The Impact of Wages and Salaries Administration on Employee Productivity
Abstract of The Impact of Wages and Salaries Administration on Employee Productivity
This research project is on the impact of wages and salaries administration on employee productivity. The purpose of this research work is to know the impact of wages and salaries administration on the staff of Sona Breweries Nigeria Plc. The aim of wages and salaries administration program of Sona Breweries is to improve the quality of productivity and to prepare employee for greater organisation productivity, for without wages and salaries administration personnel, an organization will find it difficult, to achieve its objectives or organizational goals. This is because of the immense role played by manpower and its plausible impact on the efficiency of the organization.
Three research working hypothesis were formulated by the study researcher in order to avoid deviation from the study. These are centered on the impact of wages and salaries administration on employee productivity in private organization. The use of questionnaire and personal interview are analyzed on different table, using percentage where appropriate. The data collected were analyzed and the hypothesis tested. The finding summary, recommendation including conclusion is based upon the study that were made.
Chapter One of The Impact of Wages and Salaries Administration on Employee Productivity
INTRODUCTION OF THE STUDY
Wages and salaries administration is part of the total compensation packages of any organization (Public or Private Sector)
Wages and salaries are to attract, hold and motivate employee to put in their best. To ensure the cooperation of employees on a continuing basis. To make sure the right type of employees are attracted to the organization, to help employees maintain a reasonable standard of living. It helps reduce employee turnover.
Incentive scheme involve paying an employee a bridge that reflects his productivity on contribution to the organization. Equity demands that what ‘A’ get in relation to ‘B” must be justifiable in terms of the productivity of ‘B’ to the same organization.
The ultimate purpose of incentive payment system is to enhance productivity, thus each incentive payment system used must be justifiable in terms of motivating employee to higher productivity.
In the private sector i.e SONA Breweries Nigeria Plc review of wages and salaries are done at regular interval through negotiation between the management and the employees representatives. Also, salaries are promptly paid to employees. Again, the payment of double increment and productivity bonus. Other wise known as the 13th month pay is also a common practice in the private sector.
If the total productivity of a country is very high, the tendency is that wages and salaries will be high also. And it continues to be adjusted in accordance with the trend of the productivity, for example the Udoji Commission awarded increased wages to workers, in 1974 became through the commission’s study of the Nigeria economy, it saw an increase in productivity level. During job evaluation, jobs are graded according to relative amount of skills, effort, mental alertness, education, purposes. An engineer in a company is paid more than the technicians. There should be equal pay for equal work.
Intrinsic rewards are contained in the attributes of the job itself in terms of the task, duties, and characteristic of the job as contained generally in the job description. Extrinsic rewards refers to the financial compensation, i.e monetary attached to the job.
Infact, wages and salaries administration determines, or influences productivity in any organization. What is wages and salaries administration? What roles does wages and salaries administration play in productivity? Why should employees/workers be motivated? Are there incentives in a private sector like SONA Breweries Nigeria Plc. These are some of the relevant issues addressed in this study.
STATEMENT OF THE PROBLEM
Wages and Salaries administration aspect, which is the most vital in achieving productivity of the organization. This is the major problem facing most organization and which has consequently deprived them of achieving efficient and effective wages and salaries administration, this cannot be over emphasized because it will help to improve employee productivity, the efficiency and morals of the firms their-by leading to the organization effectiveness.
OBJECTIVES OF THE STUDY
1. To identify the organization policies, objectives and procedures of wages and salaries.
2. To evaluate the impact of wages and salaries administration as a tool for attaining organization productivity.
3. To determine the effect of wages and salaries administration in the private sector administration in the private sector and the employee performance with particular reference.
4. To ascertain the effectiveness of wages and salaries administration.
5. To evaluate the impact of wages and salaries administration as a tools for motivating, promoting, training, and staff development in order to enhance employee productivity.
6. To find out how wages and salaries can contributes to improve employee productivity in their organization.
RESEARCH HYPOTHESIS
From the problem identified, the following hypothetical statements are
formed, and will be tested to ascertain the level of correlation between the hypothetical statement and research findings.
1. Ho: There is no significant difference between the hypothetical statement and research findings.
2. Hi: There is significant difference between hypothetical statement and research findings.
3. Ho: There are no significant differences between salaries and wages administration and employees productivity.
4. Hi: There are significant differences between salaries and wages administration and employees productivity.
5. Ho: There is no significant difference between staff training, development and employee productivity.
6. Hi: There is significant difference between staff training, development and employee productivity.