The study examines the factors i.e. (collective bargaining, recruitment, remuneration, communication) affecting employer- employee relationship with inclusion of mediator i.e. workplace condition. Primary data was collected from police departments working in four provinces of Pakistan namely, Khyber Pakhtunkhwa, Sindh, Punjab and Baluchistan. Questionnaires were administered among the three tiers of leadership i.e. top, middle and the bottom. For validation of data collection instrument the confirmatory factor analysis via structure equation model was conducted and all the models were found with significant loadings. Liseral and SPSS software were used for data analyses. For measuring direct and mediating effect study used hierarchal linear regression model. The findings of the study indicate that collective bargaining, recruitment, communication and remuneration have significant positive effect on employer-employee relationship whereas, workplace condition partially mediates the relationship amid factor affecting employee relation i.e. (collective bargaining, recruitment, communication and remuneration) and employer- employee relationship. Moreover, study reveals that inclusion of collective bargaining, recruitment, communication and remuneration inside organization will result in better performance of the police department and lead to build trust and better image of police department. Theoretical implications and future area suggestions are also incorporated in the study.