Unveiling the Nexus: Psychological Climate, Employee Engagement, and Organizational Commitment in Banking.

Abstract

Purpose: The relationship between psychological climate, employee engagement, and organizational commitment is crucial for understanding the dynamics within organizations, especially in sectors like banking where employee satisfaction and commitment are significant factors for success. By focusing on the mediating role of employee engagement, the paper could provide valuable insights into how the perception of the work environment influences employees' level of engagement and, subsequently, their commitment to the organization. It's a timely and relevant area of study, considering the importance of employee well-being and retention in today's competitive business landscape.

Research Methodology /Approach: The sample size includes 425 bankers from leading private banks in UP. For analyzing the data, structural equation modeling is utilized with the bootstrapping method.

Findings: This examination finds that factors, for example, supportive management, role-clarity, self-expression, job challenge, recognition, and contribution are critical indicators of psychological climate. Results additionally recognize employee engagement as a full mediator on PC and OC. which propose that immediate relationship of predictors and criterion variable are stronger than indirect affiliation.

Originality: Examining the part of Employee Engagement on the association among Psychological Climate and Organizational Commitment is displayed as a basic effort in the academic writing. Additionally, observational investigation that examines the relationship of different variables of PC with OC through EE is inconsistently been explored. Thus, the discoveries of this examination go probably as a fundamental device for the bank managers to design their techniques so that supports their organizational commitment.