Abstract:
The commercial banks play important roles in worldwide economies and their employees are the
best sources of delivering good services to their customers. Hence, this study conducted with the
objective of assessing the effects of organizational climate on employees’ commitment of
commercial bank of Ethiopia south Addis Ababa district. The study has used both descriptive
and explanatory research designed. Data for the analyses collected from primary through
questionnaires and interview. The study has used simple random sampling technique to select
200 employees from 1796 employees of commercial bank of Ethiopian South Addis Ababa
district. The study has used correlation and regressions to establish the relationship between
variables. Correlation coefficients revealed a significant positive relationship between
employees commitment. organizational climate such as; Autonomy, Trust, Team work, Rewards
and Recognition, Fairness and supervisors and Support are positively and significantly affect
employees commitment. Multiple regression analysis has also revealed that 79.70% the variance
in employee’s commitment are explained by organizational climate dimension; Autonomy,
Trust, Team work, Rewards and Recognition, Fairness and supervisors and Support have
significant effect on employees’ commitment. Therefore, it can be concluded that any
improvement in these organizational climate dimension can improve employee’s commitment.
The study recommends that commercial bank of Ethiopian of South Addis Ababa district should
continue support team work since it contributes more for employees’ commitment. Similarly, the
study recommended that commercial Ethiopian bank of South Addis Ababa district should
continue work on trust on mangers and Rewards and Recognition since they contributes more for
employees’ commitment. Moreover, the organization would be able to focus on selected
organizational climate and also it would be possible to have improvements in workplaces to help
employees become more committed to their jobs.
