Research in the International Journal of Economics and Business Research has looked at the relationship between employee empowerment and job satisfaction, with a particular focus on the banking sector in Greece. As digital technologies reshape the modern workplace, are traditional concepts of empowerment being put to the test, the study asks. George Papageorgiou, Kyriakos Christofi, Aikaterini Gelinou, Andreas Efstathiades, and Elena Tsappi of the European University Cyprus in Nicosia, Cyprus, found which strategies can boost job satisfaction in an increasingly digitalized environment and offer managers insights for navigating this transformation.
The team identified four important empowerment practices that apparently contribute positively to an employee’s level of job satisfaction. First, a well-defined organizational mission, combined with performance-based rewards, strengthens how much the employee aligns themselves in a positive way with company goals, thus giving them more of a sense of purpose. Secondly, organisations that allow employees a degree of autonomy in decision-making gives them a sense of so-called ownership over their role. This too increases engagement and involvement in the organisation’s success. Thirdly, by delegating certain managerial responsibilities to lower-level employees, an organisation can promote a sense of trust and accountability even in more junior employees. Finally, effective communication between departments ensures that employees feel informed and supported by the organisation and their colleagues above and below them in the hierarchy.
However, the team also found that problems can arise when there is excessive standardization. While consistency and efficiency are important to success within an organisation, overly rigid structures can stymie initiative and limit career growth opportunities. The team suggests that as workplaces become more digitalized, organisations must find the right balance between structured processes and allow sufficient flexibility to encourage innovation and employee development.
The team adds that job-enrichment strategies, such as decentralization, team-based collaboration, and the use of digital tools, can boost engagement and job satisfaction. Specifically, with regard to the latter, technologies that allow flexible work arrangements and facilitate communication across different locations can improve engagement and satisfaction.
Papageorgiou, G., Christofi, K., Gelinou, A., Efstathiades, A. and Tsappi, E. (2025) ‘Employee empowerment and job satisfaction in the evolving digital banking workplace‘, Int. J. Economics and Business Research, Vol. 29, No. 8, pp.41-60.