The current study emphasizes the significance of the positive job experiences that promote individuals' satisfaction on the job and the potential contribution of the transformational leadership style for the shaping of these experiences. Questionnaires were administered to elementary school teachers in five of the six districts comprising the Israeli educational system. 134 Schools were randomly sampled, of which 79 eventually took part in the study. Each principal of the schools sampled received a letter from the researchers asking him/her to allow the administration of the questionnaires in school. The questionnaire was comprised of several scales. "Teachers' self-efficacy" was measured using Gibson and Dembo's scale (1984), which differentiates between general teacher efficacy (GTE) and personal teacher efficacy (PTE). "School principals' leadership style" was measured using the Multifactor Leadership Questionnaire (MLQ version 5x) developed by Avolio, Bass, and Dung (1996). This scale was employed so that the full range of leadership behaviors could be assessed. The data were analyzed in several sequential stages. The results show that the contribution of the transformational leadership style to the explanation of PTE is statistically insignificant when job-related variables are controlled in the analysis. The findings suggest that the relation between the principal's leadership style and PTE is mediated by the positive experiences that teachers undergo on the job, mainly, their satisfaction. Therefore, transformational leadership that affects the intra-school circumstances by promoting teachers' satisfaction on the job is likely to indirectly contribute to PTE. A table with Leadership Factors--Rotated Solutions, is appended. (Contains 3 tables.)