The Impact Of Occupational Stress With The Mediating Factor Of Workplace Stress On Employees’ Job Performance: A Case Of Banking Sector Of Pakistan

Abstract

Objective: The primary objective of this study is to investigate the impact of occupational stress on job performance, while taking into account the mediating role of work stress, with the ultimate aim of addressing the physical and psychological health concerns faced by bank employees in the banking industry of DG Khan division, Southern Punjab, Pakistan. The study sought to shed light on the relationship between these factors and provided valuable insights into the management of occupational stress and the improvement of job performance in this sector.

Method: A comprehensive survey was conducted in different regions of Pakistan targeting employees in selected banks, with the aim of gathering data on various aspects of their job performance and occupational stress levels. The survey involved the use of questionnaires, which were administered to a total of 200 respondents. The collected data were then subjected to a rigorous analytical process using Smart PLS, which included several statistical techniques such as descriptive statistics, Pearson's correlation coefficient analysis, multiple regression analysis, collinearity statistics, and reliability tests. The resultant findings were then used to draw conclusions and make informed recommendations.

Outcomes: The numerical data revealed a noteworthy inverse correlation between occupational stress and job performance, whereby increased levels of the former led to a reduction in the latter. Moreover, the study demonstrated that workplace stress exerts a powerful mediating influence on the detrimental impact of occupational stress on job performance, as evidenced by its high level of statistical significance. The research findings indicated that workplace-related stress represents a significant causative factor in the onset of job stress and consequent impairment of work performance among personnel in the banking industry.

Practical Implications: The study recommended that banking organizations take steps to improve job performance by providing their employees with support in managing both occupational and workplace stress. This can be achieved through the implementation of stress inoculation techniques, time management and behavior training, regular stress management therapy sessions, and health programs. These interventions can help to reduce the negative impact of stress on employees' physical and psychological well-being, thereby improving their job performance and overall productivity. By prioritizing the well-being of their employees, banking organizations can also foster a positive work environment and promote employee satisfaction and retention.