The Role of Job Satisfaction, Job Stress and its Impact on Organizational Commitment at XYZ Company

Abstract

The most crucial factor for executives to consider is employee organizational loyalty. Therefore, a corporation requires qualified and skilled staff to handle the numerous job constraints. Job happiness and job stress are among the characteristics that impact organizational commitment. Job satisfaction is the attitude of workers toward those parts of their jobs that might elicit positive or negative emotions. Stress at work is a strain that generates an imbalance in office employees' facing positions. Therefore, if the firm can enhance the system for managing job stress, employee job happiness is the key to keeping organizational employees' dedication.Novelty:Research on the topic of Organizational commitment with the addition of an independent variable, job satisfaction and job stress at company XYZ, where the existing literature has yet to be explained.The purpose of the study was to see how the influence of job satisfaction and job stress on organizational commitment at XYZ company. Method: The sample in this study was 200 respondents. Respondents are employees at XYZ company. The hypothesis was tested with a structural equation model (SEM) with Lisrel 11 software.Results: indicate that the variable job satisfaction positively affects organizational commitment of 0.454 and t-count of 6.585 (significant : t-count >1.96). these results explain that job satisfaction completely and significantly affects organizational commitment. These results indicate that H1 is accepted, which shows that job satisfaction can increase organizational commitment. Then the effect of job stress on organizational commitment is -0.433 and the t-value is -6.432 (significant : t-count <1.96). These results explain that job stress negatively and significantly affects organizational commitment. These results indicate that H2 is accepted, which shows that job stress can reduce organizational commitment.Implication: job satisfaction and job stress have an essential role in determining the increase and decrease in organizational commitment to XYZ company. This research study has implications that the XYZ company can increase job satisfaction and reduce the level of job stress experienced by XYZ company employees so that organizational commitment can continue to grow.