ABSTRACT
This research project
critically explores the casualization
and employee commitment in Etisalat Nigeria.
Chapter one comprises
the background of the study, statement of research problems, aims and
objectives of the study, research hypothesis, significance of the study,
limitations of the study, historical background and definition of terms.
Chapter two involves
literature review and how the topic is being broken down to sub-topics that is
relevant to the success of the project and where the contribution of the
following authors, authentic are reviewed.
Chapter three consists
of the research design, population of the study, sample technique, sample of
the study, sources of data and method of data presentation and techniques of
analysis which is used for the reliability and validity of the research work.
Chapter four consists
the questionnaire administration, analysis of responses from questionnaire, and
test of hypothesis.
Chapter five, the final
chapter also concludes the Summary, Conclusion, and Recommendations of this
special assignment.
TABLE OF
CONTENTS
Title Page - - - - - - - - - i
Approval Page - - - - - - - - ii
Declaration - - - - - - - - iii
Dedication - - - - - - - - - iv
Acknowledgement - - - - - - - v
Abstract - - - - - - - - - vi
Table of Contents - - - - - - - vii
CHAPTER
ONE – INTRODUCTION
1.1 Background of the Study - - - - -
1.2 Statement of General Problem - - - -
1.3 Objective of the Study - - - - - -
1.4 Research Questions - - - - - -
1.5 Hypothesis
- - -
- - -
- - -
1.6 Significance of the Study - - - - -
1.7 Scope of the Study - - - - - -
1.8 Definition of Terms - - - - - -
CHAPTER
TWO – REVIEW OF RELATED LITERATURE
2.1 Introduction - - - - - - - - -
2.1 Conceptual Framework- - - - - - - -
2.1.1 Nature of Casualization- - - - - - - -
2.1.2 Causes of
Casualization- - - - - - - -
2.1.3 Trends of
casualization in Nigeria- - - - - -
2.1.4 The
effects of casualization- - - - - - -
2.1.5 Casualization
and employee commitment- - - - -
2.2 Review of Related
Literature - - - - - - -
CHAPTER
THREE – RESEARCH METHODOLOGY
3.1 Introduction - - - - - - - - -
3.2 Research Design - - - - - - - -
3.3 Area of the Study - - - - - - - -
3.4 Population of Study - - - - - - - -
3.5 Sample size and Sampling Techniques - - - - -
3.6 Instrument for Data Collection - - - - - -
3.7 Validity of the Instrument - - - - - - -
3.8 Reliability of the Instrument - - - - - -
3.9 Method of Data Collection - - - - - - -
3.10 Method of Data Analysis - - - - - - -
CHAPTER
FOUR – DATA PRESENTATION AND ANALYSIS
4.0 Introduction - - - - - - - - -
4.1 Data Presentation and Analysis - - - - - -
4.2 Characteristics of the Respondents - - - - -
4.3 Data
Analysis - - - - - - - - -
4.4 Testing Hypothesis - - - - - - - -
4.5 Summary
of Findings - - - - - - - -
4.6 Discussion of Findings - - - - - - -
CHAPTER
FIVE – SUMMARY, CONCLUSION AND RECOMMENDATION
5.0 Introduction - - - - - - - - -
5.1 Summary - - - - - - - - - -
5.2 Conclusion - - - - - - - - - -
5.3 Recommendations - - - - - - - -
References
- - - - - - - - - -
Appendix - - - - - - - - - -
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND TO THE STUDY
This study is examining the relationship between
casualization and employee commitment in Etisalat Nigeria. Allen and Meyer
(1996) defined employee commitment as “a psychological status of an employee
towards the organization that makes it less likely that the employee will
voluntarily leave the organization” Lower levels of employee commitment amongst
casual employees may arise because of the precarious nature of their employment
(Campbell, 1996). Dessler et al, 2004) posited that “people have a
psychological reference point to their place of employment. Once you put them
in the temporary category, you are saying they are expendable and therefore
they are less likely to exhibit loyalty and commitment to their organizations”.
Employee commitment has benefits for employers and
employees (Mowday, 1998). For employees, commitment to work and in an
organization represents a positive relationship that could ‘potentially add
meaning to life’, whereas, for employers, having committed employees has the
potentials for increased performance and reduced turnover and absenteeism.
Employee commitment has also been linked tentatively to an organization’s
efficiency, productivity, creativity and innovation (Mir, Mir & Mosca,
2002) as well as its profitability (Raab & McCain, 2002).
One of the few strong links in the literature is
that between employee commitment to an organization and staff turnover. As
Allen and Meyer explained ‘employee who are strongly committed are those who are
least likely to leave the organization’ (1990).
The traditional industrial relations system based on
the concept of full-time employees working within an organization is
increasingly being challenged by the use of nonstandard work arrangements by
employers. This changing nature of work has taken a new dimension with the
adoption of flexible work arrangements by many firms globally. The theme
running through many of the new approaches to management in today’s globalized
economy is the development of a more flexible workforce which has become
employers‟ new frontier in the management of human resources. However, these
changing patterns of work (e.g. casual, contract, temporary, part-time
employments, subcontracting, outsourcing/insourcing etc.) occasioned by
Structural Adjustment Programmes (SAP), have created concerns for workers and
trade unions alike, especially in Nigeria. Job security, social security,
terminal benefits and minimum conditions of work are some of the issues of
concern. The push toward casualisation in Nigeria is evident of a continued
effort by government and corporate elites to maximize profit at the expense of
a long-term jobs policy, transparent governance and shared economic
development. Casualization is a great malady that has engulfed the Nigerian
workplace and banking and telecommunication sector in particular.
Casualisation as a form of labour practice has been
defined by most management writers as the process by which employment shifts
from a preponderance of full time and permanent positions to higher levels of
casual positions. It can also be viewed as an employment of an irregular or
intermittent nature (Rodriguez, 2009).
This is sometimes caused by some kinds of workplace
politics which is the use of power within an organization for the pursuits of
agendas and self-interest without regard to their effect on the organization’s
efforts to achieve its goals. Some of the personal advantages may include
access to tangible assets or intangible benefits such as status or pseudo-authority
that influences the behavior of others. Both individual and groups may engage
in this kind of act which can be highly destructive, as people focus on
personal gains at the expense of the organization.
In life, one is suppose to either move horizontally
or vertically but most telecommunication companies have forced their casual
staff to remain static. As there is neither promotion nor increment in their
salaries. Casual staff in most cases spends 15 – 20 years in the same
employment status/designation. The worst is the disdain treatment casual staff
are subjected to by some of the company’s so-called full staff. They are
treated as inferior beings and demoralized.
Casual staff in companies is the grievous of all
form of modern slavery. It is an aberration and infradignity for two set of
employees one casual, the other ‘full staff’ to be performing the same job
functions and at the end of the day, the ‘so-called full staff’ is paid higher
remunerations, promoted, given the opportunities for further trainings and
development in order to advance on the job while the other ‘casual staff’ is
totally neglected. Experience abound whereby two individual who where employed
in the same company, on the same day though in different employment tactics
(i.e. full staff and casual), within the space of 10 years, the fellow employed
as a full staff had risen to become a Manager while the other fellow employed
as casual staff still remains at the same entry point/level where he was
employed 10 years back. The only sin the latter committed was probably because
he was a polytechnic graduate and was employed as casual staff.
Etisalat Nigeria, the case study in this research is
owned by Emirates Telecommunications Corporation, branded trade name Etisalat
is a multinational UAE based telecommunications services provider, currently
operating in 18 countries across Asia, the Middle East and Africa. As of
February 2014, Etisalat is the 13th largest mobile network operator in the
world, with a total customer base of more than 167 million. Etisalat was named
the most powerful company in the UAE by Forbes Middle East in 2012
Etisalat Nigeria is now in business for the last
seven years and is one of the country's fastest growing network with over 23
million subscribers. Etisalat Nigeria provides network coverage in all 36
states of the federation (rolled out in under one-and-a-half years) covering
most of the population, and has deployed more than 2,000 km of fibre to support
broadband development. The company has a track record of introducing innovative
products for mobile banking, which have made financial transactions convenient
for customers and helped foster entrepreneurialism.
1.2 STATEMENT OF THE PROBLEM
Casualization goes beyond Nigeria and beyond
telecommunication companies. Around the world in nearly every economic sector,
good jobs are falling prey to corporate cost-cutting moves at the expense of
working families. Too many jobs are being outsourced, contracted out, or
reclassified under a barrage of legal definitions designed to keep pay down,
benefits low, and unions out. Casualization of employment is growing at an
alarming rate. More and more workers in permanent employment are losing their
jobs and are being re-employed as or replaced by casual or contract workers.
This state of affairs is viewed as employers’ strategies to cut cost; maximize
profit and subject the employees under economic captivity. Casual work which is
supposed to be a form of temporary employment has acquired the status of
permanent employment in many organizations in Nigeria without the statutory
benefits associated with permanent employment status. Casual workers are
subject to lower pay, barred from their right to join a union, and denied
medical and other benefits. Companies have devised antics by often hiring
several part-time workers instead of one or two full-time workers to avoid
their obligation to provide benefits, to divide the workforce, and to dissuade
unionizing efforts. However, this research is out to find out the effect of
this unfair casualization of staffs by some management of companies on the
employee commitment.
1.3 OBJECTIVES OF THE STUDY
The general objective of this study is to analyze
the effect of casualization on employee commitment in Etisalat Nigeria while
the following are the specific objectives:
1. To
examine the effect of casualization on employee commitment in Etisalat Nigeria.
2. To
determine the different causes of employee casualization.
3. To
examine the effect of casualization of organizational performance and
productivity.
1.4 RESEARCH QUESTIONS
1. What
is the effect of casualization on employee commitment in Etisalat Nigeria?
2. What
are the different causes of employee casualization?
3. What
is the effect of casualization of organizational performance and productivity?
1.5 HYPOTHESIS
Hypothesis
One
HO1: There is no significant relationship
between casualization and employee commitment in Etisalat Nigeria.
HA1: There is significant relationship
between casualization and employee commitment in Etisalat Nigeria.
Hypothesis
two
HO2: There is no significant relationship
between casualization and organizational performance and productivity in
Etisalat Nigeria.
HA2: There is significant relationship
between casualization and organizational performance and productivity in
Etisalat Nigeria.
1.6 SIGNIFICANCE OF THE STUDY
The following are the significance of this study:
1. The
outcome of this study would enable the researcher to understand better the
casualization and employee commitment in the telecommunication sector of
Nigeria and also determined the extent to casualization has affected
organizational performance and productivity in Etisalat Nigeria.
2. At
the social level, results from this study would enable the people express their
views on casualization and employee commitment and the effect of this
precarious trend on the employees, employers and the society at large.
Academically, it would be a reference point for further research in this area
of study, it will add to the body of existing knowledge in the field of Human
Resource Practices as regards casualized employment tactics by organizations.
Both employees, employers and the society would benefit from the findings of
this study
1.7 SCOPE/LIMITATIONS OF THE STUDY
The study covered the influence of Casualization on
employee commitment of some selected Etisalat Nigeria workers in Edo State.
Despite the fact that Casualization cut across the
length and breath of the telecommunication sector of Nigeria, only Etisalat
Nigeria, Benin Center constituted the population of this study.
1.8 OPERATIONAL DEFINITION OF TERMS
Precarious life: this is a phenomenon which describe
people (workers) leaving a life of social and economic uncertainty often
coupled with extreme debt. This anxious class of people living such uncertain
life is referred to as the "precariat".
Casualisation: It is the corporate trend of hiring
and keeping workers on temporary employment rather than permanent employment,
even for years, as a cost reduction measure. Casualization is a term used in
Nigeria to describe work arrangements that are characterized by bad work
conditions like job insecurity, low wages, and lack of employment benefits that
accrue to regular employees as well as the right to organize and collectively
bargain.
Casualisation model: This is a process whereby
employers ignore workplace standards and workers’ social needs and create a
strong barrier against workplace organizing.
Formal workers: They are also called regular company
employees; they are hired directly by the company. They receive contracts that
explain work conditions, wages, hours and benefits.
Casual worker: these are employees often employed by
third-party contractors, under various types of part time and (or) short-term
work arrangements. They are not part of any union structure. They earn lower
wages than the regular workers, receive fewer benefits and can be fired at
will.
Direct Labour Contract: this is an employment
arrangement whereby an individual is hired as an independent contractor.
Service Contract: This is an employment arrangement
which is not an individual contract, but an arrangement between a bank and a
smaller company that provides specific technical expertise.