Abstract
Everyone works for rewards, either in the form of pre-determined salaries, wages or some other benefits or any bonuses and remunerations for certain performance. Individuals seek for being compensated fairly and are only satisfied if they get the expected rewards resulting for their performance. Thus, current study investigates whether remuneration influences employees’ performance through influencing employees’ attitudes. Current study proposes that remuneration influences employees’ performance while employees’ attitude mediates the relationship between these two. A sample of 200 respondents from listed companies of Amman stock exchange is studied and implementing structural equation modeling it is found that in manufacturing organizations remuneration significantly influences employees’ attitude that ultimately influences their performance. Hence, remuneration has significant influence on employees ‘performance but by influencing their attitudes towards their jobs.
Highlights
Pay for performance is one of the known practices of management
Many individuals and managers believe that enhancing the level of payment will make individuals more motivated, loyal and productive (Detert et al, 2007). Organizations compensating their employees effectively are more likely to attain higher levels of productivity than others (Xanthopoulou et al, 2009b), because mostly remuneration is considered as a motivator by employees as well as managers (Shields et al, 2015)
H4: Employee attitude mediates the relationship between remuneration and employee performance
Summary
Pay for performance is one of the known practices of management. All compensation designs incorporate impetus and bonus plans keeping in mind the end goal to spur workers' performance by remunerating them (Calvin, 2017). A single change in pay is regularly a component of numerous elements including general soundness of the economy, financial capacity of the firm to raise compensation, association transactions, the need to hold an important individual or class of workers, and relative execution of a specific employee (Baker and Demerouti, 2007). Many individuals and managers believe that enhancing the level of payment will make individuals more motivated, loyal and productive (Detert et al, 2007) Organizations compensating their employees effectively are more likely to attain higher levels of productivity than others (Xanthopoulou et al, 2009b), because mostly remuneration is considered as a motivator by employees as well as managers (Shields et al, 2015). Quantitative data analysis techniques are implemented like descriptive statistics to provide information about respondents and structural equation modelling to find out the relationships among propose3d variables of study
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: International Journal of Academic Research in Business and Social Sciences
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
