project titled “Effect of Welfare Scheme on Employees Performance in
organizations” was carried out precisely to find out the effect of welfare
schemes on performance with special regards to some selected banks in Auchi Edo
State. The researcher used the primary and secondary methods of data collection
such as questionnaire, internet, published materials etc. The chi-square and
simple percentage method were also used to analyze the data collected. Based on
the analysis and interpretation of data collected, the findings revealed that
employee welfare are the elements of remuneration given in addition to various
forms of cash pay this contribute to a competitive total remuneration that both
attracts and retains high quality employees, they also cater for their personal
needs of employees and enhance employee commitment to the organization. Based
on the findings, the researcher recommended that employees should not be
outrageous and unnecessarily difficult in their approach towards negotiation
for improved welfare both parties have stakes in the business hence they should
sit down and work out an acceptable modality that will be beneficial to
TABLE OF CONTENT
Table of Contents
to the Study
of Research Problem
of the Study
of the Study
1.7 Significance of the Study
of the Study
Definition of Terms
Chapter Two: Literature Review
Concept of Welfare Scheme
2.3.1 Importance of Quality of Work Life
2.3.2 Problem in Improving Quality of
Constitute Employee’s Welfare
Institutional Capacity and Protection of Employee’s Welfare
Trade Unions and Protections of Employee’s Welfare
of the Chapter
Chapter Three: Methodology
of the Study
of Data Collection
of Data Analysis
Data Presentation, Analysis and Discussion
Presentation and Interpretation
Analysis and Hypotheses Testing
Summary, Conclusion and Recommendations
1.1 Background to the Study
Workers are essential to the means of
production (Drucker, 2010); they deserve to be treated with respect and given proper
welfare packages and incentives. These will improve their sense of worth, boost
their self-esteem, financial status and act as, a sort of motivation to drive
them to have more passion for their job, increasing their productivity. This is
what is expected to be pursued by employers who look beyond instant profit
making as opposed to enduring sustainable business earning of profits in
perpetuity. Lack or inadequate welfare schemes and other incentives leads to
poor worker’s motivation which greatly affect their outcomes and productivity.
Hence, there is need for employers to give staff welfare schemes and other
incentives for the benefits of the employees, employers and the organization
(Okereke & Daniel, 2010).
administration of staff incentives scheme has now become a popular phenomenon
of the total personnel policy of any organization. The scheme involves these
extra benefits which may not necessarily be money, which emanate from the kind
relationship of the employer to the employees, to supplement their usual wages,
from time and which are at most times geared purposely towards the enhancement
of workers performance in the organization.
Merkina (2014) observed
that welfare scheme is very important to
both the organization and the employees, from the employer’s point of view, it
is anticipated that a good staff employee incentive scheme will induce the
employees to work hard and improve their general attitude toward the
organization. But for the employee, these benefit represent some
additional right such as extra income, additional security or more desirable
working conditions that should not require any additional effort.
organizations, employers of labour have seen in staff welfare services the
ability to invoke commitment and co-operation of the subordinates to contribute
more to the achievement of the organizational goals and aspiration. This
discovery has led many employers of labour to the introduction of well schemes welfare
services, with the sincere belief that a good staff services will induce staff
to work hard and improve the general staff morale (Acheaw,
situation remains relatively the same but for the difference in methods of
payment and apparent change in emphasis. The appraisals of the staff welfare
scheme are defined as “something of value apart from the agreed regular
monetary payment of salaries and wages given to staff”. This will be used as
the working definition for this research work.
Ralph (2015) opine that staff
welfare services exist in all
culture and in all organization and had existed at all times. They take
different shapes and forms and attract different names. In recognition,
workers need fulfillment functions; they are variously called “welfare
services” “welfare benefits, employees” “income” or simply “supplementary,
compensation or “pay and non wage remuneration. As non taxable income and
expenses, they are beginning to be called “indirect compensation and non tax
In the past,
they used to be tiny bits and pieces of goodies that occasionally full from the
high tables of paternalistic employer i.e. when the top management plays a
fatherly role of the staff.
It should be
noted that for the company to achieve its objective her welfare service should
be adequate, competitive and tailored towards the real need of the staff.
Staff are directly influenced by nature, quality and quality of welfare
services offered because they compare themselves with their counterparts in
is a kind of incentives given in cash or kind aimed at getting the best out of
an employee or group of employees. Motivation aims at optimum performance of
employees. Many factors have to do with characteristics of the individuals;
different people are endorsed with different potentials, training, skills and
receptions ability to change. Employees’ attitude and behaviour are also
influenced by their remuneration and other incentive such as prestige, special
allowance and retirement benefits. Conditions and environment of work also
affect productivity (Akpala, 2011).
(welfare scheme) can also be a compensation schemes, reward for performance,
staff prefer cash items such as salary, allowances, Christians bonus, or in non
cash items such which we call fringe benefits such as giving the product of the
organization to the workers, protective clothing, cars with or without driver.
1.2 Statement of Research Problem
Delay in the payment of worker’s salaries could
result to apathy that might hinder efficiency in work performance. It could
lead to embarrassing circumstances typified in inability to pay rent and
concomitant quarrel with landlord/caretaker; inability to pay for the schooling
of his ward(s); poor dietary intake that might result to malnourishment;
inaccessibility to adequate medicare; inability to meet with maturing social
and financial obligations. The foregoing could eventually culminate into
disaffection between the employee concerned and his/her employer, with
consequences for poor attitude to work (low morale) and low productivity.
schemes is an effective tool to making employees devoted towards increasing
productivity in organizatioa The absence of welfare scheme and its
ineffectiveness or inadequacies cause to reduce the rate of labour turnover
(most specially the skilled labour). The major problem faced in the selected
banks is the insufficient and inadequate welfare schemes being exposed to its
employees. The personnel in the banks are not being encouraged with enough
welfare schemes that will increase their appetite and boost their morale for
service. And this has to a long extent reduce the productivity and performance
of the bank. Based on research, promotion from one level to another and
training and development of staff of the selected banks are the major welfare
schemes being employed in the organization. Thus, the purpose of this study is
to align and elaborate the relevance of welfare schemes to employee performance
and how it can be effectively managed to enhance adequate productivity.
1.3 Objectives of the Study
The broad objective of the study was to examine the
effect of welfare schemes on employee performance in some selected banks in Auchi.
Specifically, the objectives are as follows:
find out if employees are motivated through improved recognition and
advancement they have on training and development.
ascertain if promotion of employees as at when due influence them towards
higher job performance.
determine if commensurate salaries and allowances paid to employees motivate
them towards higher job performance.
1.4 Research Questions
The following questions were drawn to direct the
focus of this study:
what extent are employees motivated through improved recognition and
advancement they have on training and development?
does promotion of employees as at when due influence them towards higher job
commensurate salaries and allowances paid to employees motivate them towards
higher job performance?
To attain the main objective of this research, the
following hypotheses were stated:
HO1: Employees are not motivated through
improved recognition and advancement they have on training and development.
HO2: Promotion of employees as at when due don’t influence them
towards higher job performance.
salaries and allowances paid to employees do not motivate them towards higher
1.6 Scope of the Study
possibilities are expensive and differs in order to ensures that research is
focused and directed, this study has it’s
own boundaries. This research investigation is focus maorly on the use of
welfare scheme as a center of some selected Banks in Auchi. Reference was made
to selected banks in Auchi. This research work also focus on the welfare scheme
rendered by business organization to their workforce.
1.7 Significance of the Study
study will be significance to the following persons/organization:
i. Bank: This study is
quite appropriate to bankers since the recommendation of welfare schemes will
help reduce the problems and make bank management strive for better welfare
strategies which will boost their service and increase the overall customer
satisfaction thereby maximizing profit for the organization.
organizations with little or no knowledge of welfare scheme and fringe benefit
now know the importance of it, and the process of implementing them. The work would
be of help to organization who want to venture into welfare schemes
administration and possible areas of improvement.
iii. Students: The research
will benefit both business administration and management students and that of
other fields of study. It will provide all the needed knowledge with regards to
welfare schemes as a motivational tool or techniques for business organization.
1.8 Limitations of the Study
cause of this study there were some limitations bounded:
i. Unwillingness of the employees in the
bank to disclose some important information that would have been useful for
ii. Information or result obtain from this
study, when generalized may be misleading because other firms have their unique
way of motivating their workers.
iii. Non availability of current and vital
welfare schemes in the organizational operations.
1.9 Operational Definition of Terms
i. Business: An enterprise form to manufactured
goods and render services to satisfj the consumers need
This a process that include planning, orgnizing, coordinating, controlling,
directing and staffing of both human and material resources in the form to
produce goods and services in order to maximize the organizational objectives.
iii. Welfare schemes: This is described
as a wage payment plant that wage directly or indirectly to productivity standard.
It is use as a motivator.
iv. Employees: An individual
who works under an organization or a person in return for wages a staff worker
or workforce of an organization.
v. Motivation: This is the
situation of individual to actions so as to accomplish desired goals. This is
refer to the extent at which a person choose to incisive in a particular
vi. Compensation: A thing given to
employees for pain suffered usually an amount of money.
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