Abstract: This study arose to identify how and where factory workers select their reference groups; ascertain if the reference members of the factory workers induce evaluation responses that probably lead to attitude of job satisfaction or dissatisfaction. Through a multistage sampling technique, two hundred and five (205) factory workers were sampled from selected Glaxosmithkline and Tower Aluminium factories in Lagos/Ogun state, Nigeria. Questionnaire and in-depth interviews were utilized to generate quantitative and qualitative data respectively. Consequently the analysis of data was based on quantitative and qualitative analysis. The finding revealed among other things that the respondents varied in their socio-economic and demographic characteristics such as sex, age, educational attainment, years of working experience, marital status, job position religious background and income. The study showed that respondents chose their reference members from their relatives, friends, colleagues and boss. Also most respondents� agreed that referents members had commented about their place of work. On job satisfaction, the study showed that most respondents were satisfied with achievement and recognition but dissatisfied with supervision, company policies and salaries. Hypotheses tested showed that most respondents selected reference group members from non-factory; that the feeling of job satisfaction or dissatisfaction among factory workers was a function of level of comparison with referent members; that most factory workers do not change members of reference group as they progressed in the factory. Anchoring the explanation of the research findings on equity and social action perspectives, the study recommended that that there is need to review human resources policy of the organizations and, in formulating policies towards job satisfaction, the management should always consider the different needs and aspirations of categories of employees. Most importantly, there is an urgent need for management to encourage social researches on the socio-psychological aspects of the factory workers in order to change their attitudes to work and to social pressures.