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VOL. 2, ISSUE 1 (2026)
The influence of labour relations policies on organizational culture and employee performance in Botswana’s private sector: A structural equation modeling approach
Authors
Neo Baetsi
Abstract

Purpose: The study examines the influence of labour relations policies on organizational culture and employee performance in Botswana’s private sector. It specifically investigated the mediating roles of organizational culture and employee trust and commitment to understand how policies translate into improved workplace outcomes.

Methodology/Design: A quantitative research approach was employed using a cross-sectional survey of 300 employees from diverse private sector organizations. Data were analyzed using Structural Equation Modeling (SEM) to assess direct and indirect relationships among labour relations policies, organizational culture, employee trust and commitment, and performance.

Findings: Results revealed that labour relations policies significantly influenced organizational culture (β = 0.68, p < 0.001) and employee performance (β = 0.36, p < 0.001). Organizational culture positively influenced employee performance (β = 0.54, p < 0.001) and mediated the relationship between policies and performance (indirect β = 0.37, p < 0.001). Employee trust and commitment also mediated the effect of policies on culture (indirect β = 0.41, p < 0.001).

Implications: The study provides practical guidance for managers and HR practitioners in Botswana’s private sector to design and implement labour relations policies that foster trust, commitment, and a supportive culture, ultimately enhancing employee performance.

Originality/Value: The study integrates Social Exchange Theory, Organizational Culture Theory, Systems Theory, and Human Relations Theory to provide a holistic understanding of how labour relations policies affect performance through cultural and relational mechanisms in an African private sector context.

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Pages:223-231
How to cite this article:
Neo Baetsi "The influence of labour relations policies on organizational culture and employee performance in Botswana’s private sector: A structural equation modeling approach". International Journal of Applied Review , Vol 2, Issue 1, 2026, Pages 223-231
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