Effect of Non-Financial Rewards on the Performance of Employees in Organizations: a Study of Selected Manufacturing Smes in Makurdi Metropolis

ABSTRACT

This study was carried out with the prime objective of examining the effect of non-financial rewards on the performance of employees in selected manufacturing SMEs in Makurdi Metropolis. A survey research design was adopted for the study and a Likert-type questionnaire was the main instrument used in data collection. The study employees consist of the 155 employees of the selected SMEs in Makurdi Metropolis. The responses descriptive statistics like simple percentages and tables to present and analyse the responses from the returned questionnaire. Multiple regression techniques was further adopted in the analysis of data and test of hypotheses at 5% level of significance. The findings revealed that Employees’ career development programs, employees’ recognition and job design has a significant effect on task performance of employees in selected manufacturing SMEs in Makurdi Metropolis while conducive work place environment has no significant effect on task performance of employees in selected manufacturing SMEs in Makurdi Metropolis. The study recommended that management of SMEs should evaluate the reward systems that are currently in place as well as the kind of influence they have on employee performance. This would help them understand the issues surrounding administration and the corresponding influence of non-monetary rewards towards employee performance. They would also be able to make a significant contribution towards their improvement of reward strategies in order to enhance their competitive edge. In addition, more emphasis has to be placed on career development as a reward system in use so that employees can get their satisfaction and perform better.