Effect of Workplace Environment on the Performance of Commercial Banks Employees in Nakuru Town

Abstract

The purpose of this study was to investigate the effect of workplace environment on the performance of Bank employees in Nakuru Town. More specifically, the study sought to establish the extent to which physical workplace factors, psychosocial factors and the work life balance factors affect performance of Bank employees in Nakuru Town. The population of the study was 736 non-managerial staff from which a sample of 173 respondents was drawn using stratified random sampling and proportionate was used to determine sample size for each Bank. To achieve the objectives of the study, a survey design was employed. The study relied principally on primary data which was collected using questionnaires containing mainly closed ended questions for ease of analysis. Data was analysed using descriptive and inferential statistics with the aid of Statistical Analysis System (SAS), version 9.4 computer software. The study findings indicated that the physical aspects were found not to have a significant effect (β1 =0.097; p value = 0.237), while the psychosocial and work life balance factors were significant (β2 =0.279; p value = 0.001) and (β3 = -0.203; p value = 0.012) respectively. The results indicate that when physical workplace factors, psychosocial factors and work life balance factors are combined, the multiple linear regression model could explain for approximately 28% of the variation in employee performance of the Commercial Banks. From the findings it can be concluded that psychosocial aspects were an important factor in boosting the performance of employees than the other two variables; (Physical aspects and work life balance aspects), in Commercial Banks in Nakuru Town. The researcher recommends further investigation should be conducted to collect data from other financial sectors such to see whether workplace environments are the same and could therefore benefit from this study. The study also recommends that the bank management should continue using enhanced work environments as a tool for increasing the efficiency and productivity of employees’ through improved and sustained performance.

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