The Effect of Perceived Organizational Support and Job Satisfaction on Organizational Commitment among Generation Y Employees

Abstract

Organizational Commitment is an important aspect for organization because it shows that employees are committed to staying and contributing. Among generation Y employees, organizational commitment is thought to be influenced by perceived organizational support and job satisfaction, because perceived support and job satisfaction can shape positive attitudes towards the organization. This study tests the hypotheses that (H1) Perceived organizational support has a positive effect on organizational commitment, (H2) Job satisfaction has a positive effect on organizational commitment, and (H3) Perceived organizational support and job satisfaction simultaneously have a positive effect on organizational commitment among generation Y employees. The research method uses a quantitative approach with a correlational design through a population study of 160 generation Y employees. Data were collected using questionnaires and analyzed using multiple linear regression. The results showed that job satisfaction and perceived organizational support had a positive and significant effect simultaneously (F = 23.227; Sig. 0.000). Partially, perceived organizational support has a positive and significant effect (B = 0.593; Sig. 0.004) and job satisfaction also has a positive and significant effect (B = 0.128; Sig. 0.004). The model explained 22.8% of the variation in organizational commitment (R² = 0.228). This study shows that improving organizational support and employee job satisfaction can be a strategic step to increase the commitment of generation Y employees to the organization.