A COMPARATIVE STUDY OF NON FINANCIAL INCENTIVE AND EMPLOYEE JOB SATISFACTION
CHAPTER ONE
INTRODUCTION
1.1Â Â Â Â Â Â BACKGROUND
Adequate worker remuneration has been found over the years to be one of the ways by which an organization can increase employee job satisfaction and invariably increase the organization’s productivity (Muogbo, 2013). Over the years especially with the present global economic trend, most employers of labour have realized that for their organizations to compete favourably, employee job satisfaction goes a long way in determining the success of the organization. Motivation of employees in any organization is vital, not only for the growth of the organization, but also for the growth of individual employees (Meyer and Peng, 2006).
The role of human efforts in achieving organizational goals cannot be overemphasized. The overall performance of an organization is directly dependent on the amount of efforts positively or negatively applied by workers individually or collectively towards attaining the desired goals (Agu, 2003). Optimal employee job satisafaction depends among other things on what kind of incentives put in place to motivate the workforce. Workplace incentives act as a link between desired employee attitude and outcomes that make an employee feel appreciated (Whetten and Cameron, 2007).
Incentives are important factors that determine the level of employee’s contribution to an organization. Incentives include economic benefits provided by the management of an organization such as pay, promotion, verbal recognition and rewards both financial and non financial which seek to attract employees to join an organization and keep them motivated within the organization for better employee job satisfaction. Employees’ motivation plays a vital role in employee work satisfaction, hence effective incentive systems in an organization may influence employees’ attitude in the workplace and bring about an overall turnaround with resultant positive organizational performance. After all, it is only the satisfied workers that will put in their best. Furthermore, with the appropriate incentives employees will develop positive attitudes towards their job, feel committed to the organization and become actively involved in the developmental processes of the organization. Satisfied employees are less likely to quit their jobs.
