| Abstract: | Employees today are more concerning on the rewarding approaches in which they seek for the
ground elements that should be demonstrated in accordance to ensure that one’s organizational
reward practice will be effective as possible. Reward system refers to all the financial, nonfinancial payments that an organization provides for its employees in exchange for the work they
perform. This paper assesses the reward system practices in BOA using both qualitative and
quantitative analysis methodologies. The descriptive analysis of the demographic characteristics
shows that most of the employees are young, male, single, have a Bachelor’s degree, work in
clerical positions, and have less than five years of experience. The situational analysis reveals
that the reward system aligns rewards with performance, provides a variety of rewards, and sets
clear and fair criteria for rewarding performance, but also has some drawbacks such as relying
solely on performance appraisal results, excluding employees who score below expectation or
unsatisfactory ratings, and not specifying how the rewards are determined or distributed. The
mean agreement level analysis indicates that most of the employees agree on the payment reward
system, are neutral on benefits and working conditions, and neutral on the work itself and
management style.
Finally, the researcher suggests that the Bank of Abyssinia human resource management body
must revise the reward system properly to retain best performer. |
