The Effects of Digital Communication and Work Environment on Employee Job Satisfaction: The Moderating Role of Transformational Leadership

Abstract

This study examines the effects of digital communication and the work environment on employee job satisfaction and the moderating role of transformational leadership at CV Enha Utama Sandang in Yogyakarta. An explanatory quantitative approach was employed, with data collected through structured questionnaires from 98 employees using a total sampling technique. Data were analyzed using Structural Equation Modeling based on Partial Least Squares (SEM-PLS) with SmartPLS 4.1.1.8. The results show that digital communication has a positive and significant effect on job satisfaction (β = 0.345; t = 5.862; p < 0.001), while the work environment also has a positive and significant effect (β = 0.328; t = 5.471; p < 0.001). However, transformational leadership significantly weakens the positive effects of digital communication (β = −0.230; t = 4.424; p < 0.001) and the work environment (β = −0.161; t = 3.009; p = 0.001) on job satisfaction. These findings indicate that excessive transformational demands may increase information overload and technostress, reducing the effectiveness of communication and the work environment in fostering job satisfaction. The study highlights the importance of balancing transformational leadership with employees’ capacity and well-being.