Many theoretical studies as well as empirical investigations have proved that a well designed job leads towards motivated and satisfied employees. The focus of this research was to determine the job satisfaction and motivational level of the employees of banking sector of Pakistan through the application of job characteristics model given by Hackman & Oldham (1975). Empirical analysis techniques such as correlations and multiple regressions results showed that job characteristics are positively and significantly related to the personal outcomes: e.g.: general satisfaction, internal work motivation, growth satisfaction. The psychological states could not be proved as mediator between the job characteristics and personal outcomes. However importance of psychological states cannot be ignored. Regression coefficients of psychological states also showed the significant amount of variance explained by psychological states. The growth need strength could also not be proved as moderator. Overall the implications of this research can be very helpful for designing the motivating and satisfying jobs for the banking sector employees.