Assessing the Influential Act of Compensation and Leadership on Stressful Jobs: also Devising Leadership and Compensation as Mediators

Abstract The provision of supportive leadership and equitable compensation is widely regarded as essential for optimizing employee productivity. This research examines the motivational factors that lead to maintaining workers performance in a stressful working environment by achieving employee satisfaction levels. This research uses the path-goal theory that describes a positive supervisor’s qualities as crucial to deal with workers. Data were collected through 400 questionnaires distributed to middle-level managers and their subordinates in private companies in Pakistan. The PLS-SEM technique was employed to execute comprehensive results that show a stressful environment that directly hits employee performance; the results are sufficient and have proven the relationships between variables. The current body of literature provides limited insight into these connections, resulting in a void that this investigation has filled. The findings of the study can be utilized to enhance working conditions for improved employee performance, thereby resulting in increased productivity within an organization.