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Effects of Labour Broking on Employee Morale – A Case Study of Fert, Seeds & Grains (Fsg) Superfert Pvt Ltd, Bindura, Mashonaland Central, Zimbabwe.

Shadreck Mtambo
426-469
Feb 22, 2024
Business Management

Effects of Labour Broking on Employee Morale – A Case Study of Fert, Seeds & Grains (FSG) Superfert Pvt Ltd, Bindura, Mashonaland Central, Zimbabwe.

Shadreck Mtambo

Faculty of Commerce, Graduate School of Business, Bindura University of Science Education

DOI: https://doi.org/10.51244/IJRSI.2024.1101033

Received: 09 January 2024; Accepted: 18 January 2024; Published: 22 February 2024

ABSTRACT

The critical goal of this research study was to examine the effects of labour broking on employee morale at Superfert (Pvt) Ltd. A Case study design and quantitative and qualitative research methods were used. Questionnaires and interviews were administered to a sample of 43 casual employees hired from Headhunters Labour Brokers by Superfert (Pvt) Ltd and 2 key informants who were selected. A thematic approach was used to determine the effects of labour broking on employee morale. Data was analysed using the SSPS software and presented using tables and figures. The major findings from this research were that employee morale at Superfert (Pvt) Ltd was relatively low. The effects of labour broking on employee morale were found to be employee morale related problems such stress, headaches employee absenteeism; misunderstandings; high employee turnover; high organisational spending on employee recruitment and low productivity. However, there was no positive relationship between employee morale. Research findings showed that Superfert (Pvt) Ltd used the targets strategy and aggressive production approach for enhancing employee performance and the measures to address employee morale were unsatisfactory. The researcher therefore recommended that in improving employee morale and engagement labour brokers should identify the needs of employees such as effective monetary rewards and employee participation in decision-making and satisfy these needs; craft a clear communication framework or policy that minimize disruption and adverse effects on employee morale; conduct professional and occupational training to ensure that the employees have the required skills to complete their jobs. Labour brokers should also offer its employees permanent contracts that enables employees to plan for the future and there is need for government, and its line ministries such as Labour and Social Welfare in Zimbabwe, and other stakeholders to craft the code of conduct specifically for labour brokers and increase focus on tracking their conduct to protect employees from abuse.

Keywords: labour, employee, employee morale, labour brokers.

THE PROBLEM AND ITS SETTING

1.0 Introduction

Labour broking is one of the labour practices that have recently attracted much attention and controversy. In particular, the role of labour broking on employee morale has been underestimated in productivity and the overall work culture, mainstream policies and economic research. However, tapping into the potential which labour broking offer even today could help to improve employee morale. In order to demonstrate the relevance and potential of labour broking on employee morale, this research seeks to examine the effect of labour broking on employee morale at Superfert Private Limited, a fertilisers, seed and grains manufacturing and processing company which operates in Bindura town, Mashonaland Central Province in Zimbabwe as a case study. As such, this chapter covers the background of the study, highlights the problem statement as well as the objectives, research questions, justification and significance of the study. Literature review is also discussed as well as the methodology that will be used. Finally, the researcher addresses the ethical and legal issues involved and provides the definitions of key terms to be used in the research study.

1.1 Background of the Study

Labour brokering is generally referred to as a temporary employment service and is practised globally. In Zimbabwe, identifying the effects of labour broking on employee morale is particularly important. Zimbabwean firms face difficult financial challenges imposed by the decade-long economic and political transition. Mhotseka (2019), and ZEPARU (2020), states that efforts by Zimbabwean firms were are being challenged by climate shocks that are affecting the manufacturing sector disproportionally; structural bottlenecks including critical infrastructural deficits; slow pace in enterprise reforms and the general under performance of the economy driven mainly by macroeconomic instability characterized by high inflation and exchange rate volatility. According to ZEPARU (2020), major risks have emanated from growth in money supply due to over expenditure and general confidence deficit given the hyper-inflation experience. The misguided domestic economic and financial policies, combined with the rapid flight of short-term funding, obliged Zimbabwean government to default on domestic and foreign debt (Linz, Good and Huddleston, 2016). These financial constraints have limited their ability to reward productivity improvements or worker effort with additional pay. Reports that one in every three firms found it difficult to make timely wage payments for labour services rendered and in recent years, one in every five Zimbabwean workers have reported experiencing delayed wage payments (Ncube, 2016).

Superfert Private Limited is one of the Fertilizers, Seed and Grain’ manufacturing and production company operating in Zimbabwe. Superfert focuses on the local supply of high quality fertilizer, seed, and grain to its agricultural community through the process of tendering for Government input programmes and NGO business. The company also supplies agribusiness corporates and commercial farmers, and have a retail arm that supplies the small-scale farmers of Zimbabwe (Superfert company profile, 2020). According to its company profile, Superfert’s keen interest is in the development of agriculture in Zimbabwe and has caused fertilizer to become the core focus of the company’s business. Superfert also predominantly trade in soya beans, maize, wheat, ground nuts and small grains like sesame seed as well as exportable commodities such as paprika through international, regional and local markets.

The Superfert Fertilizer Blending Plant uses only first-grade raw materials to produce all commonly used basal blends found throughout Zimbabwe and the Superfert Plant is able to blend a volume of up to 1,000 tons of fertilizer a day. Superfert employs a permanent staff of around 60 people across Zimbabwe, enabling efficient warehousing, bagging and nationwide distribution. During busy periods Superfert employs between 100 and 200 casual workers on a rotating system during busy periods at its processing plant (Superfert company profile, 2020). The casual employees for Superfert Private Limited are recruited through labour brokers. The guidelines of the International Labour Organization allow for labour brokering services but require that measures be put in place to ensure freedom of association, the right to collective bargaining, protection in terms of the minimum wage, employment benefits and social security benefits (ILO, 2002b).

Scholars like Kalleberg (2003), Gwala (2016), Di Paola and Pons-Vignon (2013), collectively agrees that the use of labour brokers remains a critical positive contributor for companies that require seasonal, large-scale, temporary staff or that run an event that demands short-term staff. According to a research published by Haroon Bhorat, Director of the Development Policy Research Unit at the University of Cape Town, more than 50% of 784 434 workers in South Africa were employed by the labour brokers (also known as Temporary Employment Services or TES), sub-sector in 2014. Ruziwa, (2020), estimates that in the same country (South Africa), approximately one million workers work under labour brokers mainly in manufacturing, construction, mining, and wholesale/retail trade and in some government ministries. This means that such seasonal and periodic employment offers financial relief to poverty-stricken youth, albeit temporary, without elevating recruitment and administration burdens for end users. Put one way, labour broking has proven to be a mitigating factor for the high unemployment in as much as it helps to boost the economy by creating employment and supports the end users by providing a supply of short-term labour (Gwala, 2016). The Labour broking practice is perceived as a cheaper alternative to permanent employment and the accompanying labour-related obligations (Di Paola and Pons-Vignon 2013).

Unfortunately, there has been very little empirical research into the effect of labour brokering on employee morale. Makawatsakul and Kleiner (2013) explain that good worker morale is required to have employees who are willing to put time and energy into solving problems, a crucial ingredient for excellent customer service.

1.2 Problem Statement

Workers who are employed by labour brokers at Superfert (Pvt) (Ltd), face the risk of unfair labour practices such as the inability to exercise their employment rights. This is compounded by the fact that in Zimbabwe, there is no express provision found within the Labour Act [Chapter 28:01] with regards the practice of labour-broking and labour law does not prohibit the broker or Superfert (Pvt) (Ltd) from identifying casual labourers as independent contractors, implying that these labourers can be excluded from legislative labour protection. On the other hand, there is a perceived lack of the quality of work that is performed by brokered labour force at Superfert (Pvt) (Ltd). The preliminary literature review suggests that there is no proven approach that has been implemented by Superfert (Pvt) (Ltd) to deal with the negative effects of labour broking and improve employee morale. This research therefore seeks to examine the effect of labour broking on staff morale so as to come up with effective programs that are clearly devoted to boosting staff morale for companies, organisations and or institutions to in order to enable them to improve performance and productivity and contribute towards the National Development Strategy 1 (NDS1), Government’s economic blueprint running from 2021 to 2025.

1.3 Research Aim

To examine the effects of labour broking on staff morale at Superfert (Pvt) (Ltd).

1.4 Research Objectives

To find out the moral levels of employee morale at Superfert (Pvt) (Ltd.
To examine the factors that influence of labour broking on employee morale at Superfert (Pvt) (Ltd).
To determine the relationship between employee morale and performance at Superfert (Pvt) (Ltd).
To evaluate the labour broking strategy at Superfert (Pvt) (Ltd).

1.5 Research Questions

What are the theoretical causes of low employee morale at Superfert (Pvt) (Ltd)?
How does labour broking influence employee morale at Superfert (Pvt) (Ltd)?
What is the relationship between employee morale and performance at Superfert (Pvt) (Ltd)?
What methods of labour broking will be most effective in improving employee morale at Superfert (Pvt) (Ltd)?

1.6 Significance of the Study

This study will be of a great significance since it will be used by stakeholders in the
labour relations in Zimbabwe. These include employers, employees, trade unions, employment councils, students (Academia), the Tripartite Negotiation Forum and the civil organizations in carrying out their researches about labour market flexibility.

1.6.1 Employers

This research will mostly benefit companies with large employees who are recruited by labour brokers that struggle with low employee morale and high absenteeism levels. By highlighting the labour broking effects, the employers will be in a position to understand that labour market flexibility helps nothing in Zimbabwe but to infringe workers’ rights therefor leading to a decline in productivity not boosting it.

1.6.2 Workers

The study will be useful to workers since it will highlight and enlighten the workers of Zimbabwe about labour broking and their effects to them. This will also help a long way in giving them strategies and remedies to curb and avoid them from effects by labour brokers.

1.6.3 Trade Unions

This study will add value to the trade unions when analysing the actions of labour brokers, employers and the government towards employment relations in Zimbabwe. This study will also help a long way to the trade unions in Zimbabwe when pursuing further researches about labour broking. More so the study will help trade unions in mobilizing and recruitment of employees to their unions through education and workshops about labour broking.

1.6.4 Government

It is the researcher’s view that the findings of this research will give the parent Ministry that is, the Ministry of Public Service, Labour and Social Welfare, a clear insight of the challenges faced by brokered labour. The research study is of great significance to the government in terms of crafting policies that will address labour recruitment in Zimbabwe.

1.6.5 Tripartite Negotiation Forum

Findings in this research will provide recommendations that will help the Tripartite Negotiation Forum that consist of trade unions, government and employers in coming up with policies that will attend to the effects labour brokers on employee morale and organisational performance as well balance policies for the benefit of both the employees and the employers.

1.6.6 Academia

This study will be useful to the academic world and institutions in carrying out their researches on labour market flexibility using this literature as well as knowledge in future studies. The study will also be of great importance to the researcher in that it will equip the researcher with the requisite skills to undertake a research in any field as well as enriching his existing knowledge on developmental challenges faced by companies not only in the fertilizers, seed and grains processing industry, but also in every industry, institutions or organisations in the country.

1.7 Justification

Employees are the basic building block of organisations and the primary vehicle for performance and / or productivity. By answering the major research questions of this study, stakeholders are bound to develop a decision support systems that can be implemented by companies, institutions or organisations to improve the morale of the employees who are recruited by labour brokers. Finding ways of establishing a long-run relationship between the worker and the firm, and to maintain or improve worker morale will lead to higher organisational performance and / or productivity. This will certainly enable the industry, institutions or organisations in to guide their firms and business toward profit margins sufficient to sustain their operations, meet their organisational goals and objectives for improving productivity and ultimately contribute towards the general wellbeing of the economy and thus, the attainment of the National Development Strategy 1 (NDS1) of 2021 to 2025.

1.8 Purpose of the study

To examine the effects of labour broking on staff morale at Superfert (Pvt) (Ltd).

1.9 Hypotheses

H₀ – Labour broking has negative effects on staff morale

H₁ – Labour broking has positive effects on staff morale

1.10 Limitations

In this research, the constraints which may affect the research include the following:

Access to information may be difficult due to the sensitive nature of the research. To overcome this, the researcher shall provide assurance that the information will be used for academic purposes only.
Language barrier. To address this, the researcher will resort to the best language as chosen by the respondents.
Financial challenges may also affect the travelling as scheduled hence the researcher may extend the deadlines in order to finish the data collection process.

1.11 Delimitations

This study focuses on the effects of labour broking on employee morale. The study is limited to only to employees hired by labour brokers at Superfert. Management level employees are included. However, the research findings of the research study may be generalized.

1.12 Assumptions

It is presumed that:

The respondents will co-operate and be able to divulge information pertaining to the research.
Questionnaires will accurately reflect what is expected and respondents will be able to interpret them as expected.
The information provided will be true, accurate, unbiased and that the conclusions drawn by this study will be valid and determined by the above assumptions.

1.13 Definition of Key Terms

Labour broker: an external labour supplier that is subcontracted by a company, organisation or institution in order to provide employees.

Labour broking: may also be defined as a form of subcontracting, where definite services are procured from an outside supplier that is, labour brokers

Morale: refers to an expression of the group’s strength, dependability, pride and confidence in, as well as devotion to their work.

1.14 Dissertation Lay Out

This research study will be divided into five chapters as following:

Chapter one: The Research Problem and its Setting

Chapter two: Literature Review

Chapter three: Research Methodology (including research design and research instruments and data processing).

Chapter four: Data Presentation and Analysis.

Chapter five: Research Summary, Conclusion and Recommendations

1.15 Chapter Summary

This first chapter highlighted the research problem and its setting including the topic, introduction of the study, background of the study, aims, objectives, research questions and justification of the study, statement of the problem as well as definition of terms. In the next chapter, studies related to the effects of labour broking on employee morale will be reviewed.

LITERATURE REVIEW

2.0 Introduction

2.1 Morale Theories

There are numerous theories of morale; these can be classified into three categories, namely: needs psychology, the hierarchy of needs, and interactions among members.

2.1.1 Needs Psychology

The first is needs psychology. This theory refers to the individual’s personal needs, and their drives to satisfy these needs. A distinction between basic and acquired need sought to be made. According to Baehr and Renck (1958), basic needs are hunger, thirst and sex, while acquired needs are social for example achieved status, self-esteem and the need to be affiliated with other people.

2.1.2 Hierarchy of Needs

The second approach refers to the hierarchy of needs. According to Baehr and Renck (1958), the most systematic development of this concept was presented by Maslow. This theory entails that once a person’s basic needs have been satisfied, higher needs emerge that dominate the person, until these are fully or partially satisfied. The foundation level needs in Maslow’s theory mirrors the needs in the first approach and are defined as hunger, thirst, and sex. The higher needs follow the basic needs, which are of a social nature, and result in the realisation of self. Maslow refers to a person who has achieved lower needs as a self-actualising person (Maslow, 1972). Maslow goes further to state that all self-actualising people he has studied are dedicated people, devoted to a given task or duty, where a self-actualised person has achieved the needs of belongingness, affection, respect, and self-esteem. Baehr and Renck (1958) state that further studies have indicated that pay is a basic need, and that only once this is satisfied do the higher self-actualisation needs become dominant. However, it should also be noted that these needs are eclipsed when the individual’s sense of security is threatened, as well as when financial incentives are dominant. However, it should be pointed out that a more recent study by Dewhurst et al. (2009) states that providing financial incentive is not sustainable, especially in the current economic climate.

2.2 The causes of low employee morale

A number of scholars have written widely on the causes of low employee morale. Schoeman and Blaauw (2016) and Linz and Semykina (2012), pointed out that low wages result in low employee morale. By the same token, Linz and Semykina (2012), hypothesised that monetary gain is related to employee morale. They found that employee morale was linked to the employees’ expectations, where employees had very low expectations of receiving additional or increased payments. They also hypothesised as to whether monetary rewards or other measures had the most significant impact on morale. From their study, they found that monetary rewards had the most significant positive effect on morale. On the other hand, Schoeman and Blaauw (2016), demonstrated the effect of labour broking on employee morale using the case study of the South African Post Office (SAPO), where brokered employees were paid R4 000 per month as compared to R8 000 a month for permanent workers in 2011. According to Schoeman and Blaauw (2016), the working conditions of these temporary workers were nowhere near that of permanent employees as casual employees were not given adequate wet-weather clothing and they were denied basic benefits, such as a tea and coffee allowance.

Makawatsakul and Kleiner (2003), pointed that concern and fears over job security can lead to a decline in trust and motivation of employees. Lack of motivation is a common cause of morale problems especially when a company is in the process of downsizing. Dewhurst et al. (2009), similarly posits that when a company starts a process of layoffs, the morale in the company decreases. Makawatsakul and Kleiner (2003) demonstrated the effect that uncertainty can have on the employees following downsizing. Makawatsakul and Kleiner (2003) used the results obtained by a Canadian consulting firm, Murray Axmith, who surveyed in 1995 companies undergoing the process of downsizing. This study showed that 61% of companies surveyed reported a reduction in morale and 37% experienced decreased job satisfaction.

Buddelmeyer et al. (2013), explains that there are three main causes for the lower morale in these employment groups, the first being the characteristic of this employment type, as there is a lack of any type of guarantee of permanency. Second, contingent employment is associated with inferior working conditions. This includes reduced opportunities for skill development and career growth, low wages, and lack of other benefits, for example, paid leave. Finally, contingent employees may be marginalised by other employees, because some employers treat them differently to regular employees.

Ranganayakulu (2005) further states that the structure of an organisation can also have an impact on morale, as upward communication is very difficult in a tall organisational structure. A flatter structure improves communication, and reduces absenteeism, accident, and strikes. In addition to this, it allows scope for self-actualisation. The lack of personal touch often characterises larger organisations, where, as the organisation grows, people become impersonal to one another as employees are managed by rule, policies, and procedure (Ranganayakulu, 2005).The final category of causes that impact employee morale is management-related causes. This refers to the employee’s direct line managers, with whom they engage on a daily basis. Buddelmeyer et al. (2013) argue that the current literature on the topic of contingent employee satisfaction was done with small, non-representative samples often only using employees from one organisation. Buddelmeyer et al. (2013) further suggest that studies should consider the broader population.

McConnell (1994) explains that the eight events found to be the most effective methods of reducing employee morale were punishing all mistakes; making practising corporate values optional; ceasing training and improvement methods; creating detailed job descriptions for all and enforce them rigidly; managing by departmental results alone, rather than by work processes; creating a “do as I say, not do as I do” environment; ask for suggestions, then ignoring them; and creating a policy stating that our people are our most important asset; then retrenching a sizeable sized group at the first sign of tough times.

2.3 Effects low employee morale

An article in ‘The Leading Edge’ also stresses that “dissatisfied employees who are discontented with their bosses can have a high price tag” (Abbot, 2003). In the same words, Kanimozhi, and Vinothkumar (2018), explains that morale has a directly effect on productivity. According to Kanimozhi, and Vinothkumar (2018), high morale leads to high productivity whilst low morale leads to low productivity. This school of thought further points out that low morale will cause adverse consequences that include high rates of absenteeism and labour turnover, decreased quality, decreased productivity, excessive complaints and grievances, frustration among the workers, lack of discipline, increase errors, accidents or injuries (Kanimozhi, and Vinothkumar, 2018).

Makawatsakul and Kleiner (2003), pointed that low employee morale can paralyse the operation of an organisation. Makawatsakul and Kleiner (2003) used the results obtained by a Canadian consulting firm, Murray Axmith, who surveyed in 1995 companies undergoing the process of downsizing and found out that 61% of companies surveyed reported a reduction in morale, where 50% experienced a decrease in company loyalty and 37% experienced decreased job satisfaction. Buddelmeyer et al. (2013), also indicated that lack of motivation will reduce a company’s overall productivity.

By the same token, Ashraf Tag- Eldeen (2017), investigated the impact of workplace bullying on employee morale and found significant effects of employee morale on multiple organizational outcomes including turnover intentions and other drawbacks of these practices include undermining teamwork, lowering productivity and increasing staff sickness, absence and turnover rates. It also costs time and money, affects the quality of service delivery, and damages the organization’s reputation. Osama Samih Shaban (2017), examined the effect of low morale and motivation on employee’s productivity and competitiveness. His results revealed low motivation, low productivity and loss of competitiveness and sometimes, further undesired symptoms such as absenteeism and sabotage as outcomes of low morale. According to Abbot (2003), absenteeism is another costly indicator of low morale which decreases productivity (Abbot, 2003).

Low morale results in a communication gap between employees and managers, which in turn leads to employee distrust, disrespect, and reduction of workforce motivation (Chungsup et al., 2012). Low morale also causes employees to lose interest, especially when managers don’t appreciate their efforts and the tasks performed (Zeynep and Huckman, 2008). In addition to the above, Shaban et al (2017) notes that one costly indicator of low morale is high employee turnover. This happens when employees leave their jobs because they feel unhappy and have no incentives to stay. The negative effect of employee turnover is disconcerting because of its great implication both on financial and on productivity levels. Financially means the company has to hire new employees either with payment of higher salaries or by additional recruiting expenses. At the production level, the employees who leave will take with them the knowledge, skills and ability that helped contribute to the goals, profit and performance of the organization (Lee and Liu, 2009).

Briggs and Richardson (1992) examined the internal and external reactions to low morale using a sample of 78 school teachers and administrators enrolled in educational supervision courses, and found that Low teacher morale was associated with internal reactions such as more frustration, lack of confidence, resistance to change, excessive absence from work, lack of teaching quality and high turnover, and external reactions such as backbiting, open hostility, bickering, and high teacher turnover (Jehanzeb and Muhammad, 2017). In their investigation of the “Effects of staff participation, morale, and shortage on organisational performance,” Jehanzeb and Muhammad (2017), further discovered that morale has spill-over effects, and a teacher with low morale can cause discouragement and lower morale of other teachers and co-workers around him which has the potential to negatively affect student performance. However, literature does not specify the precise effects of low employee morale that is particularly as result of labour broking.

2.4 Relationship between labor broking and employee morale

Fard et. al. (2010) specified that organizational morale leads to improved organizational effectiveness and have impacts on developing interpersonal relationship. The trust provides a basis for security and confidence in the intention and actions of supervisors, managers and organizational leaders that result in positive attitude, high performance. Shaban et al., (2017), concurs that the success and effectiveness of any firm depend to a large extent, on how well employees are motivated. Theories of human resource management, as well as theories of motivation, suggest that motivated employees tend to be more creative and productive, and it is wise for any management to use these theories in order to increase productivity and competitiveness (Stephen, 2014). Briggs and Richardson (1992) examined the internal and external reactions to low morale using a sample of 78 school teachers and administrators enrolled in educational supervision courses, and found that teacher morale was significantly related with individual and organisational performance.

According to Jehanzeb and Muhammad (2017), Modern Organisational Behaviour Theory posits that happy staffs is key to organisational success, and that motivated, committed, and satisfied staff members perform better, which ultimately leads to improvements in organisational performance. Burke and Nelson (1998); Cappelli et al., (1997); Firth et al., (2004); Makawatsakul and Kleiner, (2003) as cited in Linz et al,. (2006), claims that high morale coincides with job satisfaction, high work effort, creativity and initiative, a sense of pride in one’s work, a commitment to one’s organization, and the desire to put the achievement of group (common) goals ahead of personal goals, thereby enhancing an organization’s performance. This view is also held by Kanimozhi and Vinothkumar (2018), who contents that high morale leads to enthusiasm among the workers for better performance. High Morale is needed a manifestation of the employees strength, dependability pride, confidence and devotion. Some of the advantages of high morale such as: willing cooperation towards objectives of the organization, loyalty to the organization and its leadership, good leadership, sound superior subordinate relations, high degree of employee’s interest in their job and organization, bribe in the organization, reduction in absenteeism and labour turnover, reduction in grievance, reduction in industrial conflict, team building, employee empowerment.

On the contrary, low morale, typically corresponds to high absenteeism, labor turnover, unresolved grievances or strikes, and impedes the achievement of the organization’s desired outcomes. According to Kanimozhi, and Vinothkumar (2018), low morale indicates the presence of mental unrest which not only hampers production but also leads to ill health of the employees as individuals are depressed and discouraged that is, there is a lot of mental tension. However, Renis Likert likewise, explains different combinations of morale and productivity that is, high morale and low productivity; high morale and high productivity; low morale and high productivity; and low morale and low productivity (Likert, 1932). Conversely, Shaban et al., (2017), disputes that there is not always a positive correlation between low morale and low productivity arguing that sometimes high productivity by low morale can be reached through the application of close supervision, time studies, and scientific management can be applied but Rao (2007), expresses doubt on whether this combination of low morale and high productivity and /or performance can last. Buddelmeyer et al. (2013) further state that there is a negative relationship between contingent work and job satisfaction, but note that the magnitude of this relationship is small, and depends on the type of employment.

However, the benefits to organisations are generally perceived to be at the expense of the general well-being of employees (Cooke 2005; Hall 2005; Van Eck 2010; Klerck 2012). Dewhurst et al. (2019), and Gwala (2016), argues that the labour broking employment model poses a number of problems and challenges particularly for the labourers. In a McKinsey Report, Dewhurst et al. (2019), explain that, from their studies, they have found that most of the labour brokers abuse their employees consequently declining their motivation. The McKinsey Global Survey Results of June 2019 show that employee morale has fallen to almost half the original ratings in most companies that contracted labour brokers.

According to Makawatsakul and Kleiner (2013), lower morale tends to negatively affect the productivity and the overall work culture changes to discontent. Researchers like McPherson (2018), (Pollitt, 2018), Ranganayakulu (2015), Linz and Semykina (2012) elaborated that low morale affect the organisation’s ability to perform optimally, as employee morale affects both the performance of employees, as well as the rate of absenteeism while on a secondary level, it has an impact on organisational costs related to staff turnover, as increased training will be required. It is therefore probable that labour broking is a cause of conflict, employment and performance uncertainty and contested exchange in the labour market (Deane, 2015; Kingdon and Knight, 2011; Schoeman and Blaauw, 2016).

Arvind, Lakshmi and Keerthi (2019), thus concludes that employee morale acts as a psychological factor which results in positive behavior of the employees which totally results in overall effective performance, to drive their organizations to next level. Therefore, as highlighted, the literature reviewed in this section suggests that there is an intricate relationship between employee morale and organisational performance in general. However, the nexus between labour broking and employee morale in particular, has not been given much attention.

2.5 Effective methods for improving employee morale

Ranganayakulu (2005), points out that managers ought to identify the needs of employees and satisfy these needs such as employee participation in decision-making. Dewhurst et al. (2009) explain that many studies have shown that for employees with satisfactory salaries, financial reward only provides a short-term boost in morale and energy. However, the passive impact cannot be seen over a more extended period. In a struggling economic situation, it is essential to balance employee performance and financial investment in improving employee morale and engagement. Dewhurst et al. (2009) explain that, during the June 2009 Quarterly Survey of Employees, it was found that stock options, cash bonuses, and an increase in base pay were the most effective monetary reward methods.

In the study conducted by Linz et al. (2006) on the morale of employees in Russia, they also found that monetary rewards have the most significant positive influence on improving morale, but if this is not possible, then managers ought to develop a work environment that is friendly, and will ensure mutual respect. McPherson (2008) states that managers cannot improve morale in their teams, but that a manager can mitigate the causes of low morale. This is contradicted by other literature stating that management training can improve morale (Pollitt, 2007). In contrast, a study conducted by Dewhurst et al. (2009) found that training programmes, along with paid or partially paid leave, are some of the least effective methods of improving morale. Makawatsakul and Kleiner, (2003), is of the view that constant and effective communication is vital to ensuring good morale in an organisation. Employees needed to understand the reason for business decisions, both decisions that will affect them positively, and negatively. Communication should be honest, especially when dealing with aspects that could result in negative feelings among employees, and should be done in a timely fashion. This is also relevant when implementing change. It is vital to communicate throughout the change period, not only the start. Dewhurst et al (2009), explain that engagements between manager and employee are crucial to ensure employee morale is sustained.

Mone and London (2014), note recognition to be one of the most important factors contributing to employee satisfaction, finding that it has a positive impact on retention, engagement, productivity, and profitability. This also increases employee morale and pride, which encourages employees to set their own challenging goals and find innovative ways to achieve them. Makawatsakul and Kleiner (2003) states that progressive companies should implemented consultations throughout the company to assist employees to process the hardships associated with adverse or unpleasant events that have occurred in the organisation. An example of this is assisting remaining employees with feelings they experience after downsizing. The goal of this is to motivate employees in order to boost morale.

Makawatsakul and Kleiner (2003) suggest that fun activities can be arranged outside of the work environment to boost the morale of the organisations. These activities should be designed to test and develop problem-solving abilities. Most importantly, employees need to have fun together so as to build or rebuild the relationships required for effective teamwork and co-operation. Award ceremonies can be used to make employees feel valued. On the other hand, Benn and Martin (2015) echoes the view that empowerment has a positive impact on job satisfaction. This is supported by Ranganayakulu (2005), who explains that a sense of participation increases employee morale. This is achieved by managers that gave employees a chance to participate in decision-making.

Nonetheless, professional and occupational training is essential to ensure that the employees have the required skills to complete their jobs (Covey, 2003). This includes the softer skills that will build the employee’s character, which will, in turn, improve performance. This approach focuses on the factors that are essential for the individual’s intellectual and emotional intelligence, which is done by focusing on the following need for physical, social, emotional, spiritual and mental well-being. While discussing the healthcare industry Covey (2003), avers that spending the budget on developing soft skills constitutes a waste. However, according to Covey (2003), developing soft skills is more laborious than job-related training. He further states that this is the only way for an individual to gain the required knowledge.

Workforce management can be utilised as a method to improve employee morale (Ranganayakulu, 2005). This includes activities such as grievance handling; implementing safety measures; discipline rule; and welfare activities. This method of improving morale was not identified by literature other than Ranganayakulu’s book. As with other difference identified for his study, it can be assumed that he is focused on areas that have achieved less of the employee’s needs than what is the case in the other literature. Ranganayakulu (2005) further argues that employees should be treated as human beings, not as machines. However, despite the various strategies that are available in literature for organisations to exploit and boost employee morale and the ultimate performance, strategies used by labour brokers to improve employee morale remains to be known hence the need for undertaking this particular research study.

2.6. Empirical studies

Manilall (2016), carried out an analysis of the effect of using labour from brokers on operational costs, efficiencies and employee morale. Direct observation and unstructured interviews were used as data collection instruments. It was found that the change had completely demotivated the Mondi waste handling operators. Their morale levels dropped to particularly low levels as they felt disliked, not part of a team and unappreciated for their efforts and past service. The impacts of this low morale were hidden due to the plant being underutilised against its design capacity. They also had a prevailing sense of insecurity and uncertainty regarding their jobs, which made them uneasy. Factors associated with operational costs and efficiency was measured before (2004) and after the initiative (2005) to establish the impact of using labour broker employees on them. It was noted that there was a decrease in the operational costs due to the lower rate of pay of the labour broker employees and them doing overtime. The use of labour broker employees resulted in no significant improvement on the operational efficiencies.

In a related research study, Joubert and Loggenberg (2017), studied the “impact of changes in labour broking on an integrated petroleum and chemical company.” The purpose of their study was to explore the perceptions of employees regarding the changes to section 198 and the potential implications of these changes for the company and its employees. The qualitative exploratory study was conducted with six employees of a large integrated petroleum and chemical company making use of labour brokers, until data saturation was reached. The data were collected by means of individual interviews and telephonic interviews. The results indicated that the changes to section 198 have positive and negative implications for the organisation as well as its employees. The negative implications for the organisation are higher costs, new policies and guidelines, and less employment flexibility. The negative implications for the employees are unemployment, negative attitudes, poor employability, and a situation where the permanent employees have to do all the work.

Shaban, Al-Zubi, Ali and Alqotaish (2017), on the other hand, examined the effect of low morale and motivation on employees’ productivity and competitiveness. The researchers designed a questionnaire and distributed it to selected accounting and management employees working in different Jordanian business environments. Resolution data were analysed using the statistical program Smart PLS (Partial Least Square). The study concluded that low morale and low motivation affect productivity and competitiveness, and it also recommended that management should work on increasing productivity by increasing employees’ satisfaction through re-engineering systems and processes and providing incentives, education and training.

In a research entitled, “The Impact of Employee Morale on Organizational Success,” Mallik, Mallik and Keerthi (2019), sought to establish the relationship between employee morale on organizational achievement. The methodology used for this is study was descriptive in nature and structured questionnaire were distributed to 100 employees. The result from the study revealed that the morale is the psychological factor which results in positive behaviour of the employees and the positive behaviour results effective performance and therefore Mallik, Mallik and Keerthi (2019), recommended that managers and supervisors must put out front the human face of their organization in order to drive their organizations to peak performance.

Loggenberg (2015), explored the perceptions of employees in the HR department of an integrated petroleum and chemical company regarding the changes to labour broking and the potential implications of these changes for an integrated petroleum and chemical company and its employees. The qualitative exploratory study was conducted with six employees of a large integrative petroleum and chemical company making use of labour brokers, until data saturation was reached. The data was collected by means of face to face and telephonic interviews. The results indicated that the changes to section 198 will have some positive and negative implications. The positive implications for an organisation included more productive employees and the ability to identify high-quality employees more easily. The positive implications for the company’s employees are that the lower-income employees will be protected, the new legislation will provide permanent employment and there will be better dispute resolution procedures. The negative implications to the changes to section 198 for the organisation, include for instance higher costs, the drafting of new policies and guidelines and less employment flexibility. Negative implications for the employees include unemployment, negative attitudes towards the organisation, poor employability and a situation where the current and/or permanent employees have to do all the work.

Linz, Good and Huddleston (2016), conducted an exploratory study of “Worker Morale in Russia. Their study developed a robust measure of morale and focused on the factors that influence morale among Russian workers. Survey data were collected from Russian employees at two different points in time, 1995 and 2002, in five Russian cities. Their research findings showed that employee’s expectation of receiving a desired reward contributes to high morale, with expected monetary rewards having a larger influence than expected non-monetary rewards, but praise for a job well done and a feeling of accomplishment also contributed positively to employee morale. The study found a significant correlation between positive attitudes toward work and morale, and a positive correlation between performance assessment and morale. However, demographic characteristics (age and gender) had no discernible influence on morale when controls are included for work experience.

2.7. Conceptual Framework

Labour brokers are variously referred to across the globe as temporary agencies, consultants and temporary contractors. In the United Kingdom (UK), labour brokering refers to practices such as outsourcing, which is mainly used to outsource public sector services for the purpose of improving the efficiency and effectiveness of public bureaucracies (Cooke 2005). Sweden uses labour brokers as human resource consultants within both the public and the private sectors and refers to them as human resource intermediaries (Kock, Wallo, Nilsson and Höglund 2012). In Australia, the labour brokers equate to temporary agencies (Hall 2005), which are similar to temporary employment services in Namibia (Botes 2013; Van Eck 2010). Labour broking (also known as Temporary Employment Services or TES) is a practice in which companies (the end users) employ “casual” workforce through labour brokers, which are agencies that provide these workers for a short period of time (Gwala, 2016). Ncube, (2016), defines it as a practice where a third party conducts or provides workers to a company to render a service or perform work for a reward the same way insurers provide cover for services

On the contrary, morale is defined as a combination of an employee’s feeling of enthusiasm, vigour, enthusiasm, hope and confidence that they will be able to cope with the job in question (Ranganayakulu, 2015). Ranganayakulu (2015) puts it that morale is generally viewed as a feeling and related to esprit de corps, enthusiasm or zeal. Ranganayakulu (2005) further explains that morale is the overall tone, climate, atmosphere or mood that forms the group’s common purpose. It is an expression of the group’s strength, dependability, pride and confidence in, as well as devotion to their work. Morale is a product of faith in the organisation; the attitude that results in action; feelings, hopes and sentiments that affect people’s willingness to cooperate; courage, confidence in the performance of a job; and job satisfaction.

A similar definition is the spirit of a group that ensure the members want the group to succeed (Bowles and Cooper, 2019). Flippo (2016) describes morale as a mental condition or attitude of an individual and group that determines their willingness to cooperate. Bowles and Cooper (2019) meanwhile described morale to be “a state of individual psychological well-being based upon a sense of confidence and usefulness and purpose.” From the numerous definitions for morale discussed, the common thread is “willingness to perform tasks”. Bowles and Cooper (2019) point out that this concept carries much weight. Morale is more than merely wanting the group to succeed, but also refers to a psychological state driving the desire to participate, which necessarily contributes to making endeavours more successful. The figure below presents the Conceptual Framework of the effects of labour broking on employee morale from the perspective of the researcher.

Figure 2.2: The Conceptual Framework developed by the researcher, 2020

For the purpose of this study, there one fundamental perspective to labour broking and employee morale suitable for the analysis in this piece of work. The viewpoint theorizes labour broking as destructive, unhealthy and a negative initiative in relation to employee morale that must be avoided at all cost (Albert, 2011). The researcher considers labour broking as a practice that can affect employee morale negatively or positively. If improperly managed labour broking by bringing about low worker morale through stress, dissatisfaction, absenteeism, conflict, intensification of differences into aggressive position and malice with associated increased hostility and strikes. In the end, the overall organisational production is affected (Akanji, 2015). This implies that the effects of labour broking on employee morale can be bad and have negative consequences in terms of the organisational aims and objectives. However, no single theory can explain the intricate relationship between of variables involved between labour broking, employee morale and organisational performance.

2.7 Chapter Summary

There is also no consensus in the literature about whether morale is a group phenomenon, or an individual experience. Defining this could affect how morale is measured. It was also noted literature does not specify the precise causes and effects of low employee morale that is particularly as result of labour broking. More so, the interconnection between labour broking and employee morale in particular, has not been given much attention. In addition, the strategies used by labour brokers to improve employee morale at Superfert (Pvt) (Ltd), remains to be known. Most of the studies are representative of developed countries hence the findings may be different for a developing country such as Zimbabwe hence the need for undertaking this particular research study. This chapter has reviewed literature on effects of labour broking on employee morale. The chapter also highlighted the conceptual framework of the effects of labour broking on employee morale, and the relationship between employee morale and organisational performance. The following chapter therefore discusses the methodology that was adopted for this research study.

RESEARCH METHODOLOGY

3.0 Introduction

3.1 Research Methodology

Research Methodology is defined by Polit (2004), as the approach taken to tackle a research problem. For the purpose of this study, a mixed method design which consists of both qualitative and quantitative techniques was used. By definition, qualitative research design is a process of systematic inquiry into the meanings which people employ to make sense of their experience and guide their actions (McLeod, 1994. Contrary to qualitative research study, quantitative research paradigm is ‘an inquiry into a social or human problem based on testing a theory composed on variables, measured with variables and analysed with statistical procedures in order to determine whether the predictive generalizations of the theory holds truth’ (Creswell, 1994). According to Tom, Chigunwe and Nkala (2011), mixed method designs are usually used because one method alone will not provide a comprehensive answer to the research question. One advantage of the mixed method design is that it provided strengths that offset the weaknesses of both quantitative and qualitative approaches research (Jick, 1990). The two paradigms were used so that one method can complement the other in this research study thereby establishing a hybrid approach. The findings from one type of study were also be checked against the findings deriving from another to check validity. In this case, the mixed methods were used to enrich the understanding of the effect of labour broking on employee morale.

3.2 Research Design

A case study research design was chosen for this research study. According to Heppner et al (1992), research design is a set of plans and procedures that reduce error and simultaneously help the researcher to obtain empirical evidence (data) about isolated variables of interests. The researcher focused principally at Superfert Private Limited, a fertiliser, seed and grains manufacturing and processing company which operates in Bindura town, Mashonaland Central Province in Zimbabwe as a case study. The design is chosen because ‘it enabled the researcher to make use of several approaches to research’ (Mukono, 2015).

3.3 Target population and sample size

A target population refers to the aggregate of all possible elements for which results are required. The target population were the Superfert Company management, the labour brokers as well as all the employees hired through labour broking. Thus, the research data was based on the total population of 428 employees as indicated in the Superfert 2020 Human Resources Register for brokered labour. For feasibility and practicality purpose, a sample size was drawn from the target population. McDaniel and Gates (1993) defined a sample as a sub set of a population which can fairly imitate the characteristics of the population which it is taken. Best and Khan (2013) stated that for a sample to be considered statistically representative, the acceptable minimum sample size should be 10% of the target population. Therefore, the sample size was calculated as follows:

n = 10/100 x Number of employees hired through labour broking

n = 10/100 x 428 = 42.8 participants

n = 43 participants

3.4 Sampling procedures

A disproportionate stratified random sample of 45 participants was chosen from the selected categories. The study employed purposive sampling technique where respondents were selected according to the drive of the study. By definition, purposive sampling involves the targeting of key informants, in this case the management Superfert and labour brokers, who are responsible for recruiting and supervising employees. On the other hand, stratified random sampling was also used in this study. According to Tom, Chigunwe and Nkala (2011), the statistical sampling method called stratified sampling is used when representatives from each subgroup within the population need to be represented. The major advantage is that each subgroup was represented in the population sample hence responses and research findings were balanced and did not compromise the reliability because of biasness.

Category	Sampling Technique	Population	Sample Size
Management	Purposive	1	1
Labour brokers	Purposive	1	1
Employees	Random sampling	428	43
Total		430	45

Table 3.1: Sample Size and Sampling procedures

3.5 Data collection Instruments

Multiple forms of data collection techniques including questionnaires and interviews were used in order to produce a research that has high levels of reliability and validity.

3.5.1 Questionnaires

Questionnaires with structured and semi structured questions were used in this study. According to Hussey and Hussey (1997:161) as in Birungi (2005), a questionnaire is a list of carefully structured questions, chosen after considerable testing, with the view of eliciting reliable responses from a chosen sample. Open ending question allowed respondents to compose answers rather than choosing between a number of given answers. On the other hand, closed questions required a choice between a number of given answers but did not allow the respondent to qualify and develop their answers. Therefore, the two methods were fused together to reap their respective strengths. Questionnaires were administered to employees who were hired at Superfert Pvt Ltd through labour broking. Questionnaires were mainly used to explore the theoretical causes of low employee morale; how labour broking influence employee morale; the relationship between employee morale and performance as well as methods of labour broking that can be effective in improving employee morale.

3.5.2 Interviews

For the purpose of this study, key informant interviews with a representative of labour brokers and Superfert management was conducted in order to get in depth knowledge on labour broking and employee morale. An interview can be defined as a questionnaire administered by an interviewer who is not allowed to deviate in any way from the questions provided (Haralambos and Holborn, 1991). Interviews provide the researcher an opportunity to collect both verbal and non-verbal cues that relate to research questions and allow the researcher to probe further and deeper into the topic of effect of labour broking on employee morale. Moreover, recording of interviews provide accurate verbal record.

3.6 Validity and Reliability

Reliability is defined as the accuracy of the actual measuring instrument or procedure, validity is concerned with the study’s success at measuring what the researcher set out to measure while validity is the appropriateness, meaningfulness, and usefulness of specific inferences made from the answer (Doodley, 1995: p78). To ensure that the research study is valid and reliable, the researcher used both qualitative and quantitative research methods so that they complement each other’s weaknesses. A case study design was appropriately chosen and used in order to enhance the validity and reliability of results. In addition, the research ethics such as informed consent, upholding human rights, voluntary and participation was observed. Validity and reliability was also ensured by carrying out a pilot study and conducting trial tests that will be run using a mini sample of five respondents. The research instruments were then refined and perfected before they are finally used in the research field.

3.7 Ethical and Legal Considerations

In this research study, fundamental ethical principals were applied. According to Punch (2005), research ethics are moral obligations and principles that researchers should adhere to in carrying out and reporting their studies. Welfel (1998) in Makore-Rukuni (2001), stresses that research ethics are important in that they enable the researcher to develop meaningfully acceptable research protocols that are worth the participants’ time and have a reasonable chance of yielding meaningful findings, protects the rights of participants’ and report results fairly and accurately. In respect of this, the researcher ensured that authorization was obtained from all relevant authorities such as the Ministry of Public Service, Labour and Social Welfare, as well as Superfert management and employees, and sought for written consent from participants before gathering data. The researcher also observed the local customs and will inform all participants on the purpose, benefits and possible risks of their involvement in the research study inorder to ensure voluntary participation. The respondents’ privacy were highly respected while their responses were treated confidentially. The researcher avoided falsification of data in order to maintain the integrity and objectivity of the research study.

3.8 Data Analysis and Presentation

The data collected from questionnaire guides and interview guides was coded, quantified and captured onto a Microsoft Office Excel spread sheet. The data set was then be cleaned to check for errors before being exported to the SPSS for analysis. All qualitative data was analysed using descriptive analysis and statistics. Following data analysis, data was then presented in form of tables and figures as recommended by Leedy and Ormrod (2005). By definition a table is usually an arrangement of words, numbers, signs or combinations of them into a two dimensional matrix for the purpose of exhibiting certain information in compact and comprehensive form while a figure is any kind of graphic illustration such as a graph, pie chart, photograph, drawing, sketch, or other devise to convey an idea in a non- verbal fashion (Tom, Chigunwe and Nkala, 2011). Tables and figures are appropriate in this case because they are clear and easy to understand. Data interpretation was based on inductive and deductive analysis techniques. Discussion of findings were linked to the empirical evidence of literature provided in chapter two.

3.9 Chapter Summary

This chapter looked at the research methodology used in the study, materials and data analysis procedures used. Quantitative and qualitative research paradigms were used, with the use of research instruments such as questionnaire guides and interview guides. Also, the researcher touched on validity and reliability of the research study. Data was processed using Microsoft office excel then analyzed using the SPSS (vision.21) and was presented in the following chapter.

DATA ANALYSIS, PRESENTATION AND DISCUSSION

4.0 Introduction

The purpose of this research is to examine the effects of labour broking on employee morale. The main objective was to examine the effects of labour broking on employee morale and the main question was “what are the effects of labour broking on employee morale at Superfert (Pvt) (Ltd)?” The preceding chapter outlined the research methodology used in this study. Data collection instruments were designed to explore the theoretical causes of low employee morale; how labour broking influence employee morale; the relationship between employee morale and performance as well as methods of labour broking that can be effective in improving employee morale. This chapter presents and analyses the data as was described in chapter three. The interpretation was based on inductive and deductive analysis techniques. Discussion of findings were linked to the empirical evidence of literature provided in chapter two.

4.1 Response Rate

The table below shows the response rate for the respondents who participated in this research study.

Table 4.1 showing the response rate

CATEGORY	INTERVIEWS PLANNED	INTERVIEWS CONDUCTED	(%) RESPONSE RATE
Head hunters Labour Brokers Management	1	1	2%
Superfert Management	1	1	2%
CATEGORY	Questionnaires distributed	Questionnaires returned	(%) Response rate
Employees	43	43	96
TOTAL	45	45	100

(Source: Primary Data, 2020).

As shown on the table, forty-five questionnaires were administered to Head hunters Labour brokers’ employees who work at Superfert (Pvt) Ltd and all were completed and returned. Also, the two key informant interviews that included Head hunters Labour brokers (Pvt) Ltd and Superfert management were administered thereby producing a response rate of 100%. This can be explained by the fact that the research instruments were personally administered by the researcher.

4.2 Demographic Information of the Respondents

The following section presents the demographic information of the respondents in terms of gender, employment status, level of education and number of years in service as some of the factors that determines the nature of responses in terms of the effects of labour broking on employee morale.

4.2.1 Distribution of Respondents by Gender, Age and Level of education

In this research, gender considerations were valued. Age also affects the type of responses obtained from participants as issues like maturity, exposure and experience are important. On the other hand, education level is an important determinant in type and level of employment an individual holds as well as the level of an individual’s understanding of the questions asked in this regard. Education levels can help to reveal the level of the respondents’ understanding of the effects of labour broking on employee morale. The following section presents the demographic information of the respondents in terms of gender, age and level of education.

The table below shows the gender, age and level of education distribution of the employees who participated in the research study on the effects of labour broking on employee morale at Superfert (Pvt) Ltd.

Table 4.2: Distribution of Respondents by Gender, Age and Education level

CHARACTERISTIC VARIABLE	VARIABLE	NUMBER OF RESPONDENTS	PERCENTAGE
GENDER	Males	42	93
	Females	3	7
Total		45	100
AGE	21 -30 years	16	37
	31-40 years	20	47
	41-50 years	7	16
Total		43	100
HIGHEST LEVEL OF EDUCATION ATTAINED	Primary	0	0
	Secondary	35	81
	Tertiary	8	19
Total		43	100

(Source: Primary Data, 2020).

Of the 43 respondents who completed questionnaires in this study, 40 were males while only 3 were females. In key informant interviews that were conducted by the researcher, all the two management representatives were males. Therefore, males totalled 42 and females totalled 3. As presented in the pie chart above, ninety-three percent out of the total of forty- five respondents were males and only seven percent were females. The table also illustrates that 37% of the respondents were aged between 21 to 30 years twenty years and below. The highest percentage of employees (that is, 47% were between 31 and 40 years. On the other hand, 16% of the participants were aged between 41 and 50 years of age. In terms of the level of education attained, respondents in this study showed varied education levels. For female respondents, most (n=35; 81%) of the respondents including all the three female participants reached secondary level education while only a small number (n=8; 19%) reached tertiary level education. From the research findings, there was no significant relationship between demographic characteristics and employee morale. Linz, Good and Huddleston (2016), also conducted an exploratory study of “Worker Morale in Russia, and found that demographic characteristics (age and gender) had no discernible influence on morale.

4.2.2 Respondents’ occupation, experience and Income

The section below presents the participants’ occupation, experience and Income. This was done to determine the association between employees’ job, experience, and their remuneration in order to determine whether their employment status had effects on morale. The responses obtained are presented in the table below:

Table 4.3 Participants’ Occupation, Experience and Remuneration

CHARACTERISTIC VARIABLE	RATING VARIABLES	NO. OF RESPONDENTS	% RESPONDENTS
Occupation	Cleaners	3	7
	Baggers	6	14
	Sewers	2	5
	Loaders	12	28
	General Hand	20	46
Total		43	100
Experience in years	1 year and below	10	23
	2 years	14	33
	3 years	7	16
	4 years	6	14
	5 years	2	5
	More than 5 years	4	9
Total		43	100
Employee remuneration in rated in USD	USD$ 100 & Below	23	53
	USD$100-200	13	30
	USD$200-300	5	12
	USD$300-400	2	5
Total		100	100

(Source: Primary Data, 2020).

Responses obtained showed that 12 employees were loaders, 20 were general hand employees, 6 were baggers, 2 were sewers, 3 were cleaners, and each of the participants was working under one of the departments namely the Blending Section, Warehousing or the Granulation section. All of the employees were engaged on a daily contract basis and there were no permanent employees contracted from Head Hunters labour brokers by Superfert (Pvt) Ltd.

From the findings, 07% were Cleaners, 14 were Baggers, 5% were Sewers, and 28% were Loaders whereas 46% were general hand workers. Of these, 33% were employed for not more than 1 year; 23% had spent 2 years at Headhunters (Pvt), Ltd; 16% had 3 years; while 14% had worked for 4 years. Only 09 percent (that is, n=4), had more than 5 years’ experience for working with Headhunters Labor Brokers at Superfert (Pvt) Ltd. Respondents further revealed the majority, 53% of the respondents earned an income which is below USD$ 100, followed by 30% who earned between USD$100-200 whereas 12% indicated that they earned between USD$200-300. The study also showed that only 5% of the respondents earned a salary which is between USD$300-400.

Commenting on employee remuneration, one employee (R01), stated that,

“The salary is meagre. Our housing and transport allowances are calculated on pro-rata. Moreover, the company pays bonuses selectively and even the money for lunch that we are given is just RTGS$50, is inadequate.”

Another respondent (R07), stated,

“We are not even paid overtime for the extra hours that we commit to finishing targets”

The findings showed that the majority of respondents were paid salaries that are below the Poverty Datum Line in Zimbabwe and some benefits offered by Superfert (Pvt) Ltd to casual workers are not effected by the labour broker. The findings by Ncube (2016), similarly reported that one in every three firms found it difficult to make adequate and timely wage payments for labour services rendered Responses also showed that the majority who earned the least were the least experience at work while those who had the highest income had more experience. This tends to suggest that employee’s employment status and remuneration did not motivate workers, support teamwork or cohesion and hence, it is a cause of low employee morale at Superfert. These findings are in sync with Burke (2002), Schoeman and Blaauw (2016) and Linz and Semykina (2012), who pointed out that low wages result in low employee morale.

4.3. Moral Levels of Employee Morale at Superfert (Pvt) Ltd

4.3.1 Employees’ Relationship with the labour broking company

The researcher sought to establish the relationship between employees and their employer as a way to determine the levels of employee morale. The pie chart below presented the research findings in this regard.

Figure 4.1: Employees’ Relationship with the labour broking company (Source: Primary Data, 2020).

From the data obtained, results indicate that employees’ relationship with the labour broking company was to a larger extend, bad (n=63%). Only 37% indicated that the relationship was good. One employee (R15) expressed that the bad taste between the employer and the employee stemmed from:

“…. the failure of the broker to protect its employees from abuse by the parent company”

These findings are similar to findings by Dewhurst et al. (2019), and Gwala (2016), Cooke (2005); Hall (2005); Van Eck (2010); Klerck 2012), explain that, from their studies, they have established that most of the labour brokers abuse their employees consequently declining their motivation.

4.3.2 The Rating of Employees’ Morale at Superfert (Pvt) Ltd

Figure 4.2: The Rating of Employees’ Morale at Superfert (Pvt) Ltd (Source: Primary Data, 2020).

From the graph above, 8% and 30% of the respondents indicated that employee morale was high and very high respectively. On the other hand, 35% and 12% stated that employee morale was low and very low correspondingly. Henceforth, results tend to suggest that employee morale at Superfert (Pvt) Ltd was low (47%). This is consistent with Dewhurst et al. (2019), who in the McKinsey Global Survey Results of June 2019 found out that employee morale has fallen to almost half the original ratings in most companies that contracted labour brokers.

4.4 Factors that Influence of Labour Broking on Employee Morale

4.4.1 Problems faced by Head Hunters Labour Brokers’ employees at Superfert (Pvt) Ltd

Understanding the nature of problems faced by employees is key to finding solutions in transforming them. The researcher asked the participants to highlight the challenges they faced. According to respondent R19,

“The working conditions are direly poor. We are employed on a daily contract basis hence we cannot plan for the future. In addition, we are not given time for adequate training for the respective duties that we undertake. Even the supervisors are not trained in risk assessment and sometimes compel us to perform risky tasks. To make matters worse, if you makes a mistake at work or commits an offence, there are no hearings or warnings but you are fired instantly.”

On the contrary, Covey, (2003), avers that professional and occupational training is essential to ensure that the employees have the required skills to complete their jobs. Respondent R05 added that,

“Our work is based on ‘mugwazo’ (targets), and not time hence we are always abused by the company in its endeavour to meet the targets. Even when machines breakdown, we are forced to work late into the night after repairs. No transport and food is provided after working late into the night”

In terms of safety of the working environment, R13 respondent said,

“There is no safety officer, maintenance officer and / or electrician dedicated to work especially during night shifts and this puts the risk of the employees on duty at risk.”

The other challenge that was raised by another employee concerns the ‘lack of skilled staff.’ The employee (R07), respondent R07that,

“Employee welfare is not valued. We are not entitled to any leave days. We don’t have fixed working times. There is no medical assistance for sick employees and in the event of the death of a casual worker, funeral assistance of RTGS 15 000 is only given to the relatives but this funeral assistance facility does not also cover the immediate family of the employee.”

These practices differ from recommendations made by Makawatsakul and Kleiner (2003), who suggested that progressive companies should assist employees facing hardships. Ranganayakulu (2005), further adds that these includes activities such as grievance handling; implementing safety measures; discipline rules; and welfare activities. These findings corresponds to the findings by Van Eck (2010); Klerck (2012); Dewhurst et al. (2019) and Gwala (2016), who established out that labour broking employment model poses a number of problems and challenges particularly for the labourers.

4.4.2 Factors influencing employee morale at the workplace.

The following presence respondents’ perception on factors influencing employee morale at the workplace.

Table 4.4: Factors influencing employee morale at the workplace. N=43

CHARACTERISTIC VARIABLE	YES		NO
FACTORS	Frequency	Percentages	Frequency	Percentages
Employment Type	12	28%	31	72%
Job Security	37	86%	06	14%
Remuneration	42	98%	01	02%
Recognition & Appreciation	10	23%	33	67%
Relationship with Brokers	12	28%	31	72%
Working environment	13	30%	30	70%
Organisational Structure	09	22%	34	88%
Motivation	14	33%	29	67%
Recruitment process	12	28%	31	72%

(Source: Primary Data, 2020).

The respondents’ perception on factors influencing employee morale at the workplace in this study were varied. Data obtained indicates that remuneration was the major factor at 98%, followed by job security at 86%. Other factors ranged between 22% and 33%. However, though these figures seem low, they are significantly enough to cause low employee morale while only a small number of females reached tertiary level education. A correlation test was undertaken on all employment type; job security; remuneration; recognition and appreciation; relationship with brokers working environment; organisational structure; and motivation the recruitment process factors and they were found to have a positive significant correlation at the 0.01 level (2-tailed). By the same token, Makawatsakul and Kleiner (2003), Schoeman and Blaauw (2016) and Linz and Semykina (2012), and Buddelmeyer et al. (2013), explains that the three main causes of lower morale concerns low wages, the characteristic of this employment type, as there is a lack of any type of guarantee of permanency as well as inferior working conditions. As established from the data obtained, Ranganayakulu (2005) further states that the structure of an organisation can also have an impact on morale.

4.5 The Relationship between Employee Morale and Organisational Performance

4.5.1 The association between employee morale and employee performance

A t-test was conducted to determine the association between employee morale and employee performance. The paired sample tests and sample correlations are shown on the tables below.

Table 4.5: T-test table showing the association between employee morale and employee performance.

Correlations
				Performance
Employee morale	Pearson Correlation			-.288
	Sig. (2-tailed)			.061
	Sum of Squares and Cross-products			-2.233
	Covariance			-.053
	N			43
	Bootstrap^a	Bias		-.012
		Std. Error		.124
		95% Confidence Interval	Lower	-.519
			Upper	-.009
Employee Performance	Pearson Correlation			1
	Sig. (2-tailed)
	Sum of Squares and Cross-products			5.860
	Covariance			.140
	N			43
	Bootstrap^a	Bias		0
		Std. Error		0
		95% Confidence Interval	Lower	1
			Upper	1

(Source: SPSS Statistical Data Analysis, 2020).

As presented on the table above, test was 19.823, and the correlation between employee morale and employee performance was positive (that is -.568), at 95% confidence interval. The inference from these findings was that there was a significant positive association between employee morale and employee performance. Thus, all employee morale is very necessary for organisational productivity and performance. These findings are consistent to the findings by Kanimozhi, and Vinothkumar (2018), who argues that morale has a directly effect on productivity. According to Kanimozhi, and Vinothkumar (2018), high morale leads to high productivity whilst low morale leads to low productivity.

4.5.2 The level of employee morale versus employee performance and organisational productivity at Superfert (Pvt) Ltd

The bar graph below shows the level of employee morale versus employee performance and organisational productivity at Superfert (Pvt) Ltd.

Figure 4.3: The level of employee morale versus employee performance at Superfert (Pvt) Ltd (Source: Primary Data, 2020).

The information obtained from the questionnaires was used to construct the bar graph above. The graph shows that 10% of the employees interviewed reported very low morale, 30% reported low morale while 70% and 80% reported high and very high morale respectively. However, organisational performance was always rated high (that is, 40%, 65%, 84% and 88% percent of the respondents), even though the morale was relatively lower. This low morale -high production and performance trend at Superfert (Pvt) Ltd was found to be associated with the targets and aggressive production approach that the company used. For instance, one respondent (R13) indicated that,

“The company is production oriented and is expected to produce a total of 100 000 metric tonnes of fertilisers a week hence we expect all employees to work hard to meet our daily targets.”

These findings are in agreement with Shaban et al., (2017) and Buddelmeyer et al. (2013), who disputes that there is not always a positive correlation between low morale and low productivity arguing that sometimes high productivity by low morale can be reached through the application of close supervision, time studies, and scientific management. On the contrary, Kanimozhi, and Vinothkumar (2018), Makawatsakul and Kleiner (2003) and Buddelmeyer et al. (2013), collectively agues that morale has a directly effect on productivity.

4.5.3 The effects of low employee morale on organisational productivity and performance

The following are perceived relationship between the effects of low and performance

Table 4.6: The effects of low employee morale on organisational productivity and performance

CHARACTERISTIC VARIABLE	YES	NO
Effects of low employee morale	PERCENTAGE	PERCENTAGE
Stress, Headaches	67%	33%
Employee absenteeism	72%	28%
Misunderstandings between employees, their colleagues and employers	86%	14%
High employee turnover	72%	28%
High organisational spending on employee recruitment	86%	14%
Low productivity	98%	02%

(Source: Primary Data, 2020).

The table above shows that respondents to a great extend agree that stress, headaches employee absenteeism; misunderstandings; high employee turnover; high organisational spending on employee recruitment and low productivity are all consequences of low employee morale on organisational productivity and performance. Of these, low productivity is the greatest effect of low employee morale (98%), followed by high organisational spending on employee recruitment (86%), misunderstandings (86%), high employee absenteeism and turnover (72%), respectively as well as sicknesses such as stress and headaches inn the descending order. In the same way, Abbot (2003), Osama Samih Shaban (2017), examined the effect of low morale and motivation on employee’s productivity and competitiveness. Their results revealed low motivation, low productivity and loss of competitiveness and sometimes, further undesired symptoms such as absenteeism and sabotage as outcomes of low morale.

Similarly, Burke and Nelson (1998); Cappelli et al., (1997); Firth et al., (2004); Makawatsakul and Kleiner, (2003) as cited in Linz et al, (2006), claims that high morale coincides with job satisfaction, high work effort, creativity and initiative, a sense of pride in one’s work, a commitment to one’s organization, and the desire to put the achievement of group (common) goals ahead of personal goals, thereby enhancing an organization’s performance. On the contrary, low morale, typically corresponds to high absenteeism, labor turnover, unresolved grievances or strikes, and impedes the achievement of the organization’s desired outcomes (Kanimozhi, and Vinothkumar, 2018). Deane (2015); Kingdon and Knight (2011); and Schoeman and Blaauw (2016), adds that it is also probable that labour broking is a cause of conflict, employment and performance uncertainty and contested exchange in the labour market.

4.5.4 Hypothesis test on the effects of labour broking on staff morale

A hypothesis test was carried out to determine the effects of labour broking on staff morale and the results are presented below:

Hypothesis Test Summary
Null Hypothesis	Test	Sig.	Decision
The distributions of different values across labour broking and employee morale are equally likely	Related – Samples Mcnemar Test	.000	Reject the null hypothesis
Asymptomatic significances are displayed. The significance level is .005.

Results obtained showed that the hypothesis test rejected the null hypothesis which stated that labour broking has negative effects on staff morale. Therefore, results upheld the view that labour broking has positive effects on staff morale. On the contrary, Van Eck (2010); Klerck (2012); Dewhurst et al. (2019) and Gwala (2016), found out that labour broking employee morale has fallen to almost half the original ratings in most companies that contracted labour brokers.

4.6 Labour Broking Strategies for Improving Employee Morale

One of the objectives of this research was to explore the steps taken improve employee morale so as to identify the gaps that causes the perpetuation of the same problem in order to prescribe more appropriate solutions. The following section discusses research findings in terms of the steps taken to improve employee morale at Superfert Fertilisers (Pvt) Ltd.

4.6.1 Communication between Employees and Management

In order to assess the impact of labour broking on employee morale, the respondents were asked to rate the effectiveness of the communication between employees and their management. The figure below shows’ the respondents views on the nature of organisational communication.

Fig 4.4: Communication between employees and supervisors Management. (Source: Primary Data, 2020).

As shown above, 22% and 44% of the participants rated communication between employees and management as very effective and effective in conflict transformation respectively. On the other hand, those who viewed communication between employees and management as less effective constituted 36%. Only 8% of the employees were not sure of the effectiveness of communication between employees and management. These findings were equated with the comments given a key informant from the Head hunters Labour Brokers indicated that,

“… The company has an open door policy which encourages employees to come out openly and tender in their contributions as to how best the company may improve its services for the benefit of the customers, the firm and its employees.”

However, Chungsup et al (2012), Zeynep and Huckman (2008) and Shaban et al (2017), in their related studies, found out that there was poor communication between employees and managers results in low morale which in turn led to employee distrust, disrespect, and reduction of workforce motivation. Makawatsakul and Kleiner, (2003), is of the view that constant and effective communication is vital to ensuring good morale in an organisation.

4.6.2 Staff development programmes, refresher courses or conferences held by the labour brokers

The researcher asked the respondents if they ever received any form of training, or attended any staff development programmes, refresher courses or conferences organised by the labour broker and it was found that the employer has never held any staff development programmes, refresher courses or conferences. One respondent stated said;

“We received training to operate forklifts but the company did not give us certificates to use when we leave so we cannot apply for the jobs anywhere else.”

Rather, it was found that Superfert Pvt Ltd, the company hiring labour from Head hunters Labour Brokers, was the one which trained the hired employees to use its equipment and machinery. However, this was contrary to the Head hunters Labour Brokers representative who said;

“Yes, our company has an excellent employee and customer support service. We conduct employee orientation to all our workers, and organises basic training of its workers in conjunction with the customers who would have hired our employees.”

Nonetheless, results from the majority of respondents indicated that employee orientation and skills training given was not enough. It emerged that the labour brokers never held any staff development programmes, refresher courses or conferences in particular and hence some employees largely remained unskilled. This can therefore be extrapolated to infer that lack of employee training has a strong negative influence on employee morale. Nevertheless, professional and occupational training was found to be essential to ensure that the employees have the required skills to complete their jobs (Covey, 2003).

4.6.3 Labour brokers’ handling of the challenges faced by employees’ when doing their duties at work

The following table presents respondents’ perceptions on labour brokers’ handling of the challenges faced by employees’ when doing their duties at work.

Table 4.7: Labour brokers’ handling of the challenges faced by employees

CHARACTERISTICVARIABLE	SATISFACTORY		UNSATISFACTORY
Challenges faced	Frequency	Percentages	Frequency	Percentages
Sickness at workplace eg stress	4	9%	39	91%
Misunderstandings	28	65%	15	35%
Injuries	24	56%	19	44%
Salary complains	00	00%	43	100%

(Source: Primary Data, 2020).

As shown above, 91%, 35%, 44% and 100% of the participants showed that labour brokers’ handling of workers illness at workplace, misunderstandings, injuries and salary complains, was unsatisfactory, respectively. These findings were equated with the comments given by a parent company’s representative who indicated that:

“We hire labour from the labour broker and therefore, it becomes our responsibility to deal with the challenges that these employees face at work on a daily basis.”

These perceptions tends to point to the fact that labour brokers are not doing enough to attend to their employees’ challenges. As such, this may impact negatively on workers’ morale. Similarly, Dewhurst et al. (2019) and Gwala (2016), found out that labour broking employment model poses a number of problems and challenges particularly for the employees.

4.7 Discussion of Findings

The purpose of this research is to examine the effects of labour broking on employee morale.

The response rate was 100%.

4.7.1 Demographic characteristics

In terms of gender, males totalled 93% (n=45), and females totalled 7% (n=3). 37% of the respondents were aged between 21 to 30 years twenty years and below. The highest percentage of employees that is, 47% were between 31 and 40 years. On the other hand, 16% of the participants were aged between 41 and 50 years of age. In terms of the level of education attained, respondents in this study showed varied education levels. For female respondents, most (n=35; 81%) of the respondents including all the three female participants reached secondary level education while only a small number (n=8; 19%) reached tertiary level education. From the research findings, there was no significant relationship between demographic characteristics and employee morale. Linz, Good and Huddleston (2016), also conducted an exploratory study of “Worker Morale in Russia, and found that demographic characteristics (age and gender) had no discernible influence on morale.

Responses obtained showed that 07% were Cleaners, 14 were Baggers, 5% were Sewers, and 28% were Loaders whereas 46% were general hand workers. Of these, 33% were employed for not more than 1 year; 23% had spent 2 years at Headhunters (Pvt), Ltd; 16% had 3 years; while 14% had worked for 4 years. Only 09 percent (that is, n=4), had more than 5 years’ experience for working with Headhunters Labor Brokers at Superfert (Pvt) Ltd. Respondents further revealed the majority, 53% of the respondents earned an income which is below USD$ 100, followed by 30% who earned between USD$100-200 whereas 12% indicated that they earned between USD$200-300. The study also showed that only 5% of the respondents earned a salary which is between USD$300-400. However, the salary was considered as meagre and inadequate. Moreso, employees were not paid overtime for the extra hours they committed to finishing targets. The findings showed that the majority of respondents were paid salaries that are below the Poverty Datum Line in Zimbabwe and some benefits offered by Superfert (Pvt) Ltd to casual workers are not effected by the labour broker.

The findings by Ncube (2016), similarly reported that one in every three firms found it difficult to make adequate and timely wage payments for labour services rendered Responses also showed that the majority who earned the least were the least experience at work while those who had the highest income had more experience. This tends to suggest that employee’s employment status and remuneration did not motivate workers, support teamwork or cohesion and hence, it is a cause of low employee morale at Superfert. These findings are in sync with Burke (2002), Schoeman and Blaauw (2016) and Linz and Semykina (2012), who pointed out that low wages result in low employee morale.

4.7.2 The moral levels of employee morale at Superfert (Pvt) (Ltd).

From the data obtained, results indicate that employees’ relationship with the labour broking company was to a larger extend, bad (n=63%). The bad taste between the employer and the employee stemmed from the failure of the broker to protect its employees from abuse by the parent company. These findings are similar to findings by Dewhurst et al. (2019), and Gwala (2016), Cooke (2005); Hall (2005); Van Eck (2010); Klerck 2012), who, from their studies, established that most of the labour brokers abuse their employees consequently declining their motivation.

Employees’ Morale at Superfert (Pvt) Ltd was high and very high that is, 8% and 30% respectively. On the other hand, 35% and 12% stated that employee morale was low and very low correspondingly. Henceforth, results tend to suggest that employee morale at Superfert (Pvt) Ltd was low (47%). This is consistent with Dewhurst et al. (2019), who in the McKinsey Global Survey Results of June 2019 found out that employee morale has fallen to almost half the original ratings in most companies that contracted labour brokers.

In terms of the problems faced by employees, respondents expressed that the working conditions are direly poor as they were employed on a daily contract basis. In addition, they were not given time for adequate training for the respective duties that we undertake. Even the supervisors were not trained in risk assessment and sometimes compelled employees to perform risky tasks. To make matters worse, if an employee makes a mistake at work or commits an offence, there was no provision for hearings or warnings other than to be instantly fired.

Other challenges highlighted by the respondents include respondent extended but unpaid working hours, lack of provision for transport and food for employees working extra hours particularly late into the night. In terms of safety of the working environment, respondents showed that there were no safety officers, maintenance officers and / or electrician dedicated to work especially during night shifts and this puts the risk of the employees on duty at risk. The other challenge that was raised by another employee concerns the ‘lack of skilled staff, organisational disregard of employee welfare including not leave days, lack of medical assistance for sick employees.

These practices differ from recommendations made by Makawatsakul and Kleiner (2003), who suggested that progressive companies should assist employees facing hardships. Ranganayakulu (2005), further adds that these includes activities such as grievance handling; implementing safety measures; discipline rules; and welfare activities. Covey, (2003), avers that professional and occupational training is essential to ensure that the employees have the required skills to complete their jobs These findings corresponds to the findings by Van Eck (2010); Klerck (2012); Dewhurst et al. (2019) and Gwala (2016), who established out that labour broking employment model poses a number of problems and challenges particularly for the labourers.

4.7.3 Factors influencing employee morale

The respondents’ perception on factors influencing employee morale at the workplace in this study were varied. Data obtained indicates that remuneration was the major factor at 98%, followed by job security at 86%. Other factors ranged between 22% and 33%. However, though these figures seem low, they are significantly enough to cause low employee morale. A correlation test was undertaken on all employment type; job security; remuneration; recognition and appreciation; relationship with brokers working environment; organisational structure; motivation and the recruitment process factors and they were found to have a positive significant correlation at the 0.01 level (2-tailed). By the same token, Makawatsakul and Kleiner (2003), Schoeman and Blaauw (2016) and Linz and Semykina (2012), and Buddelmeyer et al. (2013), explains that the three main causes of lower morale concerns low wages, the characteristic of this employment type, as there is a lack of any type of guarantee of permanency as well as inferior working conditions. As established from the data obtained, Ranganayakulu (2005) further states that the structure of an organisation can also have an impact on morale.

A t-test was conducted to determine the association between employee morale and employee performance and the correlation between employee morale and employee performance was found to be positive (that is -.568), at 95% confidence interval. The inference from these findings was that there was no positive association between employee morale and employee performance. Thus, employee morale is very necessary for organisational productivity and performance. These findings are consistent to the findings by Kanimozhi, and Vinothkumar (2018), who argues that morale has a directly effect on productivity. According to Kanimozhi, and Vinothkumar (2018), high morale leads to high productivity whilst low morale leads to low productivity.

Organisational performance was always rated high (that is, 40%, 65%, 84% and 88% percent of the respondents), even though the morale was relatively lower. This low morale -high production and performance trend at Superfert (Pvt) Ltd was found to be associated with the targets and aggressive production approach that the company used. These findings are in agreement with Shaban et al., (2017) and Buddelmeyer et al. (2013), who disputes that there is not always a positive correlation between low morale and low productivity arguing that sometimes high productivity by low morale can be reached through the application of close supervision, time studies, and scientific management. On the contrary, Kanimozhi, and Vinothkumar (2018), Makawatsakul and Kleiner (2003) and Buddelmeyer et al. (2013), collectively argues that morale has a directly effect on productivity.

4.7.4 The effects of low employee morale

In terms of the effects of low employee morale on organisational productivity and performance, respondents to a greater extent, agreed that stress, headaches employee absenteeism; misunderstandings; high employee turnover; high organisational spending on employee recruitment and low productivity are all consequences of low employee morale on organisational productivity and performance. Of these, low productivity was the greatest effect of low employee morale (98%), followed by high organisational spending on employee recruitment (86%), misunderstandings (86%), high employee absenteeism and turnover (72%), respectively as well as sicknesses such as stress and headaches inn the descending order. In the same way, Abbot (2003), Osama Samih Shaban (2017), examined the effect of low morale and motivation on employee’s productivity and competitiveness. Their results revealed low motivation, low productivity and loss of competitiveness and sometimes, further undesired symptoms such as absenteeism and sabotage as outcomes of low morale.

Communication between employees and management was very effective and effective in conflict transformation. On the other hand, those who viewed communication between employees and management as less effective constituted 36%. Only 8% of the employees were not sure of the effectiveness of communication between employees and management. These findings were equated with the comments given a key informant from the Head hunters Labour Brokers indicated that the company has an open door policy which encourages employees to come out openly and tender in their contributions as to how best the company may improve its services for the benefit of the customers, the firm and its employees. However, Chungsup et al (2012), Zeynep and Huckman (2008) and Shaban et al (2017), in their related studies, found out that there was poor communication between employees and managers results in low morale which in turn led to employee distrust, disrespect, and reduction of workforce motivation. Makawatsakul and Kleiner, (2003), is of the view that constant and effective communication is vital to ensuring good morale in an organisation.

4.7.5 Methods for improving employee morale at Superfert (Pvt) (Ltd)

It was also found that the labour broker has never held any staff development programmes, refresher courses or conferences. Rather, it was found that Superfert Pvt Ltd, the company hiring labour from Head hunters Labour Brokers, was the one which trained the hired employees to use its equipment and machinery. However, this was contrary to the Head hunters Labour Brokers representative indicated that the labour broker conducts employee orientation to all our workers, and organises basic training of its workers in conjunction with the customers who would have hired our employees. Nonetheless, results from the majority of respondents indicated that employee orientation and skills training given was not enough. It emerged that the labour brokers never held any staff development programmes, refresher courses or conferences in particular and hence some employees largely remained unskilled. Yet, professional and occupational training was found to be essential to ensure that the employees have the required skills to complete their jobs (Covey, 2003). This can therefore be extrapolated to infer that lack of employee training has a strong negative influence on employee morale.

Research findings also showed that labour brokers’ handling of workers illness at workplace, misunderstandings, injuries and salary complains, was unsatisfactory, respectively. a parent company’s representative similarly confirmed that the labour broker had no responsibility to deal with the challenges faced by employees at work on a daily basis hence it can be concluded that labour brokers are not doing enough to attend to their employees’ challenges. As such, this may impact negatively on workers’ morale. Similarly, Dewhurst et al. (2019) and Gwala (2016), found out that the labour broking employment model poses a number of problems and challenges particularly for the employees.

A hypothesis test was carried out to determine the effects of labour broking on staff morale and the results showed that the hypothesis test rejected the null hypothesis which stated that labour broking has negative effects on staff morale. Hence, results supported the view that labour broking has positive effects on staff morale. On the contrary, Van Eck (2010); Klerck (2012); Dewhurst et al. (2019) and Gwala (2016), found out that labour broking employee morale has fallen to almost half the original ratings in most companies that contracted labour brokers.

4.8 Chapter Summary

In summary, the researcher presented, analysed and discussed data using tables and figures such as pie charts and bar graphs to answer the research objectives. All participants responded positively and the response rate was 100%. Participants’ responses were corded from R01 to R045 and conclusions were drawn particularly on the effects of labour broking on employee morale. The chapter also linked the research findings with related literature confirming and indicating some gaps on the subject. The next chapter presents the research summary, conclusions and recommendations.

RESEARCH SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.0 Introduction

The previous chapter focused on analysis, presentation and discussion of research findings of the effects of labour broking on employee morale. In this chapter, the researcher reviews the main research findings and pulls major conclusions that can be drawn from them. The researcher also provides recommendations that are aimed at boosting employee morale.

5.1 Research Summary

The critical goal of this research study was to examine the effects of labour broking on employee morale at Superfert (Pvt) Ltd. The objectives included in the study included the assessment of the moral levels of employee morale; the examination the factors that influence labour broking on employee morale; determination of the relationship between employee morale and performance as well as the evaluation of the labour broking strategy at Superfert (Pvt) (Ltd). The research questions were: “What are the theoretical causes of low employee morale at Superfert (Pvt) (Ltd)?; “How does labour broking influence employee morale at Superfert (Pvt) (Ltd)?”; “What is the relationship between employee morale and performance at Superfert (Pvt) (Ltd)?” and, “What methods of labour broking will be most effective in improving employee morale at Superfert (Pvt) (Ltd)?” A case study research design and quantitative and qualitative research methods were used and the research findings were triangulated as one method alone could not provide a comprehensive answer. A sample of 43 respondents (including casual employees hired from Headhunters Labour Brokers by Superfert (Pvt) Ltd and 2 key informants including Headhunters Labour Brokers and Superfert Fertilisers (Pvt) Ltd management representatives were selected. A thematic approach was used to determine the effects of labour broking on employee morale. Questionnaires and interviews were administered to 43 respondents and the 2 key informants respectively, and data was analysed using the SSPS software. Following data analysis, the data was then presented using tables and figures. The main research findings and major conclusions were drawn from them.

5.2 Major Findings

5.2.1 The moral levels of employee morale at Superfert (Pvt) (Ltd

Employee morale at Superfert (Pvt) Ltd was relatively low (47%).

5.2.2 The effects of labour broking on employee morale at Superfert (Pvt) (Ltd)

The factors influencing employee morale at Superfert (Pvt) Ltd included employment type; job security; remuneration; recognition and appreciation; relationship with brokers working environment; organisational structure; motivation and the recruitment process.

5.2.3 The relationship between employee morale and performance at Superfert

There was no positive relationship between employee morale and employee performance. Organisational productivity and performance was found to be high despite the persistent lower levels of employee morale at Superfert Fertilisers (Pvt) Ltd. This low morale -high production and performance trend at Superfert (Pvt) Ltd was found to be associated with the targets and aggressive production approach that the company used.

5.2.4 Methods for improving employee morale at Superfert (Pvt) (Ltd)

With regard to measures to address employee morale, research findings showed that labour brokers’ handling challenges faced by employees at work in terms of illness at workplace, misunderstandings, injuries and salary complains was unsatisfactory. Communication between employees and management was also reported to be poor and hence less effective. It was also found that the labour broker has never held any staff development programmes, refresher courses or conferences.

These findings are in line with findings from previous studies that were carried by Schoeman and Blaauw (2016); Linz and Semykina (2012); Buddelmeyer et al. (2013); Ranganayakulu (2005); Abbot (2003); Osama Samih Shaban (2017); Burke and Nelson (1998); Cappelli et al., (1997); Firth et al., (2004); Makawatsakul and Kleiner (2003); Dewhurst et al. (2019); Gwala (2016); Kanimozhi, and Vinothkumar (2018); Shaban et al., (2017) and Buddelmeyer et al. (2013), among others.

5.3 Conclusion

From the findings of this research, the researcher concludes that:

5.3.1 The moral levels of employee morale at Superfert (Pvt) (Ltd

Any meaningful solutions to the problem of organisational productivity and performance must appropriately address the problem of low employee morale.

5.3.2 The effects of labour broking on employee morale at Superfert (Pvt) (Ltd)

The factors influencing employee morale at Superfert (Pvt) Ltd were found to be included remuneration, job security. Consequently, the company was reported to be affected by employee morale related problems such stress, headaches employee absenteeism; misunderstandings; high employee turnover; high organisational spending on employee recruitment and low productivity. It is therefore indisputable to conclude that these factors are a major threat to employee morale and has an impact on organisational operations, productivity and performance.

5.3.3 The relationship between employee morale and performance at Superfert

Research findings showed that there was no positive association between employee morale and employee performance. Therefore, it can be concluded that morale does not always have a direct effect on organisational productivity. Sometimes high productivity by low morale employees can be reached through the application of close supervision, time studies, and scientific management.

5.3.4 Methods for improving employee morale at Superfert (Pvt) (Ltd)

With regard to measures to address employee morale, it was concluded that labour brokers’ handling challenges faced by employees was unsatisfactory; communication between employees and management was poor and ineffective staff training and development programmes, refresher courses or conferences are not in being done. This tends to point to the fact that the measures employed to deal with the challenge of employee morale at Superfert (Pvt) Ltd are not entirely effective.

5.4 Recommendations

In designing programs and policies to address the challenges of effects of labour broking on employee morale, the researcher therefore recommends the following:

5.4.1 The moral levels of employee morale at Superfert (Pvt) (Ltd

First, in a struggling economic situation such as in Zimbabwe, it is essential to balance employee performance and financial investment in improving employee morale and engagement labour brokers should identify the needs of employees such as effective monetary rewards and employee participation in decision-making and satisfy these needs.

5.4.2 The effects of labour broking on employee morale at Superfert (Pvt) (Ltd)

Labour brokers should craft a clear communication framework or policy that minimize disruption and adverse effects on employee morale for instance, by formulating and articulating appropriate communication channels for employees. Communication should be honest, especially when dealing with aspects that could result in negative feelings among employees, and should be done in a timely fashion.

5.4.3 The relationship between employee morale and performance at Superfert

Labour brokers should also conduct professional and occupational training to ensure that the employees have the required skills to complete their jobs. Labour brokers should also offer its employees permanent contracts that enables employees to plan for the future and for the continuity of organisational operations. Employees should further be afforded the right to take leave from their job for sickness, to attend to funerals, other official duties and further their professional development.

5.4.4 Methods for improving employee morale at Superfert (Pvt) (Ltd)

Thirdly, there is need for government, and its line ministries such as Labour and Social Welfare in Zimbabwe, and other stakeholders to craft the code of conduct specifically for labour brokers and increase focus on tracking their conduct to protect employees from abuse.

5.4.5 Stakeholder Recommendations Implementation Matrix

Stakeholder	Action/S	How	When
Labour brokers	-should identify the needs of employees	By ensuring employee participation in decision-making	At the commencement of the contract
	-craft a clear communication framework	By formulating and articulating appropriate communication channels	At the commencement of the contract
	-conduct professional and occupational training	By conducting professional development seminars / workshops	Regularly
	-Respect employee rights	By allowing them to take leave from their job for sickness etc	All the time
Host companies	-Motivate the employees	By rewarding hard work and respecting employee rights	Regularly and all times
Government	-Monitor the conduct of labour brokers	By monitoring and evaluating the implementation of labour regulations	All the time

5.6 Contribution to research

The findings of this study provide for the gaps found in previous studies, add to and further support the existing body of literature concerning effects of labour broking on employee morale. These research findings can also help in influencing policies that concerns effects of labour broking on employee morale in the local, regional and or global contexts.

5.7 Area for further research

Further investigations should be done on the effectiveness of labour broking policies in protecting employees so that the statutory gaps that causes employees’ abuse by labour broking companies in Zimbabwe can be established and fixed.

5.8 Conclusion

This chapter concludes the research on the effects of labour broking on staff morale at Superfert (Pvt) (Ltd). The Chapter has discussed research findings of the effects of labour broking on employee morale in terms of the main research findings, major conclusions and recommendations.

ACKNOWLEDGEMENTS

First and foremost I offer my earnest gratitude to the Creator, my Lord and my God for guiding me and protecting me throughout the entire process of my learning up to this degree level. I also dedicate my sincere acknowledgement with gratitude to the critical role played by my supervisor, Dr. R. Rusike for his priceless help and guidance through inspiration and encouragement during all stages of the study. He gave me constant support and motivation with patience to remain focused. Special thanks again goes to my friend, Mr Manyanga T, for the constant support he gave me. I also dedicate my sincere acknowledgments to the Superfert (Pvt) Ltd and Headhunters Labour Brokers, and the sampled employees for their cooperation and assistance rendered during data collection.

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APPENDIX

APPENDIX 1: QUESTIONNAIRE FOR THE BROKERED EMPLOYEES AT SUPERFERT (PVT) LTD., ON THE EFFECTS OF LABOUR BROKING ON EMLOYEE MORALE

I am a Bindura University student pursuing for a Master’s Degree in Business leadership. I am carrying out a research entitled: The effects of labour broking on employee morale at Superfert (Pvt), Ltd. May you kindly assist me by responding to the following questions. Please note that you are not required to write your names on this questionnaire. You are further assured that your responses will be kept confidential and anonymous. This information will be used for academic purposes only. Therefore, there are no negative consequences associated with you participation in this survey.

4.1 DEMOGRAPHIC INFORMATION

4.1.1 Gender: Male [ ] Female [ ]

4.1.2 Age:………………………………………………………………………………………..

4.1.3 Level of education: Primary [ ] Secondary [ ] Tertiary [ ] Other [ ]

4.1.4 Job title:…………………………………………………………………………………..

4.1.5 Section / Department:…………………………………………………………………

4.1.6 Years in service:…………………………………………………………………………

4.2. MORAL LEVELS OF EMPLOYEE MORALE AT SUPERFERT

4.2.1 Are you proud of the labour organisation that recruited you to work for this organisation?

YES [ ] NO [ ]

4.2.2 Do you enjoy working for the organisation you were placed by the labour broker?

YES [ ] NO [ ]

4.2.3 How is your relationship with the labour broking company?

GOOD [ ] BAD [ ]

4.2.4 Do you feel safe to be recruited by a labour broker that placed you in this organisation?

YES [ ] NO [ ]

4.2.5 How is your usual day at work?

EXCITING [ ] BORING [ ]

4.2.6 How would you rate staff employee morale at your organisation?

HIGH [ ] LOW [ ]

4.2.7 What is your opinion about the benefits of being employed through labour broking? …………………………………………………………………..

……………………………………………………………………..…………………………………………………………………………

4.3 FACTORS THAT INFLUENCE OF LABOUR BROKING ON EMPLOYEE MORALE

The following factors influence employee morale at the workplace, please do tick in the box that suits your opinion about them.

4.3.1 FACTORS	YES	NO
Employment Type
Job Security
Poor Remuneration
Lack of Recognition
Lack of Appreciation
Relationship with Brokers
Organisational Structure
Lack of Motivation
Recruitment process with the Brokers

4.3.2 What are the issues that affects your motivation or eagerness to work at your workplace?

…………………………………………………………………………………………………………………………………………………

4.3.3 How are the factors linked to labour brokers that employed you?…………………………………………………………………………………………………………

…………………………………………………………………………………………………………………………………………………

4.4 THE RELATIONSHIP BETWEEN EMPLOYEE MORALE AND ORGANISATIONAL PERFORMANCE

4.4.1 Have you ever failed to do your duty at work because of you mood or morale?

YES [ ] NO [ ].

4.4.2 The following are perceived relationship between the effects of low and performance. Please do tick in the box that suits your opinion about them.

Effects of low employee morale	YES	NO
Sickness at workplace eg stress, headaches
Misunderstandings between employees, their colleagues and employers
Employee absenteeism
High employee turnover
High organisational spending on employee recruitment
Low productivity

4.4.3 How do rate the level of employee morale and organisational productivity at your workplace?

Variable	High	low
employee morale
organisational productivity and performance

4.5 LABOUR BROKING STRATEGY

4.5.1 How does your manager talk to you about your progress at work? …………………………………………………………………………………………………………………………..

…………………………………………………………………………..…………………………………………………………

4.5.2 How does management handle employee stress? ………………………………………………………

………………………………………………………………………………………………………………………………………

4.5.3 How satisfactory is the nature of Communication between you and your supervisors?……………………………………………………………………………………

……………………………………………………………………………………………………………………………………

4.3.4 Are you encouraged to make recommendations to management on areas that you feel needs improvement? YES [ ] NO [ ]

4.3.5 How does the management take note of employees’ recommendations?…………………………………………………………………………………

……………………………………………………………………………………………………………………………………………………………………………………………………

4.3.6 How does your supervisor deal with the challenges you face when doing your duties at work? ………………………………………………………………………………………

…………………………………………………………………………………………………………………………………

4.3.7 Have you ever attended any staff development programmes, refresher courses or conferences held by the labour brokers?…………………………………………………………………………..

………………………………………………………………………………………………………………………………………

4.3.8 What methods of morale improvement strategies that you think will be most effective for improving organisational performance? ………………………………………………………………………

………………………………………………………………………………………………………………………………………

THANK YOU

APPENDIX 2: INTERVIEW GUIDE FOR LABOUR BROKERS AND SUPERFERT MANAGEMENT ON THE EFFECTS OF LABOUR BROKING ON EMLOYEE MORALE.

How do you describe your employees’ morale at work? YES / NO. Elaborate.
How does your employee’s morale impacted on the organisational productivity and performance?
How do you talk to your employees about their progress in relation to organisational performance?
How do you handle employee stress?
How do you Communication with your employees
Are you encouraged to make recommendations to management? YES / NO. Elaborate.
How do you deal with the challenges faced by your employees when doing their duties at work?
Have you ever conducted or arranged any staff development programmes, refresher courses or conferences for your employees? YES / NO. Elaborate.
What methods of morale improvement strategies that you think will be most effective for improving organisational performance?

APPENDIX 3: CONSENT FORM

Kindly note that your participation is voluntary and should you feel not to participate, you are free not to do so or to withdraw you participation at any time. Kindly append your signature on the consent form to acknowledge your participation.

Date	Participant number	Signature

APPENDIX 4: STUDDDENT INDRODUCTORY LETTER SEEKING PERMISSION TO CARRY OUT RESEARCH

APPENDIX 5: LETTER SEEKING PERMISSION TO CARRY OUT RESEARCH

House number 7667

Chiwaridzo

Bindura

5 October 2020

The Director

Superfert Private Limited

637 Chimurenga Road

Harare

Dear Sir

RE: REQUEST TO CARRY OUT A RESEARCH ON THE EFFECTS OF LABOUR BROKING ON EMLOYEE MORALE AT SUPERFERT PRIVATE LIMITED.

I am studying my Diploma programme in the Faculty of Commerce and Law with Bindura University of Science Education.

In respect of the above, I humbly request for your permission to conduct a research on the effects of labour broking on employee morale at your company. All information provided will be treated strictly as confidential and purely for academic purpose.

Looking forward to your favorable response.

Yours sincerely

——————————————————-

Mtambo Shadreck [Student Pin Number – B1438746]

APPENDIX 6: LETTER GRANTING PERMISSION TO CARRY OUT RESEARCH

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Effects of Labour Broking on Employee Morale – A Case Study of Fert, Seeds & Grains (Fsg) Superfert Pvt Ltd, Bindura, Mashonaland Central, Zimbabwe.

ABSTRACT

THE PROBLEM AND ITS SETTING

LITERATURE REVIEW

RESEARCH METHODOLOGY

DATA ANALYSIS, PRESENTATION AND DISCUSSION

RESEARCH SUMMARY, CONCLUSION AND RECOMMENDATIONS

ACKNOWLEDGEMENTS

REFERENCES

APPENDIX

Article Statistics

Copyright © 2024 RSIS International

About RSIS International

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Conference

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About RSIS International

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Effects of Labour Broking on Employee Morale – A Case Study of Fert, Seeds & Grains (Fsg) Superfert Pvt Ltd, Bindura, Mashonaland Central, Zimbabwe.

ABSTRACT

THE PROBLEM AND ITS SETTING

LITERATURE REVIEW

RESEARCH METHODOLOGY

DATA ANALYSIS, PRESENTATION AND DISCUSSION

RESEARCH SUMMARY, CONCLUSION AND RECOMMENDATIONS

ACKNOWLEDGEMENTS

REFERENCES

APPENDIX

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