable or positive emotional state

resulting from the appraisal of one’s job or job experience”. Job satisfaction should be
viewed as a desirable condition in itself, especially as it is closely related to the overall
quality of life in a society (Lawler, 1973; Locke, 1976; Gross & Etzioni, 1985).

2.2. Antecedents of Job Satisfaction

The present study draws upon the most specific and relevant determinants of Job
Satisfaction. Be it the economic conditions, high unemployment rate, low opportunities
for career advancements and progressions or high levels of political and socioeconomic
instability Pakistan is currently passing through.

High Salary and Job Satisfaction

Lawler (1971) studied the significance of the role of pay in work organization, examined
the satisfaction with pay to exert a positive influence on employee commitment. He also
suggested that pay satisfaction or dissatisfaction is a function of the discrepancy
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between what one feels one should receive and how much pay one does receive. Pay
dissatisfaction is sufficiently common that a finding of a lower rate of satisfaction with
pay than with other job components can be anticipated, and even predicted (Lawler,
1990).

Career Advancement and Job Satisfaction

Another way to improve job satisfaction is by varying tasks assigned to employees.
Repetitive tasks make satisfaction difficult. Therefore, employees need independence to
be fully satisfied within their jobs (Anderson, 1984). Taveggia & Hedley (1976) assumed
that workers in highly specialized jobs experience less autonomy or discretion and,
consequently, they are more dissatisfied with work than those in less specialized jobs. The
above findings clearly make career advancement an uphill task in an organizational culture that
lacks trust and freedom to make choices.

Clear Job Description and Job Satisfaction

An increase in production can be achieved with job redesign. A job can be redesigned
in an effective way by increasing the levels of control and support an employee
perceives within an organization. It has been shown that some employees enjoy
challenges and actually need them to be motivated. High demands are not detrimental
as long as the employee has high levels of control (Dollard, Winefield, Winefield, Jonge,
2000).

Compensation Policy and Job Satisfaction

Based on an employee survey (Ghiselli, La Lopa, Bai, 2001), salary and benefits were
the most often stated reasons to leave a job. A study by Lee and Duxbury (1998)
suggests that employees generally perceive employers policies lacking in family
support. Companies must be responsive towards these policy changes. If managers are
not in support of policies such as extended maternity leave and in-house childcare, it is
impossible for the employees to use these resources. Employees do not want their boss
to reprimand them in any way for utilizing programs that the boss may not be in
agreement with. Therefore, managerial behaviors must be adapted to correlate with the
newly formed policies.
Emolument Packages and Job Satisfaction
Satisfaction of employee and employer is a mutually beneficial relationship. Employee
satisfaction, in turn reflects upon the customer satisfaction. National High Way Authority
being a custodian of highways and roads networks realizes the gravity of the task. The
present study assumes that in order to retain employees with a high level of KSA
(Knowledge, Skill and Abilities), NHA must have focused on Effective Emolument
Packages. The following figure demonstrates the relationship between Job Satisfaction
and its Antecedents
Figure 2.1. Relationship between Job satisfaction and its Antecedents

• COMPENSATION POLICY
• PUNISHMENT AND REWARD SYSTEM

CLEAR JOB DESCRIPTION

CAREER ADVANCEMENT PATH JOB SATISFACTION 321

HIGH SALARY
 Hayat et al

3. Methodology

A sample survey of different cadres of NHA employees was conducted for collecting
information about their knowledge of HR systems operating in the organization and
assesses their job-satisfaction level. The tools for the survey focuses upon some
important aspects like: what is the opinion of the employees with regard to their job
description; compensation policy; possibilities of career advancement and available
career paths; what indicators the employees use to arrive at their job satisfaction level;
and how this information impacts in arriving at the current job satisfaction level.

For interviewing the senior management, it was considered that all key personnel up to
the level of general managers, who could become available for the interviews, were be
contacted except the Chairman NHA. For survey of the remaining cadres of employees
a sample of around 10% was agreed with the study coordinator. For covering
heterogeneity in the staff, a purposive random sampling method was employed.
Accordingly staff was classified into various grades and 10% of the employees were
selected from each grade for asking the interview questions. In order to give coverage
to the opinion of the regional and field staff, some employees who had the experience of
working in the regional offices and fields were purposively selected for the interviews.
The investigation of the collected data generated Situation Analysis to depict the impact
of antecedents on job satisfaction.

4. Results / Discussion

4.1. Findings Of Senior Management’s Survey

Respondents profile
A total of sixteen senior management personnel (including members, director generals
and zonal managers) were interviewed during this survey. All the respondents were
male and married. Most of them (88%) are in the age range of 50 years plus. Senior
management was well qualified and possesses sufficient experience to hold their posts.
Around 67% of all respondents were holding specialized post-graduate degrees i.e.
masters in engineering and other specialized subjects, whereas 29% carried
qualification of specialized field at bachelor’s level. In overall job-related experience,
around 36% had more than 30 years experience, whereas 64% were in the experience
range of 15-25 years.

Clarity of job descriptions

Most of the respondents (71%) said that their job descriptions are clear and provide
guidance in performing their jobs. One of the respondents abstained from answering the
question while those who said that job descriptions are not clear (21%) thought that
these do not provide enough guidance for performance of assigned tasks while one of
them is of the opinion that work on job descriptions development has not yet
accomplished.

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Career advancement path and opportunity for career development

Most (75%) of the respondents agreed that a clear career advancement path exists in
NHA but another 25% did not agree with this opinion. The quota system by which 75%
of the newly created positions are required to be filled by promotion was also criticized.
It is interesting to note that those who joined NHA during last 4 years are carrying the
same positions, while those who joined earlier than 4 years got promotions or elevated
to higher ranks through open competition.

Punishment and reward system

Most of the respondents (57%) said that a proper punishment and reward system is not
operating in NHA. Many of them opined that a judicious punishment and reward system
couldn’t operate in a public sector organization bounded by government rules and
regulations. They were of the opinion that culprits find some loopholes in the
government regulations and implementations system and escape punishment. Those
who wanted punishment and reward system in NHA referred to ‘Eid Bonus’ to lower
grade employees and honoraria to those performing meritorious services.

Desired increase in the current emoluments package and expected outcome

Only 25% of the respondents felt that their current emoluments package was
reasonable and did not ask for an increase. Most of the respondents who desire
revision of their emolument package wanted to index the increase with the rate of
inflation (36%). The other responses were for three fold increase in emoluments (21%),
and 100 to 125 percent increase (21%).

Around 70% of the respondents from senior management said that increase in
emolument packages will reduce corruption and increase efficiency. Many indicated that
corruption is rampant in the organization and procedure development efforts will have to
focus on increasing transparency and introducing systems that effectively check
corruption. Other responses included increase in the level of job satisfaction and
committed staff etc.
Job Satisfaction of Senior Employees
The percentage of the respondents who strongly agree with various statements used for
measuring job satisfaction level was high at 57%. Another category of respondents who
agree with the statements (though not strongly) stood at 27%. Lumped together; these
opinions reached the mark of 84%. Against the high percentage of agreeing
respondents, disagreements stood at 14% and those undecided were only 2%.

To assess the job satisfaction level, gradual scale was used to measure respondents’
opinion about various segments of the work environment in NHA. Smallest number was
allotted to show highest level of importance while bigger numbers portrayed lower
levels. An analysis of the responses showed that the respondents placed highest
priority on the component of ‘ability to make decision’. Next in importance was
‘comfortable work environment’ while ‘employees training program’ achieved third place
in the order of priority. ‘Career development plan’ and ‘recreational activities’ found forth
and fifth positions in the order of preference.

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About the query, what they (respondent) liked best about working for NHA, around 94%
of the respondents said that the sense of accomplishment and work environment was
liked best by them, about working for NHA.

Figure 4.1: Job Satisfaction level of Senior Management

Senior Management’s Job Satisfaction Level

Will choose NHA again if I had a job

choice to make

My job in NHA gives me a sense

of accomplishment

Enough involvement in decisions

that affect my work

Department uses employee’s feed

back to make improvements

Have support and authority for

taking work-related decisions

Employees’ Work contributing to

NHA overall goals and strategy

Employees feel secure about jobs

Policies/procedures of NHA are

effective

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Strongly Agree % Agree % Undecided% Disagree% Strongly Disagree %

4.2. Findings From All Cadre Survey

Respondents profile
A total number of one hundred and twenty-two (122) staff members were interviewed
during this survey. The interviewed members are divided into three categories for the
purpose of analysis, which are staff grades 19, 18 and 17 categorized as Junior
Management (JM), grades 11 to 16 Supervisory Group (SG) and others as Supporting
Staff (SS). The respondents included junior management personnel (26), supervisory
group (34) and supporting staff (62). Most of the respondents were male (91%). The
proportion of married was 87%. Most of them (75%) were in the age group of 31-50
years.
Clarity of job descriptions
Most of the respondents (94%) said that their job descriptions were clear and provide
guidance in performing their jobs. Those who said that job descriptions are not clear
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(6%) thought that these do not provide enough guidance for performance of assigned
tasks. Most of those who said that job descriptions were not clear were from Junior
Management Group (12%), the remaining two categories were mostly answered
positively: (91%) Supervisory Group and (97%) Support Staff.

Career advancement path and opportunity for career development

Junior management (50%) was of the view that the process was very slow and
promotions were seniority based. Most (71%) of the supervisory group was of the same
view. Those who did not agree think that promotion to a senior position was mainly
linked with the seniority in service while little credit was given to efficiency and fitness.
About career path for advancement, out of those (84%) who responded the question
were of the view that there are fixed positions and NHA has no career path. Remaining
(34%) of them was of the view that there are chances to grow.

Punishment and reward system

Most of the respondents (84%) who were even affirmative about the availability of a
punishment and reward system in NHA and those who were not (16%) said that a
proper punishment and reward system is not operating in NHA. Those who were
affirmative (84%) about the availability of a punishment and reward system in NHA
referred to Eid Bonus to lower grade employees and honoraria to those performing
meritorious services. A reference of NHA “Employees Efficiency and Discipline Rules”
of 1995 is given in the area of punishment to the various disciplinary actions.

Desired increase in the current emoluments package and expected outcome

Only 16% of the respondents felt that their current emoluments package was
reasonable but they still ask for increase from 25 to 100 percent. Other 83% termed the
current emoluments package much lower than what is available to similar positions in
the corporate sector’s job market. On the record there were very few of the respondents
who desire revision of their emolument package wanted to index the increase with the
rate of inflation (2-3%). The other responses were for two fold increases in emoluments
(21%), among unsatisfied respondents a reasonable number (45%) consider 25 to 100
percent as a desired increase.

The responses received from junior management, are quite interesting; around 74% of
the respondents said that it would increase performance of the employees. Other
responses included increase in the level of job satisfaction and committed staff etc.

Job Satisfaction of Junior Employees

The overall job satisfaction level of the junior management group in NHA is positive.
The percentage of the respondents who strongly agree with various statements used for
measuring job satisfaction level is 21%. Respondents who do not strongly agree with
the statements stand at 51%. Lumped together; these opinions reach the high mark of
72%. Against the high percentage of agreeing respondents, disagreements stand at
18% and those undecided are 11%. The position of each statement used for measuring
job satisfaction level is reflected in the Figure below:

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Figure 4.2.1: Job satisfaction Level of Junior Management

Junior Managment's Job Satisfaction Level

Will choose NHA again if I had a job

choice to make

My job in NHA gives me a sense

of accomplishment

Enough involvement in decisions

that affect my work

Department uses employee’s feed

back to make improvements

Employees’ receive enough

opportunity to interact with other
employees on formal level

Policies/procedures of NHA are

effective

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Strongly Agree % Agree % Undecided% Disagree% Strongly Disagree %

Job Satisfaction of Supervisory Group

The overall job satisfaction level of the Supervisory Group in NHA is also positive. The
percentage of the respondents who strongly agree with various statements used for
measuring job satisfaction level is 16%. Respondents who do not strongly agree with
the statement stands at 48%. Lumped together; these opinions reach the high mark of
64%. Against the high percentage of agreeing respondents, disagreements stand at
29% and those undecided are 7%. The position of each statement used for measuring
job satisfaction level is reflected in the Figure below:

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Figure 4.2.2: Job satisfaction Level of Supervisory Group

Supervisory Group's job Satisfaction Level

My job in NHA gives me a sense

of accomplishment

Enough involvement in decisions

that affect my work

Department uses employee’s feed

back to make improvements

Employees’ receive enough

opportunity to interact with other
employees on formal level

Policies/procedures of NHA are

effective

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Strongly Agree % Agree % Undecided% Disagree% Strongly Disagree %

Job Satisfaction of Support Staff

The percentage of the respondents who strongly agree with various statements used for
measuring job satisfaction level is only 9%. Another category of respondents who agree
with the statements stands at 39%. Against the percentage of agreeing respondents,
disagreements stand at 45% and those undecided are 7%. The position of each
statement used for measuring job satisfaction level is reflected in the figure below:

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Figure 4.2.3: Job satisfaction Level of Support Staff

Support Staff's Job Satisfaction Level

Will choose NHA again if I had a job

choice to make

My job in NHA gives me a sense

of accomplishment

Enough involvement in decisions

that affect my work

Department uses employee’s feed

back to make improvements

Employees’ receive enough

opportunity to interact with other
employees on formal level

Policies/procedures of NHA are

effective

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Strongly Agree % Agree % Undecided% Disagree% Strongly Disagree %

To assess the job satisfaction level, a gradual scale was used to measure the
respondents’ opinion about various segments of the work environment in NHA. Smallest
number was allotted to show highest level of importance while bigger numbers
portrayed lower levels. Responses showed that the respondents in junior management
group placed same highest priority to these two components ‘comfortable work
environment’ and ‘career development plan’. Next in importance was ‘ability to make
decision’ and ‘employees training program’ while ‘recreational activities’ achieved third
place in the order of priority. An analysis of the responses showed that the respondents
in supervisory group placed highest priority on the component of ‘comfortable work
environment’. Next in importance was ‘career development plans’ while ‘employees
training program’ achieved third place in the order of priority, ‘ability to make decision’
and ‘recreational activities’ found forth and fifth positions in the order of preference
respectively.

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The respondents in Support Staff placed highest priority on the component of

‘comfortable work environment’. Next in importance was ‘career development plan’
while ‘employees training program’ achieved third place in the order of priority. ‘Ability to
make decision’ and ‘recreational activities’ found forth and fifth positions in the order of
preference.

5. Conclusion
Although the job satisfaction level of NHA employees was at a high mark and staff
turnover rate was insignificant, major dissatisfaction was regarding their emolument
packages. All cadres of employees were not happy with the reward and punishment
system in NHA. General opinion is that efficiency and competence does not play a
dominant role for promotions or incentives but seniority, relationships and political
influence become the deciding factors. Employees of all level consider that their job
descriptions are clear and provide guidance in their work. However when compared with
the performance evaluation system and award of increments and rewards etc., situation
does not seem to be satisfactory. Regarding return on investments for pay revision, the
employees from the senior as well as junior management cadres opinioned that this will
result in improving the staff efficiency, that will enhance transparency, which will
translate into huge monetary gains for NHA.

6. Recommendations
Following are the recommendations based upon the above results and discussions:
1. All indicators point towards a need for employees pay revision.
2. The pay revision is recommended in the range of 100 percent to 118 percent for
various pay groups, in order to increase the job satisfaction of the employees.
3. A bonus system may be introduced to reward efficient and hard working
employees after establishing an effective performance evaluation system.
4. Fair punishment and reward system to keep the employees satisfied with their
job.
5. A job analysis of various positions and posts to be carried out to undertake
equitable and appropriate distribution of work load. This will also identify
indicators for performance evaluation and job level evaluation.

References

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