CHAPTER ONE

INTRODUCTION

1.1BACKGROUND OF THE STUDY

Service organizations are increasing tremendously with the passage of time and have a high value for the organization as well as in the field of study from last 20 years. Most of the countries are transferred towards service companies from manufacturing sector (Fitzsimmons and Fitzsimmons, 2006). Due to this, service sector has attained vital position in topic of discussion in academia Heskett et al. (2013) provides a strong model for the researchers to adopt in this sector. But in our literature, we have just taken one part of this model which shows relationship of loyalty of employee and their satisfaction.

In Nigeria, the hotel industry had been recognized as industry of getting high growth in service industry but the profitability of this sector is reduced by the high dissatisfaction of the employees. Whenever the employees are more contented, they have less intent to leave the job and ultimately turned towards loyalty (Hussain, 2012).

Employees are provided satisfaction to make them loyal to hotel. But most of the organizations are still fail to satisfy their employees and to receive their loyalty at all because they do not know about the factors that help in getting employee loyalty. Our study will help these organizations to identify their shortcomings and also the factors those help in gaining the loyalty of their employees. They can easily then judge the association of satisfaction and loyalty of the employees. Most of the industries make their different training programs like worker’s training, their performance appraisal system, working conditions, different rewards according to their different company’s laws and policies.