The Effect of Job Stress on Employee Performance in the case of Dashen Bank S.C North Addis Ababa District Offices

Abstract

This study aims to assess the effect of job stress on job performance of employees of Dashen Bank S.C, North Addis Ababa district office. The research objectives are formulated in order to understand the relationship between job performance and set of independent variables namely time pressure, work overload, role ambiguity and role conflict which are factors of job stress. A total of 227employees are selected based on stratified random sampling technique and 220 questionnaires are responded correctly by employees of 45 different branches of the district. To attain the objective both descriptive and regression analysis were made by using SPSS version 25.The main findings of the study shows that except work over load, the other job stress factors (time pressure, role ambiguity and role conflict) have a significant positive effect on employees’ job performance of Dashen bank North Addis Ababa district office. Time pressure has a significant positive relationship with the employee’s job performance due to the reason that lesser amounts of time allow for the achievement of multiple goals and when staffs have a shorten time to complete the daily work, they will produce a high quality result and increase their job performance. Thus, employees who have unpressured work situation, it allows them for relaxation, socialization and distraction. As a result, it might decrease their effectiveness or job performance. From the analysis conducted, it is also found that role ambiguity has a positive significant role in influencing employees’ job performance. Most Studies have shown that role ambiguity has a negative effect on job performance. However, the reverse is also accepted as the role ambiguity is high; employees will have greater capacity to develop interpretations and adapt job roles to their abilities. In this case it is likely that employees who are highly committed to their work define their role more broadly than others and more effectively integrate their personal capability to the work place. The other job stress factor, role conflict, also has a positive significant role in influencing employees’ job performance due to the fact that when employees have conflicting roles, they intended to know and experience more than those with no role conflict. In addition the researcher suggests some recommendation for future further studies.