Linkage Between Employee Satisfaction And Loyalty To The Hotel Industry

Project and Seminar Material for Human Resource Management (HRM)

Linkage Between Employee Satisfaction And Loyalty To The Hotel Industry


This project is on the linkage between employee satisfaction and loyalty to the hotel industry. Most of the hotel industries now a day face many difficulties in making their employees satisfied. So they are failed to find out the reasons that made their workers satisfied and loyal. This study includes different variables of employee satisfaction and 3 variables of employee’s loyalty. Three variables of loyalty include employee service, future of employee in the company, employee recommendation in the company.

The study also shows the loyalty of employees in hotel industry in Pakistan. Results of the study show a relationship between the said variables. The other variables as like relation of employee with boss, performance appraisal, the situation and place of working, group work, and coordination have a strong correlation with three variables of employees’ loyalty. The study will give the hotel industry a great help in lowering the cost and give much output as like increase in profit and then it will gives a higher satisfaction to the workers and their loyalty in hotel industry

Chapter One


1.1 Background Of The Study

Service organizations are increasing tremendously with the passage of time and have a high value for the organization as well as in the field of study from last 20 years. Most of the countries are transferred towards service companies from manufacturing sector (Fitzsimmons and Fitzsimmons, 2006). Due to this, service sector has attained vital position in topic of discussion in academia Heskett et al. (2013) provides a strong model for the researchers to adopt in this sector. But in our literature, we have just taken one part of this model which shows relationship of loyalty of employee and their satisfaction.

In Nigeria, the hotel industry had been recognized as industry of getting high growth in service industry but the profitability of this sector is reduced by the high dissatisfaction of the employees. Whenever the employees are more contented, they have less intent to leave the job and ultimately turned towards loyalty (Hussain, 2012).

Employees are provided satisfaction to make them loyal to hotel. But most of the organizations are still fail to satisfy their employees and to receive their loyalty at all because they do not know about the factors that help in getting employee loyalty. Our study will help these organizations to identify their shortcomings and also the factors those help in gaining the loyalty of their employees. They can easily then judge the association of satisfaction and loyalty of the employees. Most of the industries make their different training programs like worker’s training, their performance appraisal system, working conditions, different rewards according to their different company’s laws and policies.

The aim of these types of rules is to get employees loyalty with the organization and make their tenure long with the organization. If an employee will spend long time with the organization, he will have more value with his organization. Still some retail companies only sees and observe satisfaction of the employee but they have less concern with the long term relationship of the employees with them. This investigation will help these different industries in hotel sector to organize different training to achieve their loyalty in order to achieve the loyalty of employees service in the sector.

1.2 Statement Of The Problem

Employee satisfaction and loyalty are fundamental issues that must be handled carefully by managers of hotels or any hospitality industry outfit. When this is done it will ultimately rub off on the guests or customers. More satisfaction of employee means more guests, and more guests means profit to the industry.

The study shows a strong relationship between employee loyalty and profitability. Loyalty of employee is attached to clients satisfaction and client contentment its brand image employee satisfaction is attached to employee loyalty and will ultimately increase productivity (Hosleett etal, 1997).

1.2 Objectives Of The Study

  1. To find out if there is any element of employee satisfaction and loyalty in the hotel
  2. To investigate whether there is link between employee satisfaction and loyalty?
  3. To determine if there is an affiliation between profitability and employee loyalty in LandMark Hotels Enugu
  4. To suggest ways of improving employees satisfaction employees satisfaction and loyalty in LandMark Hotels Enugu.

1.4 Research Question

  1. Is there element of employee satisfaction and loyalty in the hotel?
  2. Is there linkage between employee satisfaction and loyalty in your hotel?
  3. Is there affiliation between profitability and employee loyalty?
  4. How can employees satisfaction and loyalty be improved?

1.5 Significance Of The Study

The importance of this project cannot be overemphasized. This is because employees satisfaction and loyalty is a key to success in every business organization. Therefore, this work reveals ways in which organization can improve employees satisfaction and loyalty. Also, it will aid the increase of profitability in the hotel industry since employees are the mechanisms of all operations.

1.6 Scope Of The Study

The scope of this study is focused on linkage between employee satisfaction and loyalty in the hotel industry. And it revolves around LandMark Hotels Enugu.

1.7 Limitation Of The Study

The limitations of the project include difficulties encountered during the period of research such as time constraints and inadequate responses from the respondents.

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