Leadership, Financial Well-Being, and Workforce Performance in Public Sector

Abstract

Leadership is a crucial factor that influences the outcome of an organization more so in the institutions within the public sector whereby the performance of the employees is key in service delivery and in governance. Monetary welfare has become an important determinant of workforce motivation, job satisfaction and general performance. This paper discusses the relationship between leadership styles, financial well-being and performance of the workforce in the Pakistani public sector. Based on the idea of Transformational and Servant Leadership theories, the theory of Conservation of Resources (COR), the research hypothesis states that successful leadership has a positive effect on the financial welfare of employees that subsequently leads to their improved performance at work. The quantitative research design will be applied in collecting the data on the employees of various organizations in the public sector. The results are meant to expand the literature by explaining how leadership affects employee performance in a developing country setting and offer effective suggestions that the policymakers and managers would apply to promote financial as well as performance-related productivity in the government workers.