Job satisfaction as a mediator between transformational leadership and employee performance: Evidence from a developing country

Abstract

The purpose of this study was to investigate the effect of transformational leadership on employee performance via job satisfaction in telecommunication sector, Jordan. Self-administered questionnaire was used to collect data from 278 employees. Structural equation modeling (SEM) via The Analysis of Moment Structures, i.e., IBM AMOS 22 was applied to test hypotheses. The findings show that transformational leadership was significantly and positively associated with both job satisfaction and employee performance. Furthermore, job satisfaction had a significant relationship with employee performance. Consequently, the results underlined a significant mediation effect of job satisfaction in the interaction between transformational leadership and employee performance. This research provides empirical evidence of the interaction between transformational leadership, job satisfaction and employee performance in a key industry in a developing country, Jordan. Finally, this study was conducted in telecommunication sector in a developing country, Jordan, therefore, the results cannot be generalized across countries.