The influence of restructuring on employee job satisfaction and empowerment: a case study of Kenya Railways Corporation

Abstract

Kenya Railways Corporation (KRC) plays a significant role in Kenya's transport sector. Following the concession of the rail operations to the Concessionnaire, Rift Valley Railways in October, 2006, the mandate of the Corporation was revised to include: management of the Concession; management of Non-Conceded Assets; promotion, facilitation and participation in national and metropolitan railway network development; development and Management of inland waterways; and management of the Railway Training Institute. Like many other organizations, KRC faces challenges in fulfilling the revised mandate which is highly dependant on an empowered and satisfied workforce. In view of the high magnitude restructuring considered by the Corporation through concession, it is imperative that the Corporation understands the influence of restructuring on employee job satisfaction and empowerment. It is within this context that this study was initiated to determine the influence of restructuring on employee empowerment and job satisfaction using Kenya Railways Corporation as a case study. The study sought to determine the influence of restructuring on employee job satisfaction and empowerment by comparing the case of change survivors (employees who experienced the restructuring) with that of new comers (employees who joined the Corporation after restructuring). T test was considered for this comparison. The t statistics of 2.346 being greater than the t critical of 2.201 showed that there exists a linear relationship between job satisfaction and employee empowerment amongst those who survived the restructuring process. On the other hand, the t statistics of -0.224 being greater than the t critical of -2.201 indicated that there exists no linear relationship between job satisfaction and employee empowerment amongst the new employees