Thesis:

Effect of labour relations practices on employees’ Productivity in the county government of Lamu, Kenya.

In today’s competitive business environment, maintaining high productivity is essential for organizational success. A motivated and committed workforce is key to achieving this, and labor relations significantly influence employee motivation, commitment, and overall productivity. This study examined the effect of labor relations on employee productivity in the County Government of Lamu, Kenya. The specific objectives were to determine the effect of collective bargaining, conflict resolution, communication channels, and workforce involvement on employee productivity. The study was grounded in Human Relations Theory, Social Exchange Theory, and Human Resource Management principles. A descriptive research design was used, targeting a population of 500 employees, from which a sample of 90 was selected using the Nassiuma method and stratified sampling. Primary data was gathered through close-ended questionnaires, with a pilot study conducted to ensure validity and reliability. Cronbach’s alpha was used to test reliability, and a drop-and-pick method facilitated data collection. Quantitative data was analyzed using descriptive and inferential statistics, while qualitative data was examined through content analysis. SPSS version 20 was used for statistical analysis, with results presented in narratives, tables, charts, and graphs. Ethical considerations, including informed consent and confidentiality, were strictly observed. The findings showed that effective collective bargaining significantly improved productivity by ensuring better working conditions (mean = 3.89), fair wages (mean = 3.81), and job security (mean = 4.84). Conflict resolution enhanced teamwork (mean = 4.11), morale (mean = 4.41), and reduced absenteeism (mean = 4.43), positively impacting productivity. Communication was critical, with inclusivity rated highly (mean = 4.97), though issues in communication efficiency (mean = 3.12) were noted. Workforce involvement was also vital, with a strong influence on productivity (mean = 4.77), though challenges remained in innovation and turnover management. Correlation analysis revealed strong positive relationships between collective bargaining (r = 0.634, p < 0.001), communication (r = 0.410, p = 0.006), and decision-making involvement (r = 0.425, p = 0.003) with employee productivity. Thel study recommends that the County Government of Lamu strengthen collective bargaining structures to ensure equitable compensation and job security. Conflict resolution mechanisms should be enhanced to boost morale and reduce stress-related absenteeism. Additionally, effective and inclusive communication systems should be established to improve collaboration and efficiency. Finally, increasing employee involvement in decision-making and innovation is essential for sustainable productivity growth. Addressing gaps in communication and role clarity will be crucial for maintaining positive labor relations and achieving long-term organizational performance.