Effect of Leadership Styles on Employees Performance, the Case of Gibe Didesa Farmers’ Cooperative Union

The main objective of this study was to investigate the effect of leadership styles on employees’ performance of Gibe Didesa Farmers’ Cooperative Union. The Democratic and Transactional leadership styles were the dimensions of leadership styles practices that were investigated in this study. Work efficiency served as the performance metric for the Union employees. The study employed a quantitative research approach to examine the effects of leadership styles practices and employees’ performance of GDFCU. Descriptive and explanatory research design employed for the study. Probability sampling technique particularly cluster and census sampling method were used to enables the researcher to use his discretion in selected samples all the target population. Using 37 questionnaires items, the primary source of data was collected from 66 employees out of 69 employees. A questionnaire with a 5-point Likert scale was used together the data, and SPSS Version 25 was used to analyze the results. The findings the study revealed that styles democratic leadership styles and transactional leadership play significant positive on employee’s performance. Hence, 82.2% the variability of employee’s performance in this study explained by leadership styles practices. Based on the findings, different leadership styles had different effect on employee’s performance. In order to improve employee’s performance Gibe Didesa Farmers’ Cooperative Union to give serious attention on each democratic leadership style items, your manager seeks differing perspectives when solving in order to improve employee’s performance.