This study examined the effect of transformational leadership style and the work environment on employee performance in Garki Cluster of Abuja Electricity Distribution Company (AEDC), Abuja. The motivation for the study was the growing demand for improved service delivery and employee effectiveness within Nigeria’s power distribution sector. A quantitative research design was adopted, and data were collected through a structured questionnaire administered to 243 employees selected using appropriate sampling techniques. The data were analyzed using descriptive statistics, correlation analysis, and multiple regression analysis. Findings from the descriptive analysis revealed that employees held positive perceptions regarding transformational leadership practices and the conduciveness of the work environment. The correlation results indicated strong and significant positive relationships among transformational leadership style, work environment, and employee performance. The regression analysis further showed that transformational leadership style had a significant positive effect on employee performance. The work environment also exerted a significant positive effect on employee performance and was found to significantly influence transformational leadership style. The model demonstrated strong explanatory power, accounting for over sixty percent of the variation in employee performance. The study concludes that employee performance in AEDC is strongly driven by both effective transformational leadership practices and a supportive work environment. Leadership effectiveness is not only dependent on the personal qualities of leaders but also on the organizational environment that enables such leadership to thrive. The study therefore recommends that management should strengthen leadership development programmes, improve workplace conditions, and integrate environmental reforms with leadership policies to achieve sustainable performance improvement. The findings provide valuable insights for policymakers, managers, and stakeholders seeking to enhance operational efficiency and employee productivity in the power distribution sector.
Keywords: Employee Performance, Transformational Leadership, work environment
