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ISSN : 2348-6503 (Online)
ISSN : 2348-893X (Print)
International Journal of Research in Management &
Business Studies (IJRMBS 2015)
Vol. 2 Issue 2 Apr. - June 2015
Employee’s Views on Job Satisfaction : A Study on Garment
Industry (AKH Group), Bangladesh
Dr. Razia Khatun, IIMd. Shamsuzzaman
I
I
Associate Prof. of Economics, Dept. of Humanities, Khulna Uni. of Engg. & Tech. Khulna, Bangladesh.
II
M. Phil Fellow, Dept. of Economics, Islamic University, Kushtia, Bangladesh.
Abstract
The ready- made garments (RMG) industry of Bangladesh has been the key export industry and a main source of foreign exchange for
the last there decades. More than 78 percent of Bangladesh’s export earnings come from the garment industry. This paper focuses on
the job satisfaction of the employees of the RMG industry in Bangladesh. The article reviews the literature on working conditions in
Bangladesh RMG sector and failure of its existing labor laws. It shows that after the liberation industrial base here in Bangladesh had
to face a sudden vacuum of the entrepreneurs. The paper is organized as follows : section one examines the introduction, section two
focuses on objectives of the study, section three analyzes the methodology of the study, section four explore the hypothesis of the study,
section five discusses the literature review, section six explains the result and discussion and final section explore conclusion.
Keywords
Employee, Job, Ready-Made Garment, Entrepreneur and Satisfaction.
success factors of our RMG industry. The garments industry
contributes the highest portion of our country’s GDP. So enhancing
the performance of that industry in terms of diminishing the
dissatisfactory factors of the workers may drive our country from
developing to a developed one.
I. Introduction
Since 1988, when the export-oriented ready-made garment sector
foe the first time overtook the traditionally jute sector in terms
of gross export accruals, the garment sector has continued to
consolidate its predominant position in Bangladesh (Rahman
1999). The sector’s contribution to export earning has increased
steadily, with all other sector being comparatively static. In
financial year 1998-99, earning in the export-oriented garment
sector were 4,020 million dollars, which constituted 75.7 percent
of total export earnings. There has been a steady growth in RMG
exports during the last three decades (Haider 2007). Ready-made
garment industries enjoyed a dramatic rise from 30 enterprises
in 1980 to about 4740 in 2007-2008 fiscal years. According to
one statistics whereas in 1983-84 RMG sector employed 0.04
million workers, in 2007-08 this figure increased to 2.500 million
(BGMEA 2009). The sector’s earnings of RMG, US$ 7.9 billion
from US$ 3.36 million in fiscal year 1981 and 2007, 77.4% of total
export earnings of Bangladesh came from RMG sector. The share
of RMG exports in total GDP became 13.1 in fiscal year 2006
compared with 0.16% in fiscal year 1984. In less than a decade it
increased its exports foreign exchange earnings and contribution
to the GDP by 4.39%. RMG exports reached a steadfast figure
of US$ 17.91billion in fiscal year 2010-2011; accounting more
than 78% of national export earnings, which was about 4%-5% of
the global total of such exports. It further contributes 10% to the
country’s GDP (Mahmud R.B, 2012). It is important that 80% of
the total workers of RMG sector are women (Khatun, Rahman,
Bhattacharya and Mozzem 2008).
Job satisfaction benefits the organizations includes reduction in
complaints and grievances, absenteeism, turnover and termination;
as well as improved punctuality and worker moral. Job satisfaction
and occupational success are major factors in personal satisfaction,
self-respect, self-esteem, and self-development (quoted in Brown,
p. 123). RMG owner often deny that they have the power to
improve the wages or conditions of worker. Worker often try
to complement their low wages by overtime, which in effect is
mandatory practice in Bangladesh RMG factories (Ahamed F;
2011).
In this study, we tried to find out what is the leading of the owners
of the RMG sectors toward the performance enhancements of
our garments industry. We found that the workers are the key
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II. Objectives of The Study
The basic objective of this study is to provide a guide line of
employee’s views on Job satisfaction. For this purpose the specific
objectives are :
• to check the job environment of RMG industry;
• to examine the marital status of the workers of the RMG
industry;
• to examine the expected salary of RMG industry;
• to determine the behavior of boss to the worker in the garment
sector of Bangladesh (based on AKH group);
• to identify the employee’s job satisfaction affecting job
enhancement of the RMG sector in Bangladesh based on
AKH group.
III. Hypothesis of The Study
In order to know the satisfaction level of the employees regarding
the services provided by the RMG sector of Bangladesh, the
following hypotheses are formulated.
H1 : The employees of RMG sector are satisfied with the marital
status,
H2 : The employees of RMG sector are satisfied with the education
qualification,
H3 : The employees of RMG sector are satisfied with the present
and expected salary,
H4 : The employees of RMG sector are satisfied with the
environment of RMG sector,
H5 : The employees of RMG sector are satisfied with the behavior
of boss,
IV. Methodology of The Study
Exploratory research was conducted to industry different dimension
of employee’s views to examine the job satisfaction level through
a structured questionnaire. The hypotheses are formulated based
on core variables and conclusive research was applied to prove
the hypothesis. The research was conducted over 400 sample
31
© All Rights Reserved, IJRMBS 2014
International Journal of Research in Management &
Business Studies (IJRMBS 2015)
Vol. 2 Issue 2 Apr. - June 2015
ISSN : 2348-6503 (Online)
ISSN : 2348-893X (Print)
units (AKH group, Hemaetpur, Dhaka), using the judgmental
sampling technique. Initially this research was designed on the
basis of primary data collection tools. We also collect information
through literature review, case studies in other countries, journals,
research articles, thesis papers, newspapers, online news and
survey reports, garments manufacturing industries annual reports,
BGMEA yearly report and files. The investigation was done by
a questionnaire survey and by observation and measurement in
the work place. Bivariate Analysis, Logistic Regression Analysis,
Hypothesis Test, Percentage analysis are the primary tools used
for the data analysis.
relationships to technological change include improvement of task
significance, salary increase, and improvement of the quality of
supervision, improved quality of relation and increase benefits.
The negative consequences are unfair pay, work dissatisfaction,
bureaucracy, conflicts between management and workers,
decreased promotion for workers.
This study is unique in that although many studies have been
conducted on the garment workers in Bangladesh, not a single
study has been conducted to explore the job satisfaction of the
workers of garment industry. This study is attempted to make a
fruitful analysis of employer’s views on job satisfaction.
V. Literature Review
SSM Sadrul Huda, Nargis Akhtar and Afsana Akhtar (2011) found
that workers of garment sector in Bangladesh are not satisfied
with wage; safety facilities; leave policy; promotion policy and
behavior of the owner. These findings show the true picture
because these are in line with the various previous findings of study
conducted on the garment workers’ wages and working conditions.
Besides, the two resource persons of this study also passed the
same comment. The study also found that the workers in garment
sector of Bangladesh are satisfied with working environment;
present health care facility and overtime benefits. It is known
that job satisfaction is a matter of perception and that perception
may or may not be accurate. The workers satisfaction regarding
working environment and also does not reflect the true picture
because in the organizations where trade unions are discouraged
by the employers (although forming trade union is a legal right
of the workers) and where employers have become cost effective
mainly by lowering labor standards at this situations workers
cannot get satisfactory work environment. This satisfaction is
due to the workers’ lack of awareness regarding the standards of
working environment.
Khan (2001) in his study mentioned that there is deliberate
feminization of the workforce of the garment industry in
Bangladesh and there are three reasons behind this deliberate
feminization. These are: (1) Garment factory owners perceived
that like the poor women workers of other Asian NICs who had
been socially and economically oppressed for so long and who
have low aspirations wages, teen age girls and young women from
rural areas of Bangladesh have low aspiration wages. so, they
appointed mainly unskilled teen age girls or young women mainly
from the rural areas; (2) Since they are already in a susceptible
socio-economic condition, as compared to their male counter
parts, will agree to work for extra hours and if situation demands
it will be easier to dismiss them; (3) most garment factory owners
perceived them as docile, trustworthy and manageable. The author
also mentioned in his study that most Bangladeshi garment factory
owners have failed to see any causal relationship between labor
standards and productivity outcomes. Therefore, many of them
have become cost effective mainly by lowering labor standards
and taking opportunities for low-wage employment due to the
profusion of a young female labour force.
Islam and Swierczek (2003) analyzed the impact of technological
change on job satisfaction of women garment workers in
Bangladesh. The specific relationship between job satisfaction
and the overall impact defined in socio economic terms shows that
fair pay; task significance, bureaucracy, conflicts and information
sharing are significantly related. Task significance and information
sharing are positively related to the overall impact. Unfairness
in pay, high bureaucracy and higher level of conflicts cause a
limited positive overall impact on women workers. The positive
VI. Results And Discussion
As job satisfaction is dichotomous numeric variable, we have
tried to find out the significant factors affecting on job satisfaction
through binary logistic regression model.
The odds ratio of sex of the respondents are 2.124 which indicates
that job satisfaction of female worker will be 2.124 times higher
satisfaction than the male workers (i,e. reference category).
The odds ratio of marital status of the respondents are 7.140 and
12.436 respectively which indicates that job satisfaction will be
7.140 and 12.436 times higher for those respondents who are
married and divorced than those respondents who are unmarried
(i,e. reference category).
The odds ratio of education qualification of the respondents 0.000,
0.000 and 0.000 respectively which indicates that job satisfaction
will be 0.000, 0.000 and 0.000 times lower for those respondents
who are under SSC, SSC and HSC than those respondents who
are literate (i,e. reference category).
The odds ratio of salary of the respondents are 0.004 and 0.000
respectively which indicates that job satisfaction will be 0.004and
0.000 times lower for those respondents who are 6001-10000 and
10001-20000 than those respondents who are below 6000 (i,e.
reference category).
The odds ratio of expected salary of the respondents are 0.458
and 0.009 respectively which indicates that job satisfaction will
be 0.458and 0.009 times lower for those respondents who are
10001-12000 and highest through 12001 than those respondents
who are lowest through 10000 (i,e. reference category).
The odds ratio of environment of present residence of the
respondents are 0.000, 0.000 and 0.000 respectively which
indicates that job satisfaction will be 0.000, 0.000 and 0.000
times lower for those respondents who are unhealthy, wetted and
as usual than those respondents who are healthy (i,e. reference
category).
The odds ratio of salary of behavior of immediate boss are 9.885
and 1.634 respectively which indicates that job satisfaction will be
9.885 and 1.634 times higher for those respondents who are good
and as usual than those respondents who are bad (i,e. reference
category).
The odds ratio of causes of working are 1.350 and 0.523 respectively
which indicates that job satisfaction will be 1.350 times higher and
0.523 times lower for those respondents who are unemployment
problem and divorced than those respondents who are below
insolvency of family (i,e. reference category).
AKH group maintains the wage rate, absence of trade association,
the working environment is as usual but the condition of present
residence of the maximum workers are not healthy and they have
no high ambitions.
© 2014, IJRMBS All Rights Reserved
32
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ISSN : 2348-6503 (Online)
ISSN : 2348-893X (Print)
International Journal of Research in Management &
Business Studies (IJRMBS 2015)
Vol. 2 Issue 2 Apr. - June 2015
Table1 : Summary of the results
Dependent Variables : Employee satisfaction (Job satisfaction of
garment worker)
Independent
variable
Sex of the
respondent
Marital status
Educational
qualification
Salary
Expected salary
P- Value
Environment of
present residence
Behavior of
immediate boss
Causes of
working in
garment factory.
0.000
0.064
0.068
0.000
0.040
0.000
0.010
0.000
Significance
level
10%
Implications
10%
Highly
significance
1%
Highly
significance
Highly
significance
1%
Satisfied
Dissatisfied
Highly
significance
Dissatisfied
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Satisfied
Dissatisfied
Dissatisfied
Dissatisfied
Dissatisfied
Source : Field Survey ( Authors calculation)
A. Hypothesis Testing
The result of the hypothesis 3, 4, 5, 6, 7 and 8 showed that in
some of the cases , the P. value are less than the significance level
I,e. 0.05. As a result, Ho is rejected and H1 is accepted, which
means that the employees of the RMG sector of AKH group are
dissatisfied in those cases of services. However, in some cases
P value are greater than the significance level that means H0 is
accepted and H1 is rejected, which indicated that in those cases
the employees of the RMG sector of AKH group are satisfied with
the services provided by the owners of the RMG sector.
VII. Conclusion
The study found that workers of AKH groups are not satisfied with
education qualification, wage (salary), expected salary (expected
wage), environment of present residence, behavior of immediate
boss and causes of working in the factory. These findings show
the true picture because these are in line with the various previous
findings of study conducted on the garment workers wage and
working conditions. The study also found that the workers in AKH
group are satisfied with working environment, present health care
facility, sex and overtime benefits. It is known that job satisfaction
is a matter of perception and that perception may or may not
be accurate. The various previous studies show that workers in
garment sector of Bangladesh do not get proper health care facility
and overtime benefits. The workers satisfaction regarding working
environment and also does not reflect the true picture because
in the organization where trade unions are discouraged by the
employers (although forming trade union is a legal right5 of the
workers) and where employers have become cost effective mainly
by lowering labour standards at this situation worker cannot get
satisfactory working environment. This satisfaction is due to the
workers lack of awareness regarding the standards of working
environment.
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33
© All Rights Reserved, IJRMBS 2014
International Journal of Research in Management &
Business Studies (IJRMBS 2015)
Vol. 2 Issue 2 Apr. - June 2015
ISSN : 2348-6503 (Online)
ISSN : 2348-893X (Print)
[18].Wright, P.M., T.M. Gardener, L.M. Moynihan and M.R.
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Author’s Profile
Dr. Razia Khatun, B. S. S Economics
with honours 1st Class 1st Position. M. S.
S Economics 1st Class 1st Position. She
is an Associate Professor of Economics,
Department of Humanities, Khulna
University of Engineering & Technology,
Khulna – 9203, Bangladesh, Email : r_
[email protected]
Md. Shamsuzzaman, M. Phil Fellow,
Department of Economics, Islamic
University, Kushtia, Bangladesh, Email:
[email protected]
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