Transformational Leadership and Employee Motivation in Banking Sector of Pakistan

Abstract

The intent of the present study is to find out impact of transformational leadership on employee motivation in banking sector of Pakistan. Data about relationship of transformational leadership with employee motivation in banking sector (Allied Bank Limited, Habib Bank Limited and National Bank of Pakistan) was collected through a designed questioner "MLQ (Multi Factor Leadership Questionnaire)". Test size population was 290 components from populace. In actual, 350 polls were sent to populace (Major three banks) and 290 answers were great quality for study and after data screening 270 responses were accounted for of 90 responses of each bank. Regression analysis revealed that all dimensions of Transformational Leadership have positive impact on Employee Motivation which proves that Transformational Leadership has significant, positive and strong effect on employee motivation in the Banking sector of Pakistan. Study also reveal that there is positive and strong relationship of all dimension of transformational leadership such as Idealize Influence (II), Individual Consideration (IC), Intellectual Stimulation (IS) and Inspirational Motivation (IM) with employee motivation. At the end concluded that it is all in the hand of organization to keep the employees motivated to work because they can develop such policies that lead to motivation of employees.