Abstract
Performance appraisal is one of the most important activities of human resource
management. For an organization to achieve its strategic goals the organization shall
give due importance to the integral part of HRM i.e. performance appraisal system
which shall be regularly and properly carried out to evaluate the performance of its
employees. However, in Pakistan employees’ performance appraisal satisfaction is
rarely linked with employee outcomes. This study investigated the relationship of
employees’ performance appraisal satisfaction with self-reported work effort, affective
organizational commitment and turnover intentions. The data was collected from both
academic and non-academic staff of higher educational institutes in Peshawar city.
Being co-relational in nature, it has drawn a sample of 316 using stratified random
sampling procedure. The findings revealed that the employees’ performance appraisal
satisfaction is significantly and positively related with work effort and affective
organizational commitment. However, it has a negative relationship with employee
turnover intentions which means that higher the level of satisfaction regarding
performance appraisal will lower intention to quit the current organization.
Furthermore, limitations as well as direction for future researchers have also been
given.