Presence of stress at work is almost inevitable in all the organizations. This study looks at the effect of stress on the performance of the employees working in different manufacturing organizations. In this competitive world companies are facing challenges at every step. Now it has become difficult even to survive in the new economic era. With increased competition work load on the employees has also increased. Most of the times employees and even the management are not clear about their roles in the organization. These factors eventually eresults in increased stress level. Yet previous researchers indicate that in spite of increase in stress level, employees exerts better performance. These studies also indicate that stress is necessary up to certain extent to increase performance. This study has tried to find out the underlying factors responsible for stress as well as does stress effects the performance of the employees on the job. The result came out with factors such as organizational cultur, role and responsibility that are responsible for stress and the regression test has been applied to check the affect of stress on job performance revealed that stress has an affect on job performance and that also a positive affect that is job performance increases with the increase in stress.
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