ASSESSMENT OF EMPLOYEE PROMOTION PRACTICES AT COMMERCIAL BANK OF ETHIOPIA (CBE)

Abstract

This study was designed to assess employee promotion practices in Commercial Bank of Ethiopia South Addis District. Those assessed under employee promotion practices are policy and procedures of the bank, bases of promotion, employee perception and major problems of promotion practices. Both qualitative and quantitative research designs were used in the study. Data were collected through questionnaire. The sampling techniques employed to collect primary information were convenience sampling techniques, stratify sampling techniques and simple random sampling techniques. The samples of population were South Addis under Addis Ababa city. Accordingly the dada gathered was analyzed using descriptive statistics. The finding reveals that internal promotion examination contents are relevant for the employees current job position, the bank promotes and fills vacant posts at all levels internally, as long as qualified staff exist and the vacancy circulars are timely distributed as stated in Human Resource Management policy and procedures. However, it has a problem like the Bank did not encourage the employees using competency and fitness to the post and the employees are not eligible for promotion after one year of service as stated in the Human Resource Management policy and procedures of the Bank. Employees have an awareness about promotion opportunities in the Bank and the promotion exam are related to the job position they applied. But the employees perceived that promotion paths are not clearly stated, there is no equal chance during the promotion and after the exam they did not get the feedback. The bank is mostly used seniority based promotion practices. But the employees are chosen to apply both competency and seniority based promotion practices. The major problems of employee promotion practices are lack of clear and transparency of promotion practices. According to the researcher recommendation as stated in Human Resource Management promotion policy and procedures the Bank must implement the encouragement of employees through competency and fitness to the post in to reality. The bank should be promoting the employees by using both competency and seniority based promotion practice with a support of performance and educational background of employees. Commercial Bank of Ethiopia should increase the awareness of middle and line managers about the Bank’s promotion policy and procedures in the course of executing promotion practices in order to minimize personal biasness and lack of uniformity since its process has been carried out in a decentralized ways.