The effect of employee reward on performance of workers in Uganda Telecom Limited

Abstract

This study investigated the effect of employee reward on the performance of workers in Uganda Telecom Limited and ultimately the performance of the company. The constructs believed to affect performance included; both monetary employee rewards (basic pay and bonus pay) and non-monetary employee rewards (recognition, responsibility, achievement as well as training and career development). The study particularly sought to examine the effect of employee rewards on the financial performance of UTL. This was in view of the fact that the solution to reviving the company’s performance was through refocusing on the employee reward policy. The objectives included; (i) examining the effect of monetary employee rewards on the performance of workers in UTL and (ii) establishing the effect of non-monetary employee rewards on the performance of workers in UTL. The study was conducted through a case study cross-sectional research design using both qualitative and quantitative techniques. Data was collected, using questionnaires and an interview guide. The sample comprised a total of 123 respondents from the accessible population of 168 company employees at Telephone House out of which three respondents were interviewed. Data was analyzed using the Statistical Package of Social Scientists (SPSS) from which it was presented in frequency tables. The analysis revealed that employee rewards (both monetary and non-monetary) affect company performance. The study concluded that the reason as to why Uganda Telecom’s performance is seen not to be all that good was because of the overlooked employee reward policy due to complacency and the assumption that all is fine in as far as the company employees are concerned. It is therefore recommended that the Human Resource Department plays a leading role in as far as formulating and implementing employee reward policies so as to keep employees motivated at all times.