Abstract:
The study aimed at examining the effect of cultural diversity on organizational performance in Pallisa District Local Government. It specifically examined the effect of employee language diversity on organizational performance, the effect of employee value diversity on organizational performance and employee religious diversity on organizational performance. The study adopted a quantitative approach and collected primary data in a cross-sectional. The sample size for this study was 63 which was determined using the table of Krejcie and Morgan. A questionnaire served as the research instrument. Quantitative data collected were coded into Statistical Package for Social Sciences (SPSS) version 22.0, cross-checked for entry errors, and analysed. Regression analysis was used to test the relationship between dimensions of the independent variable and the dependent variable. The study was steered by social exchange theory was developed by Homans. The study found positive and statistically significant effect employee cultural diversity (language diversity, value diversity and religious diversity) on organizational performance. Value diversity had a stronger significant effect on organisational performance. The study concludes that organizational performance in PDLG is influenced by employees’ language, value, and religious diversity. It recommends that management uphold standard, widely accepted cultural values that support rather than hinder employee performance.
