The importance of employees' work satisfaction in family enterprises: a case study of the post-transition economy

Abstract

The main aim of this paper is to synthesize the research results based on the developed multidimensional model of activities in family companies aimed at achieving employee engagement. Furthermore, this research outlines the components that impact employee satisfaction in family businesses as drivers of employees' engagement on the job. The paper is based on primary research, including a survey of family companies in Slovenia. To test the hypotheses of the study, we used structural equation modeling (SEM). The results show that factors such as leadership, employee relations, and intergenerational synergy have a positive effect on employee satisfaction, which in turn leads to employee engagement. Our research results and recommendations can help owners/managers in family companies to contribute to a better work environment and to understand the impact of family businesses’ leadership, employee relations, and intergenerational synergy on employee satisfaction engagement.