A Compositional Analysis of the Organizational Climate‐Performance Relation: Public Schools as Organizations

The present study examined specific aspects of organizational climate related to job satisfaction, employee turnover, and organizational performance in public elementary schools. Survey data were obtained from school staff and students and from school district archives. Hypotheses tested included: (1) Employee perceptions of organizational climate and job satisfaction, when aggregated to an organizational level, would represent group‐level constructs; (2) Employee perceptions of positive organizational climate would be associated with higher levels of job satisfaction and organizational performance and with lower levels of employee turnover; (3) Relations of organizational climate to organizational performance and to employee turnover would be mediated by employee job satisfaction; and (4) Employee perceptions of positive organizational climate and job satisfaction would be associated with less achievement disparity between minority and non‐minority students. Study results supported all but one hypothesis. There was no evidence for the mediating effects of job satisfaction on relations of organizational climate to organizational performance and to employee turnover. Results were consistent with the broader organizational literature, which has shown the importance of orderly work environments, collegial relations, and supportive leaders for effectively functioning groups and organizations.