University of Development Alternative (UODA)

IMPACT OF JOB STRESS ON EMPLOYEES' PRODUCTIVITY AND COMMITMENT Human

Resource Management (HRM)

Submitted to:
Dr. Abdullah Hil Muntakim
Assistant Professor
Faculty of Business Administration

Submitted by:
Rajibur Rahman Sarker
ID: 513192027
Shilpa Hore
ID: 513192026
Md. Zakaria Fattha
ID: 513192039
Afrida Sharmin
ID: 513192002
Sumaiya Siddiq
ID: 513192014

Masters in Business Administration (MBA)

51st Batch

September 07, 2019

 IMPACT OF JOB STRESS ON EMPLOYEES' PRODUCTIVITY AND COMMITMENT
By Ekienabor E. E.
Business Administration, Igbinedion University, Okada, Nigeria

Published in “International Journal for Research in Business, Management and Accounting”

Vol. 2 Issue 5 May 2016

Stress is a universal element and persons from nearly every occupation have to face stress.
Employers today are critically analyzing the stress management issues that contribute to
lower job performance of employee originating from dissatisfaction & high turnover
ultimately affecting organizational goals and objectives. The aim of the study is to investigate
the impact of job stress on employees' productivity and commitment among academic staff
of Nigeria Universities. The scope of study in centered on all universities in Nigeria. Field study
was conducted with questionnaire as the primary data collection instrument. Data was
analyzed using statistical techniques with SPSS. The results showed that there is an impact of
job stress on the productivity of employees. In addition, there is an impact of job stress on
employees' commitment. When higher level of stress exist with no managerial concern for
solution consequently lowering the employee performance; staking organizational reputation
and loss of skilled employees, these situations call for immediate concern from organization
management for employing effective stress management practices to increase employee
satisfaction and overall employee performance. It was recommended that remedial measures
need to be taken by management to minimize the effects of job stress on permanent basis.
For this purpose, management must conduct the research programs to build the managerial
and technical skills of employees.

INTRODUCTION

 Statement of the Research Problem: Researchers over time have dedicated much
time and effort to provide businesses with models and theories concerning the
relation between job satisfaction and job performance, as organizations want their
employees to be productive as well as to be satisfied. Previous researches showed
scientifically that job satisfaction affects job performance, which means that an
increase in job satisfaction increases the job performance. Even though it is an
important field of research for both organization and employees, there are no theories
presenting a legible link between job stress, job satisfaction and commitment.
Consequently, there the need to evaluate the impact of job stress on employee’s
productivity and commitment.

 Research Objectives: This study aimed to achieve the following objectives:

I. To investigate the impact job stress has on employees' commitment
II. To find out the impact job stress has on employees’ productivity

 Relevant Research Questions: The following research questions will be addressed in

this study:
I. Does job stress have an impact on employees' commitment?
II. Does job stress have an impact on the productivity of employees?

 Research Hypotheses: The following hypotheses stated in null form will be subjected
to statistical test in this study:
I. H01: Job stress has no impact on employees' commitment
II. H02: Job stress has no impact on employees’ productivity
REVIEW OF RELATED LITERATURE

 Origin, Terminology and Definition of Stress: The term stress was first employed in a
biological context by the endocrinologist Hans Selye in the 1930s. He later broadened
and popularized the concept to include inappropriate physiological response to any
demand. According to Robbins (2004), stress is a dynamic condition in which an
individual is confronted with opportunity, constraint or demand related to what he
desires and for which the outcome is perceived to be both uncertain and important.
From this definition one can say that stress is not necessarily bad, it also has a positive
value when it offers potential gain. In addition, Taylor Shelley (1995) describes stress
as a negative emotional experience accompanied by predictable biochemical,
physiological, cognitive and behavioural changes that are directed either toward
altering the events or accommodating its effects.
From the above definitions and descriptions stress can best be seen as excessive
demands that affect a person physically and psychologically. Thus the mental or
physical condition that results from perceived threat or danger and the pressure to
remove it.

 Nature of Stress: Events that are appraised as being overwhelming, threatening,

unsatisfying or confliction are more likely to be experienced as stressful. Stress is not
tangible and cannot be touched. Stress is caused by stressors, which are events that
create a state of disequilibrium within an individual.

 Employee Commitment: Employee satisfaction with policies, compensation, work

conditions, and advancement were found to have a significant relationship to
organizational commitment.

 The Impact of Stress on the Organization: Desseler (2000) was of the opinion that for
organizations job stress consequences included reductions in the quantity and quality
of job performance, increased absenteeism and turnover, increased grievances and
health care costs. According to Levin-Epstein (2002) stress on the job took its toll on
nonprofits: lost time from work, deflated productivity, low staff morale, turnover and
higher health care costs.

 The Impact of Stress on Productivity: Garrison and Bly (1997) stated that corporations
have become acutely aware of the problems caused by stress. The illnesses associated
with stress are costly, and they can debilitate a valuable worker. When stress is not
handled well, absenteeism, turnover, and medical compensation increase and
productivity decreases. Garrison and Bly (1997) further stated that the workplace is
special only because so much of our time is spent at work. To achieve a peak of
performance, stress should be managed effectively, with the negative effects of stress
minimized.
METHODOLOGY

The data for the study draws on survey conducted in Igbinedion University, Okada. Out of the
one hundred fifty questionnaires distributed to 40 male and 20 female academic staff, fourty
was returned. The selection was random for both male and female academic staff.

 Sample Description: Of the 40 respondents, 29 (72.5%) were male 11 (27.5%) were

female. The age of the participants ranged from 21 to 70, with an average of 50 years.
The educational levels of the participants were: HND/MBA is 2 (5%), B.Sc. is 8 (20%),
M.Sc. is 25 (62.5%) and PhD (12.5). Also, the Years of Service of respondents: 7 persons
representing 17.5% of the respondents have worked in the institution below five (5)
years, 23 persons representing 57.5% of the respondents have worked between 6–10
Years and the remaining 10 persons representing 25% of the respondents have
worked in the company between 11–15 years.

 Measures:

 Demographic Variables: The analysis included six demographic variables:

gender, age, and education, academic rank, working experience in the
university, college they work in and marital status. Gender was coded (1 =
female; 0 = male), Age and working experience were measured in years.
Education consisted of three levels from (I) BA degree to (3) Ph.D degree.
Marital status was assessed with a fixed-response item (1 = single; 2=married;
3= divorced; 4= widowed).
 Instrument: Primary Data sources were used for checking the level of stress
and its impact, the main instrument for primary data collection was the use of
questionnaire as well as the qualitative data is also determined through
observations, articles and recent research papers.
 Method of Data Analysis: In analyzing the data for this study, the SPSS
calculated chi-square analysis will be used to analyze the data. Chi-square will
be used to score, so as to enable the researcher to show the relationship
between the various variables tested in the study. Also to be used in the simple
percentage.

The stated formula for the chi-square is: X2= Σ [(FO-Fe) 2 ] Fe

FO = Observed frequency

Fe = Expected frequency

X2 = Chi-square
PRESENTATION AND EMPIRICAL RESULTS

 Hypotheses Testing: In the course of this research, some hypotheses were developed.
Under this section, the hypotheses developed will be tested. The hypotheses are re-
stated for the purpose of clarity

 Hypothesis One:

H01: Job stress has no impact on employees' commitment

To test for the hypotheses, the response to question number 10 on the questionnaire
was subjected to chi-square analysis using the SPSS 20.0. The result of the chi-square
analysis is presented below:

Source: SPSS output

From the chi-square test statistics, it will be observed that chi – square calculated is
25.600
Decision Rule: Reject Null Hypothesis (Ho) if X2 calculated is higher than X2 tabulated
and accept Null Hypothesis (Ho) if X2 calculated is lower than X2 tabulated. Decision:
From the SPSS result as shown above in table 4.1, X2 calculated is 25.600. At 5% level
of Significance and 95% Confidence level, X2 tabulated at a Degree of Freedom of 1 is
given as 3.84 (see Appendix 2). A look at table 1 above shows that 90% of the
respondents are of the opinion that job stress has an impact on employees'
commitment. The remaining 10% of the respondents are of the opinion that Job stress
does not have an impact on the commitment of an employee. Consequently, both the
chi-square calculated and tabulated comparatively as shown in table 2 reveals that
chi-square calculated is higher than chi-square tabulated. Therefore, the decision rule
is to reject the null hypothesis and accept the alternative hypothesis, which states that
there is an impact of job stress on employees' commitment.
  Hypothesis Two:

H02: Job stress has no impact on employees’ productivity

To test for the hypotheses, the response to question 14 on the questionnaire was
subjected to chi-square analysis using the SPSS. The result of the chi-square analysis
is presented below:

From the chi-square test statistics, it will be observed that chi – square calculated is 12.100.
Decision Rule: Reject Null Hypothesis (Ho) if X2 calculated is higher than X2 tabulated and
accept Null Hypothesis (Ho) if X2 calculated is lower than X2 tabulated.
Decision: From the SPSS result as shown above in table 4.2, X2 calculated is 12.100. At 5%
level of Significance and 95% Confidence level, X2 tabulated at a Degree of Freedom of 1 is
given as 3.84 (see Appendix 2).

A look at table 3 above shows that 72.5% of the respondents are of the opinion that job stress
has an impact on the productivity of employees. The remaining 27.5% of the respondents are
of the opinion that job stress does not have an impact on the productivity of employees. Thus,
both the chi-square calculated and tabulated comparatively as shown in table 4.2, reveals
that chi-square calculated is higher than chi-square tabulated. Therefore, the decision rule is
to reject the null hypothesis and accept the alternative hypothesis which states that: there is
an impact of job stress on the productivity of employees.
SUMMARY, CONCLUSION AND RECOMMENDATION

The major findings of the study were that job stress has an impact on the productivity of
employees. This in large extent is due to the working environment as employees indicated
that they are not too happy with their working environment. In addition, the study found that
there is an impact of job stress on employees' commitment. This is because employees feel
uncared for by the organization

 Conclusion: Based on empirical findings it is concluded that job stress is a real

challenge for employees who are working in different universities in Nigeria. For this
purpose, the study is conducted to monitor the effects of job stress on employees’
productivity and commitment. The variables are drawn through the literature which
causes the job stress and affects the employees’ productivity and commitment as well
as the satisfaction of employees'. The variables of causing stress at job were lack of
financial rewards, inflexibility in work hours, personal issues, low control over the
work environment and management system. The results indicated that there was an
impact of job stress on employee commitment, thereby causing decrease in the
employees’ performance. Chi-square was used to measure the effects of job stress on
employees’ commitment and productivity.

 Recommendation: Inferring from the discoveries made during this study, the
researcher hereby recommends as follows:

1. The overstressed job decreases employee productivity and perhaps a chief

contributor to employees' lack of commitment. Proper strategies should be made
regarding working hours, interpersonal relationships and supervision to reduce stress
and to better manage the performance of employees.
2. The managers and supervisors should give proper attention to the employees and
create an amiable environment that may urge them to be responsible and productive.
It is very important that working environment is being continuously monitored for
stress related factors. Further, it is not only important to monitor the factors, but to
create a healthy environment in which employees’ work in efficient way and there
should be a proper reward system which would motivate the employees’ to do work
in an efficient way.

We completely agree with the finding of this research because stress at work place cause the
following which affects employees’ productivity and commitment:
- Absenteeism: suffering from stress are prone to a sharp rise in sick days. Stress, acute
medical conditions and poor mental health are the most common causes of long-term
absence within the workplace.
- Staff turnover: When stress is present throughout a company it can lead to
restlessness and the want for something new and perhaps, less stressful. This creates
an obvious problem with increased staff turnover meaning a business is forced to
plough more money and time into recruiting and training new members of staff.
- Punctuality: Nearly all companies contain a small number of people who from time to
time, struggle with timekeeping. However, when traditionally punctual employees
start getting sloppy with their timekeeping – even by a few minutes
it may be an indicator that stress is at play.
- Relationship: stressed workers often avoid interacting with others, whether this is
colleagues, friends or even family. This lack of relationship building and
communication impacts productivity in roles that require staff to communicate.
- Quality of work: Ironically, stress can bring out the best in those who thrive from
additional responsibility. However, this isn’t the case for everyone and at times,
pressure and added stress can lead to members of a team crumbling, meaning the
quality of their work is decreased.
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