The Effects of Career Development and Compensation on Job Satisfaction in the Banks of Khairpur City

This study examined how career development and compensation influence bank employees’ job satisfaction in the Banks of Khairpur City. Drawing on contemporary human resource research, the study situates the banking sector as highly dependent on well-motivated staff. A cross-sectional survey is conducted by using structured questionnaires, collecting responses from 84 bankers across multiple institutions. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Results show that both career development and compensation have positive, significant effects on job satisfaction. Compensation (β=0.730, p<0.001) had a notably stronger impact than career development (β=0.238, p<0.01). The structural model explained 91.4% of the variance in job satisfaction (R²=0.914), indicating a very strong model fit. These findings confirm that banks should emphasize both fair, competitive reward systems and robust career growth programs to enhance employee satisfaction, consistent with prior evidence that “reward” factors drive satisfaction. The study contributes new insights on these HR practices in a developing-country banking context, suggesting managers in Khairpur mirs’ banks should align compensation policies and career-path initiatives with employee expectations.