The Impact Of Risk Perception And Work Environment Satisfaction On Employees’Performance In Skikda Oil Refinery Of Algeria

The study aims to investigate the determinant factors of employee s’ performance in
Skikda Oil refinery of Algeria and establish the extent to which risk perception
mediates the relationship between work environment satisfaction and the employees’
performance. The behavioral theories such as Protection Motivation Theory and
Social Exchange Theory were used as the underpinning theories. This study employed
hypothetical deductive approach through Structural Equation Model (SEM) as a tool
of analysis. The Work environment satisfaction was regressed as determinant of
employees’ performance while risk perception was tested as a mediating variable.
Cross sectional data gathered from employees of Skikda oil refinery, across all
departments (n=376) were used and analyzed. The finding revealed that negative and
significant relationship existed between the work environment satisfaction and
employee’s performance. The findings also revealed that there was negative and
significant relationship between the risk perception and employees’ performance, and
positive and significant relationship existed between the risk perception and the work
environment satisfaction. Nevertheless, the risk perception partially mediated the
relationship between the work environment satisfaction and employees’ performance.
Inclusion of the risk perception, as a mediator, played important roles on employees’
performance, as supported by Protection Motivation Theory on oil and gas industries.
The study implication serves as policy guideline on safety measures and satisfactory
work environment in Skikda Oil and Gas Refinery in putting proactive measures in
place to boost productivity. If satisfactory working conditions are provided to the
employees, then they can spur the emergence of a sense of satisfaction in the
employees and can ultimately give a positive influence on the performance of the
employees.