COMPENSATION PRACTICE OF PUBLIC EMPLOYEES TRANSPORT SERVICE ENTERPRISE AND ITS IMPLICATION ON EMPLOYEES PERFORMANCE

Abstract

The purpose of this study was to investigate compensation and benefit practice and its implication on employee performance. The study was guided by the following research objectives: The general objective of this study is to investigate the impact /effect of compensation and benefit on employee performance. The specific objectives are to identify the compensation and benefit packages available at PETSE, to investigate the current practice, problems and challenges associated with the system. The methodology used for the study is primary and secondary. The primary data was collected by means of questionnaires to be distributed to the selected employees of the enterprise. The secondary sources of data are the human resource manual available in the enterprise which were reviewed and refereed . The survey found out that there is significant and positively relationship between Independent variables and dependent variable. The key findings of this research shows that there is a significant and positive correlation exist between independent variable (Non-Financial Benefit, Direct and Indirect benefit and compensation and management administration) and dependent variable (employee performance). In conclusion demonstrated that direct and indirect benefit, non-financial benefit and compensation and benefit administration to employees enhances job performance. From the study it can be recommended thatPETSE management should carry out a bench marking activity against the best players in the country as a way of improving their employee performance.