Abstract
Workers are considered as strategic assets in any organization because the accomplishment of an organization’s objectives largely depends on the employees, so employers always strive to ensure that they retain their best employees. However, such employees can only become strategic assets if they are motivated to deliver on their tasks and specific assignments. Therefore, it is important to identify factors which motivate employees for the achievement of set organisational goals. The objective of this study is to investigate the extent to which organisational reward systems impact on employee retention in the banking industry in Port Harcourt, Nigeria. To achieve this objective, this study has examined the relationship between remuneration, promotion and recognition as the dimensions of reward systems and employee retention. In terms of methodology, the survey research design was utilized, with the structured questionnaire used as the primary data collection method. The generated data was analyzed using descriptive and inferential statistics as well as the spearman’s test statistics. The results revealed that there is a positive relationship between remuneration, promotion, and recognition as dimensions of reward systems and employee retention. The conclusion reached is that for banks in Port Harcourt to retain their best employees, they would need to improve their reward systems, specifically the remuneration, promotion and recognition that they offer their employees. It is recommended that there should be further empirical research to test the applicability of the findings of this study in other sectors of the Nigerian economy as well as the relationship between other dimensions of reward systems and employee retention.
Highlights
Employers have increasingly identified the important role of workers in their workstations and the necessity to attract, increase their morale and keep clever employees
We rejected the null hypothesis which states that “there is no significant relationship between promotion and employee retention in the banking industry in Port Harcourt”, and accept the alternative hypothesis, “there is significant relationship between promotion and employee retention in the banking industry in Port Harcourt’’
We rejected the null hypothesis which states that “there is no significant relationship between remuneration and employee retention in the banking industry in Port Harcourt”, and accept the alternative hypothesis, “there is significant relationship between remuneration and employee retention in the banking industry in Port Harcourt’’. These findings indicate that promotion and remuneration are significantly related to employee retention, meaning that the likelihood of employees to continue working in a firm is much higher when they are adequately remunerated and promoted as at when due
Summary
Employers have increasingly identified the important role of workers in their workstations and the necessity to attract, increase their morale and keep clever employees. It is argued that that retaining good employees (i.e. those that positively support and add to the advancement of the firm) is deduced to be absolutely connected with reaching organizational objectives/goals as well as developing competitive advantage for the firm [3]. One major means by which this objective is attained is by rewarding workers, which is related with the inspiration of the organizational workforce for enhanced performance. Reward is a key tool used to increase employees' commitment in the workplace, which leads to an improvement in their work performance [20]. Employees are appropriately considered as the most important resource for any organization even in financial business organizations [32]
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 call
