IMPACT OF EMPLOYEE HAPPINESS ON EMPLOYEE PERFORMANCE: EVIDENCE FROM THE APPAREL INDUSTRY IN SRI LANKA

Abstract

This study aims to investigate Employee Happiness's impact (in the form of Job Satisfaction, Employee Engagement, and Affective Organizational Commitment) on the Employee Performance of employees who work in well-reputed apparel sector organizations in Sri Lanka. The study's results provide empirical evidence that the three dimensions and overall Employee happiness significantly positively impact Employee performance. This was conducted as a quantitative and cross-sectional study. Data was collected through a structured questionnaire using a simple random sampling technique. Correlation analysis and simple regression analysis were used to measure the relationship and test the study's advanced hypotheses by using Statistical Package for Social Sciences (SPSS). The analyzed results show a significant positive impact on Employee performance from Job satisfaction, Employee engagement, and Affective organizational commitment separately while ensuring a significantly positive relationship between overall independent and dependent variables. The results indicate that fair perceptions, particularly those derived from Job Satisfaction, Employee Engagement, and Affective Organizational Commitment, are critical in predicting the occurrence of employees’ performance. Therefore, managers should pay high attention to how they reasonably treat their employees because employees’ Happiness will affect the occurrence of their Performance.