THE RELATIONSHIP BETWEEN TRANSFORMATIONAL, TRANSACTIONAL LEADERSHIP STYLES AND EMPLOYEES PERFORMANCE IN CONSTRUCTION SECTOR, UAE

Abstract

Employee performance can be defined as how workers behave in the workplace and how well they perform the job duties that obligated to them. In reality, employee performance in construction companies in UAE was poor due to poor leadership style. Many of the employees have been leaving one construction company to another company for the sake of proper reward. The main purpose of this study was to examine the relationship between transformational leadership and transactional leadership styles on employee performance in the construction sector, UAE. By using quantitative approach, simple random sampling technique was applied to randomly to collect data from 46 construction companies with 331 employees completed the survey. The findings indicated 77% of the variance in employees’ performance (F=1131.050, p<0.000). With this result, the hypothesis was supported. The result also found that leadership styles strongly associated with employees’ performance at construction companies in UAE. Some of the studies on leadership styles were majorly investigated in western countries and few of it was found in UAE. It is crucial to expand the literature in conducting more research in UAE and developing countries. In short, this research helped to clarify in more inclusive global picture of the leadership styles influencing employee performance.