The Effect of Non-Financial Incentive Scheme on Employees’ Motivation

Abstract

The purpose of this study was to investigate the effect of non-financial incentive scheme on employees’ motivation. Therefore, the study was descriptive as well as explanatory which used primary source of data. By that 162 questionnaires were distribute and all of them were returned and used for the study and stratified and simple random sampling methods were applied to determine respondent for the study. However, the study try to examine the perception of employees’ about the incentives scheme of the bank, motivation level of employees’ in the bank and the effect of promotion, recognition,  training on employees’ motivation. Among the major findings, the overall perception of respondents about current non-financial incentive practices were shown as they are happy and satisfied with promotion and training but they are neutral on recognition. The result of regression analysis shows that; promotion, recognition, training were a significant predictors of employees’ motivation. Also of that, a significant portion of employees was at good motivation level to perform their job. It is recommended to review the bank's recognition practice to increase the current motivation level of employees.