Examining the moderating role of a leader's emotional intelligence on the influence of organizational climate on job satisfaction among Youth-Owned and Managed Small Businesses (YOMSB) in Sub-Saharan African (SSA) Economy

Abstract

 Even though the role of effective human resource management, including organizational climate, has been cited as a crucial predictor of diverse employee outcomes such as employee job satisfaction, the mechanism through which the organizational climate and job satisfaction can be enhanced or diminished is underexplored in human resource literature. This study dwells on Herzberg's two-factor perspective to push the boundaries of knowledge by showing that the organizational climate-job satisfaction link depends on varying conditions of leaders' emotional intelligence. The proposed model was tested using survey data from randomly selected 602 Youth-Owned and Managed Small Businesses employees in Ghana. The data was analyzed using structural equation modeling with the aid of SMART PLS. The findings revealed that organizational climate has a significant positive direct effect on job satisfaction. Emotional intelligence also exhibited a significant positive relationship with job satisfaction. Additionally, emotional intelligence positively moderated the organizational climate-job satisfaction link, such that higher emotional intelligence enhanced this relationship. The findings indicate that though organizational climate drives job satisfaction, emotional intelligence serves as an amplification mechanism to extract even greater satisfaction in small businesses in Ghana. Our findings make a contemporary contribution to Herzberg's two-factor and important managerial guidance for owners and managers of Small Businesses in resource-constrained regions like SSA.