ABSTRACT
This study critically assesses the effect of incentives and fringe benefits on employee’s performances in an organization. First Bank of Nigeria Limited was used as a case study. Five (5) research questions were generated and Three (3) hypotheses were stated. The population consists of all the employees in the Head Office of the bank in Lagos- Island. Simple random technique was used to select Six (6) Departments out of the Nineteen (19) departments in the bank. All the staff of the Six (6) departments; a total of One Hundred and Five (105) was used as sample. Structured questionnaires were used to solicit responses from the respondents. Inferential statistic tools of chi-squares were used to test the stated hypothesis and also analyze data collected. The findings establish clearly that incentives and fringe benefits are vital tools for enhanced employees efficiency and organizational growth. It is however recommended that First Bank of Nigeria Limited should formulate corporate policies that will sustain and improve their employees’ incentives scheme that already exists. The study recommended that it is imperative to institutionalized incentive and fringe benefit scheme in the banking sector.
KEYWORDS: INCENTIVES, FRINGE BENEFITS, EMPLOYEE’ PERFORMANCE, FIRST BANK OF NIGERIA LIMITED
TABLE OF CONTENTS
CONTENTS PAGES
Cover Page i
Certification ii
Approval Page iii
Dedication iv
Acknowledgement v
Abstract vi
Table of Contents vii
Chapter One
1.1 Introduction 1
1.2 Background 2
1.2.1 Historical Background of the Case Study 5
1.3 Statement of the Study 7
1.4 Objectives of the Study 8
1.5 Research Questions 9
1.6 Statement of the Hypothesis 9
1.7 Significance of the Study 10
1.8 Justification of the Study 10
1.9 Scope of the Study 11
1.10 Definition of Terms 12
Chapter Two
Literature Review 14
2.0 Introduction 14
2.1 Conceptual Clarification 14
2.1.1 Empirical Evidences of Relationship between Fringe, Incentives & Employee’s Performance 17
2.2 Theoretical Framework 19
2.3 Literature on the Subject Matter 26
2.3.1 Origin of incentive & Fringe Benefits 26
2.3.2 Overview of Incentive & Fringe Benefits 27
2.3.3 Effects of Organizational Incentives & Fringe Benefits 32
2.3.4 The Concept of Employee Benefits 32
2.3.5 Essence of Fringe Benefits to Employees & Employers 33
2.3.6 Effect of Incentives & Fringe Benefits on Attitudes 35
2.3.7 Effect of Incentives & Fringe Benefits on Behaviour 35
2.3.8 Effect of Incentives & Fringe Benefits on Motivation 36
2.3.9 Conditions Necessary for the use of Individual
Incentive Plans 36
2.3.10 Types of Incentive Plan 37
2.3.11 Types of Fringe Benefits 41
2.3.12 Objectives of Incentive & Fringe Benefits 43
2.3.13 Advantages of Incentive Scheme & Fringe 44
2.3.14 Need for Extending Benefits to Employees 45
Chapter Three 47
Research Methodology 47
3.0 Area of Study 47
3.1 Research Design 47
3.1.1 Sources of Data 47
3.2 Study Population 48
3.2.1 Determination of Sample Size 48
3.3 Instrumentation 49
3.3.1 Validity of the Instrument 49
3.3.2 Reliability of the Instrument 49
3.4 Procedure for Data Collection 50
3.4.1 Data Analysis 50
3.5 Limitation of the Study 50
Chapter Four 52
Data Analysis, Findings & Discussion 52
4.0 Data Analysis, Findings & Discussion
4.1 Discussion of the Findings
Chapter Five 70
Conclusion & Recommendations
5.0 Summary of Findings
References 73
Questionnaire 78
