The Relationship Between Job Satisfaction and Organizational Commitment: A Small Business Perspective

Abstract

This study examined the relationship between perceived job satisfaction and organizational commitment in small business employees. Although extensively researched in large corporations, the relationship between these two variables remains unclear, especially in small businesses. The fastest growing segment in the U.S., small businesses are characterized by non-standard work models, limited human resource management, and vulnerability to productivity loss from turnover. However, small businesses also offer unique opportunities for employees in terms of creativity, growth, flexibility, autonomy, and involvement in decision making. Data collected through surveys from 101 small business employees representing various industries in the Lynchburg area of Virginia were analyzed using a correlational statistical approach. The results showed moderately strong relationships between job satisfaction and organizational commitment as well as between these two variables and five different subscales. Interpretations of the findings are offered, recommendations for further research provided, and practical applications for small business owners and managers proposed.