In today’s competitive global environment, employee productivity is an essential element of a company’s success. Employee productivity can be significantly hindered by high level of stress experienced in the work environment. Stress is a universal element and persons from nearly every walk of life have to face stress. Employers today are critically analysing the stress management issues that contribute to lower job performance of employees. The main aim of the study was to evaluate stress and its effects on employees’ productivity. The study was conducted at Air Force Institute of Technology. Descriptive survey was adapted as the research design. Purposive and simple random sampling techniques were used in selecting a sample size of 100 out of a population of 482. Questionnaires and interview was used as data collection instrument. From the results obtained it was evident that there were many stress factors that the respondents endured, and the inquiry proved that stress had an effect on productivity. Majority of the respondents work under pressure and that they are not been sent for development programmes by the organisation. It was recommended that military instructors should be relieved of guard duty, as this will enable them focus and prepare well for their lecture’s and management should evaluate and analyse the performance of their employees, so as to detect over utilization and under-utilization of her employees.