The purpose of this research is to study the organizational climate as a variable which influences the relationship between organizational dimensions (both structural and contextual) and employee participation. The obtained results show the organizational climate as an intervening variable which influences the relationship between the structural dimensions and employee participation on one hand and the relationship between contextual dimensions and employee participation on the other hand. Although the correlation between structural dimensions (formalization, complexity and centralization) and contextual dimensions (strategy, technology and environment) with employee participation were proved, but no certain evidence (s) regarding a significant relationship between organizational complexity (of structural variables), innovative strategy (of contextual variables) and environmental hostility (of environmental components) with employee participation were observed.