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Effect of Compensation On Job Performance: An Empirical Study

This document discusses a study on the effect of compensation on job performance in readymade garment organizations. It defines compensation as everything received by employees in reward for their work, including both financial and non-financial benefits. The literature review discusses previous research that has measured job performance in various ways such as management measures, productivity, absenteeism, and profits. Compensation is identified as a motivator that has a direct relationship with employee performance. The study aims to define compensation factors and their impact on employee performance in readymade garment organizations.

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Abdullah Afzal
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84 views1 page

Effect of Compensation On Job Performance: An Empirical Study

This document discusses a study on the effect of compensation on job performance in readymade garment organizations. It defines compensation as everything received by employees in reward for their work, including both financial and non-financial benefits. The literature review discusses previous research that has measured job performance in various ways such as management measures, productivity, absenteeism, and profits. Compensation is identified as a motivator that has a direct relationship with employee performance. The study aims to define compensation factors and their impact on employee performance in readymade garment organizations.

Uploaded by

Abdullah Afzal
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Effect of Compensation on Job Performance: An Empirical

Study

Key words: Compensation, readymade garment organizations (RMGs), Job performance

1. INTRODUCTION
In the era of high competition between the organization, it's very important to identify the
employees with efficient and effective knowledge in the organization and develop or maintaining
effective compensation plans for getting the best performance on the job. the study defined the
compensation factors and its effects on employee's performance who's work in readymade
garment organizations. The revised version of the definition of performance presented in a
previous publication in connection with a theory of individual differences in task and contextual
performance One important idea in this definition is that performance is a property of behavior.
(Motowidlo, Borman, & Schmit, 1997). Bob (2011) Salary forms are based on Stipend
Rationalities and Strategies and contain action within the framework of Plans and Procedures,
regulating standards, frameworks and strategies planned and considered to provide and maintain
appropriate types and levels of remuneration, benefits and other forms of compensation.
Compensation is everything that is received by employees as a reward for the work of the
employee. The satisfaction of compensation also plays a role in shaping the attitude of an
employee at work (Simamora, 1997).

2. LITERATURE RIVIEW
Personnel training programs and programs designed to improve human performance have used a
variety of measurement methods, including management measures, product indicators,
absenteeism, profits, pay and promotions. While all of these measures may not be considered
practical - at least to a certain extent - there has been very little discussion about the concept of
the work itself. For the past 20 years, however, researchers have been focusing on conceptual
issues at the root of the problem (see Austin & Villanova, 1992, the criteria finding detailed
analysis of historical methods) as well as strong growing literature on the content of work ethic
and its underlying objections emerging(e.g., Borman & Motowidlo, 1993; Campbell, 1990;
Campbell, Gasser, & Oswald, 1996; Organ, 1997; Sackett, 2002; Schmidt & Hunter, 1992; Van
Dyne, Cummings, & Parks, 1995; Viswesvaran & Ones, 2000). compensation define as a sum of
both financial and non-financial rewards offer to employee by employers and management for
the previous work and services (Osibanjo etal.,2014). On one hand, compensation was identified
as a motivator; and therefore, a major strategy (Gardner et al.,2004), which had a direct
relationship with employee performance.

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