EMPLOYEE MOTIVATION AND EMPLOYEE PRODUCTIVITY AMONG COMMERCIAL BANKS IN KENYA: A CASE STUDY OF EQUITY BANK HARAMBEE AVENUE BRANCH

Abstract

The general objective was to establish how employee motivation affects employee productivity in Equity bank at harambee avenue branch, and specific objectives being to examine the effect of recognition, training and development, reward management financial incentives on employee productivity at Equity bank. Human Capital Theory severed as the anchor theory for this investigation, with support from the Adam’s Equity Theory and Institutional theories. The target population were 50 employees and used a descriptive design. Census was used as sampling technique sample size. Data was gathered via questionnaires. The quantitative data was evaluated using basic statistics, and data analysis was conducted using SPSS version 27. Result was shown in tables. The study found that employee productivity and financial incentives are strongly correlated, that there is a primary relationship between the two, and that performance is significantly impacted by financial incentives. The results demonstrate that a combination of reward management, reward management, training and development, and financial incentives accounts for the variance in employee productivity. Based on the study's findings, it was suggested that the bank implement employee appreciation programs, such as competitive insurance, health benefits, and an end-of-year bonus, to improve workers' job performance. To encourage staff to improve their job performance, it was also suggested that the bank implement recognition incentives like recommendation letters and employee of the month awards. Equity bank management should make investments in its employees. Training and development investments are necessary to increase human capital, and senior management must provide the funding and support for this to happen. HRM programs are crucial to this, but without the active backing of the organization's senior management, they won't have the resources or drive to succeed. The management of Equity bank should routinely invest in staff training and development in order to improve and broaden human competency. The results of this study, the conclusion, and the proposal that followed indicate that more research on employee productivity and employee motivation in Kenya's public sector is required.