THE IMPACT OF MOTIVATION-HYGIENE FACTOR ON EMPLOYEES’ PERFORMANCE: THE CASE OF COMMERCIAL BANK OF ETHIOPIA

Abstract

Many theories of HRM claim that when workers are given a particular level of motivation, it results in increasing their level of performance. The study assessed the impact of motivation-hygiene factors on employee performance. The study relied on primary data which was collected through a structured questionnaire from 367 respondents. Survey was carried out at 36 CBE Grade 4 and 3 branches respondent employees. With the support of IBM SPSS statistics 20 software system, descriptive (frequency and percentage) and inferential (correlation) analysis was conducted to generate results. The study found that motivation factors have a moderate effect and positive relationship with employees’ performance of CBE. Moreover, hygiene factors dominantly affect and have a positive relationship with CBE employees’ performance. Finding of the study suggested that by offering motivation-hygiene factors, CBE can boost the performance of its employees. The study found that when employees are offered motivation-hygiene factors, they become more motivated and perform to their best. Recommendations are drawn that appropriate motivational packages should properly be planed and implemented, CBE should give appropriate recognition to its employees.