Effect of Employee Job Satisfaction on the Relationship Between Leadership Styles and Psychological Well-Being Among Health Workers in a Developing Economy: The Quantitative Approach

This study examined the effects of transformational and servant leadership styles on the employees’ psychological well-being as well as the mediating role of job satisfaction in the relationship between transformational leadership and servant leadership styles and the psychological well-being of the employees. This quantitative and explanatory-based study employed the leader-member exchange theory. Structured questionnaire was employed to gather primary data from 155 out of over 300 health workers in a developing economy through the simple random sampling technique. The data was then processed with the IBM SPSS and Smart-PLS 4.0. Based on the PLS-SEM technique. The study found that transformational and servant leadership styles positively affected the psychological well-being of health workers in a developing economy. Also, job satisfaction partially mediated the relationship between transformational leadership style and the health workers’ psychological well-being. It was also found that job satisfaction significantly mediated the relationship between servant leadership style and employee well-being in the health sector of a developing economy. The study concluded that the presence of employee job satisfaction indirectly improves the relationship between leadership styles and psychological well-being in the health sector. It was recommended that the management of health facilities in developing economies should adopt and/or improve upon the transformational and servant leadership styles to attain employee satisfaction and thereby, strengthen their psychological well-being.