Abstract

Organizational commitment refers to the individual’s thoughts to stay in the organization and work effectively and positively for the organization. Organization commitment of employees is a key factor that contributes to the achievements of organizational goals. Final performance of an organization depends on the levels of commitment of its workers. This research focused to investigate the factors that influence on organizational commitment of employees in the plantation sector organizations of Sri Lanka. Affective commitment and normative commitment are the main two dependent variables for this study. A structured questionnaire survey was carried out to gather primary data from randomly selected 275 employees covering six organizations of the Tea, Rubber and Coconut sectors. Organizations were selected randomly. Data were analysed by using Confirmatory Factor Analysis (CFA) in AMOS in SPSS 21 version. The findings revealed that the nature of work, interpersonal relationship and work environment are the significant and positive factors that enhance affective commitment (p<0.001). Nature of work, work environment, and relationship between management and employees are the most significant and positive factors that enhance normative commitment (p<0.001) and pay and allowances significant at 0.01 probability on normative commitment. These findings will be helpful for all levels of managers, owners and policy makers to identify the main attributes that should be implemented in the organizations to enhance employee commitment.

Highlights

  • Organizational commitment is an important factor, which is used to evaluate the performance of employees

  • Results of Standardized Regression Weights The findings reveal that nature of work (), interpersonal relationship (IRP)

  • Four statements were under the pay and allowances (PAA) i.e. ‘salary satisfaction, pay and allowance system, over time payments and medical allowances’

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Summary

Introduction

Organizational commitment is an important factor, which is used to evaluate the performance of employees. The degree of organizational commitment of employees is highly considered as a principle component to achieve a successful performance in the organization. According to Colquitt et al (2015), organizational commitment is a factor that shown how much an employee links himself to the organization, wish to spend in the organization and help to achieve organizational goals. Every organizations need fully committed employees because the world is rapidly changing with the technology and globalization that should be linked to the organization’s competitive advantage. Only committed employees can forward their organization to the target objectives (Frankema et al, 2006). Fernando et al / Applied Economics and Business, 2021 5(1) 25-36

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