Impact of Reward System on the Performance and Job Satisfaction of Secondary School Teachers in Ovia North-East, Edo State, Nigeria

Impact of Reward System on the Performance and Job Satisfaction of Secondary School Teachers in Ovia North-East, Edo State, Nigeria

Deborah O.Odejimi PhD¹  &  Damien Mbaegbu PhD^2
1&2Department of Business Administration, Igbinedion University, Okada, Edo State, Nigeria

ABSTRACT

The aim of this study is to find out the Impact of Reward System on the performance and job satisfaction of Secondary School teachers in Ovia North-East, Edo State, Nigeria. The aim of the study was to identify different types of rewards and their impact on the performance of teachers. The study employed the cross-sectional research method for data collection through the use of questionnaire and survey. Frequencies, percentages, Pearson correlation and the Chi-Square tests were used for analyses of the data collected. The stratified random sampling was used to distribute copies of questionnaire among teachers in 20 Secondary Schools. 210 copies of structured questionnaire were distributed and 152 copies were retrieved and adjudged usable for this research. Data collected was analysed using descriptive statistics and the Statistical Package for Social Sciences (SPSS) version 21.   On the basis of findings it was shown that most of the respondents preferred extrinsic to intrinsic reward though both had significant effect on performance and job satisfaction. It was recommended that since both extrinsic and intrinsic rewards were key to teachers’ performance, government and school administrators should use a combination of both for effective impact.

Key Words: Reward, Performance, Extrinsic, Intrinsic, Teachers, Nigeria.

INTRODUCTION

The reward systems are significant factors for employees’ satisfaction. Reward systems addresses the needs of workers, strengthens the relationship between the employee and the employer. Employees are valuable assets in any organization and expect to get rewarded for the job done.

Motivation is a tool that inspires people to work hence acts as a catalyst to spur individuals or a group of people who work for an organization to go the extra mile.  It would be difficult to make employees improve on their level of productivity without any form of incentive or reward. The pivotal role of quality education in national development has been a subject of much debate in developing countries like Nigeria. One of the major purposes for government funding primary and secondary education in Nigeria is to give access to all at zero cost. Teachers, especially at the secondary school level play an important role in the educational system. A teacher is a key contributor to nation building hence their role is multifaceted. Often times, the focus is on the teachers’ pedagogical abilities and their capacity to guide students achieve their educational goals. Therefore, to motivate teachers and make their performance effective, a good reward system is of utmost importance.

A reward system refers to the multiple motivation tools employers employ to reward and motivate their employees. This is necessary if the organisation is to achieve set objectives effectively. The reward could be in monetary or non-monetary form as long as it has value in the eyes of the receiver. An intrinsic reward is an internal satisfaction that employees have from completing their tasks successfully. These rewards are mostly non-monetary such as recognition, training, plaque, added job responsibility amongst others. On the other hand, an extrinsic reward usually has a monetary value and is given to an employee for exceeding expectation. These include bonuses, money vouchers or other additional benefits. It is difficult to know what would motivate each employee in an organisation because individuals think differently but an effort has to be made. Zingheim and Schuster, (2000) define reward as “the thing that increases the frequency of an employee’s action”.

Statement of the Problem

Generally, teachers in Nigeria feel they are underpaid when compared to workers in other sectors and this has had a negative effect on their teaching performance and dedication to duty. A demotivated teacher ultimately transfers such aggression on the students and the rate of absenteeism from work tends to become high too. Any nation that is not concerned with the quality of students churned from her secondary schools is headed for doom. The quality of performance depends on the commitment and abilities of the teachers. Teachers’ productivity is measured by the performance of the students they teach. Teaching is an intellectual exercise that cannot be forced out of an individual. A satisfied teacher would be happy to share knowledge and experiences with students in such a way that it attracts the attention of students. A student who is equipped with knowledge becomes an asset in nation building.

Objective of the Study

 The study sought to:

1. Assess the effect of extrinsic reward as motivation for teachers’ performance and job satisfaction.
2. Examine the effect of intrinsic reward as motivation for teachers’ performance and job satisfaction.

Research Questions

The study attempted to provide answers to the following questions.

1. What impact does extrinsic reward have in promoting performance and job satisfaction among teachers in Ovia North-East, Edo State, Nigeria?
2. What effect does intrinsic reward have in promoting performance and job satisfaction among teachers in Ovia North-East, Edo State, Nigeria?

Research Hypotheses

The following null hypotheses directed this study and were tested.

1. HO₁: Extrinsic reward does not have any significant effect in promoting performance and job satisfaction among teachers in Ovia North-East, Edo State, Nigeria.
2. HO₂: Intrinsic reward does not have any significant effect in promoting performance and job satisfaction among teachers in Ovia North-East, Edo State, Nigeria.

Significance of the Study

The study contributes significantly to existing literature in related discourse and specifically to enlighten the government of Edo State on the importance of motivating secondary teachers in order to boost their performance and increase job satisfaction.

LITERATURE REVIEW

Motivation is defined as the determination to achieve a goal, as evidenced by goal-directed behaviour. Motivation is necessary as human nature needs some sort of inducement, encouragement or incentive to deliver better performance. Motivation of employees offer many benefits to the organisation and also to the employees.

 The Nexus Between Reward, Motivation and Performance

The process of motivation requires a partnership attitude and an understanding of the linkages between motivation, performance and rewards. With respect to the importance of teachers in the development process of any nation, the burden lies on the educational managers to ensure that teachers stay motivated on their jobs. This is because the process of motivation requires more than just the provision of adequate rewards. There are other equally important factors that acts to motivate employees and keep them happy on the job. Working in a conducive and friendly environment is a good motivation for job performance. Both teachers and students require a conducive environment to teach and learn because hostile and unfriendly environment have the capacity to breed negative attitude which reduces job satisfaction.  Therefore, there is the need for government to put in place a system of regular environmental inspection and upgrade in addition to provision rewards.

One of the drawbacks in the use of extrinsic reward system as motivation for employee performance is that with time such reward can undermine the purpose for its use. Over time, employees will only be temporary motivated and would seek for higher reward to induce better performance. According to Shanks (2007), because monetary rewards are only temporary and do not induce long-term motivation, employees end up getting stuck in the vicious cycle of demanding for more to satisfy their immediate needs.

 Omokorede (2017), found out that a significant relationship existed between reward factors and employees’ performance. The reward package leads to increased performance and job satisfaction, thus, bringing about the feeling of fulfilment and achievement on the job.  Schereranbun, (2016) stated that motivation describes the forces within the individual that accounts for the energy and effort expended at work.  This means that a highly motivated person is always ready to sacrifice and put in extra effort needed to accomplish a task, while an unmotivated person just goes by the book. Cowling, (1998) asserted that organizations try to motivate employees by offering financial rewards in return for their skill, time and effort. Monetary rewards alone are generally insufficient to create levels of motivation hence a combination is advised.

Managers use employee motivation as one of their strategies for improving effective job performance in any organization.  Tausif (2012), conducted a survey in Pakistan  among public  school  teachers  and  found  that  non-financial  rewards  were  essential  in  developing employees’  job  satisfaction.  Dysvik and Bard (2008), examined the relationship between perceived training opportunities, work motivation and employee outcomes. Intrinsic motivation was found to impact on training opportunities and individual behaviours in the organisation.

Mason, et al. (2008) studied motivation and perceived productivity at a merged higher education institution. The results show that there existed a positive relationship between motivation and perceived productivity.

Abu-Abdissamad (2013), found that monetization policy of the government in public service had a negative effect on the morale of public servants. The study also showed that employees were not happy that the little fringe benefits which used to be a source of encouragement and motivation to them were no longer in existence because it has been discontinued.

METHODOLOGY

Theoretical Framework

The theoretical foundation of this study was based on Equity theory of motivation which states that employees expect fairness when being rewarded (Adam, 1965). The theory states that an individual’s motivation is centred on what he or she considers being fair or justified in comparison to others. How an employee perceives fairness can influence his or her motivation, attitude and behaviour which in turn will affect performance. If teachers feel that they are not equitably treated they may be dissatisfied and this may impact on their individual performance and the performance of the students they teach. If they perceive that their efforts would be rewarded, then there is every tendency to believe that they would improve on the quality and quantity of the work they do.

 Research Design

For this study, the survey research design was adopted. The choice of the design was informed by the objectives of the study. This research design provides an efficient and accurate means of assessing information about the population of interest which is the secondary school teachers in Ovia North-East, Edo State, Nigeria.

Data for this study was collected from primary and secondary sources. The primary data collected was mainly through the use of a structured questionnaire which was designed to elicit information on reward as a motivating factor for job performance and satisfaction.

The coefficient of 0.83 was considered a reliability coefficient because according to Etuk (1990), a test-retest coefficient of 0.5 will be enough to justify the use of a research instrument.

DATA PRESENTATION AND ANALYSIS

Data collected was analyzed using the frequency tables, percentages and the X²   (Chi- square) statistical test. The X² was used to test the formulated hypotheses using Statistical Package for Social Sciences (SPSS).  In order to effectively analyze the data collected using the 5-point Likert scale for easy management and accuracy, the chi-square method was used for test of independence while simple percentages was used for demographic and psychographic data.

TABLE 1 Gender of Respondents

Source: Author’s computation using SPSS 21

Table 1 shows that out of the 152 respondents who are secondary school teachers, 33% were male teachers while 67% were female teachers. This is a reflection of the general outlook of the teaching profession at the primary and secondary levels in Nigeria which is dominated by the females.

TABLE 2 Age of Respondents

Source: Author’s computation using SPSS 21 

From Table 2, it can be seen that the modal age range of the respondents is 41 to 50 years. About 74% of the respondents were above the age of 40 years. Most often, the teaching profession is taking as a last resort for young graduates because of the low remuneration. Only about 4% of the respondents were in the age bracket of 20 to 30 years old.

TABLE 3 Qualification of Respondents

Source: Author’s computation using SPSS 21

 From Table 3, about 17% of the respondents had NCE (National Certificate of Education), 42% had a Bachelor’s Degree in Education (B.Ed), Master’s Degree (M.Ed,) 35%  and only about 5% had PhD.

TABLE 4 Marital Status of Respondents

Source: Author’s computation using SPSS 21

Table 4 shows that 17% of the respondents were single, 77% married, 1% divorced and 4% widowed. This also confirms the claim that young people (single) would rather work in other sectors than the educational sector especially at the primary and secondary school levels.

TABLE 5 Number of Years in Teaching

Source: Author’s computation using SPSS 21 

Table 5 reveals that 18% of the respondents had spent a maximum of 10 years, 18% had spent between 11 to 20 years in teaching, 42% between 21 and 30 years while about 20% had spent over 30 years. This finding from the table shows that teachers’ mobility or turnover rate was low despite the low remuneration. Over 63% of the teachers had spent over 20 years on the job. In a Country like Nigeria with a huge labour force and few jobs, choices are often very limited. Again, the long number of years spent by the respondents showed that women found the teaching job convenient because of the nature of the job which gives them time to manage their families and house chores.

TABLE 6 Extrinsic Reward ( Monetary) is the main motivation for Performance and Job Satisfaction

Source: Author’s computation using SPSS 21

From Table 6, about 16% of the responded disagreed that extrinsic reward was the main motivation for performance and job satisfaction. 76% agreed that receiving extrinsic reward which is monetary was the major motivation tool for better performance and job satisfaction while about 8% were undecided.

TABLE 7 Intrinsic Reward (Non-monetary) is the Main Motivation for Performance and Job Satisfaction.

Source: Author’s computation using SPSS 21

Responses from Table 7 above shows that about 63% disagreed that intrinsic reward was the main motivation for job performance and satisfaction while about 29% agreed that intrinsic reward which is non-monetary was the main motivation for performance and job satisfaction. 8% of the respondents were undecided.

TABLE 8 Long Years in Service as a Teacher Stems from  Job Satisfaction

Source: Author’s computation using SPSS 21

Table 8 reveals that 54% of the respondents disagreed that long years in service was as a result of job satisfaction while 34% agreed and 13% were undecided.

TABLE  9 When Teachers are rewarded for good Performance, the rate of Absenteeism will Reduce

Source: Author’s computation using SPSS 21

Table 9, reveals that over 70% of the respondents agreed that reward will motivate performance and productivity because the rate of absenteeism among teachers would be reduced. Nevertheless, about 17% disagreed that absenteeism will reduce when the teachers are rewarded for performance.

Testing of Hypotheses

  H0₁:  Extrinsic reward does not have any significant effect in promoting performance and job satisfaction among teachers in Ovia North East, Edo State, Nigeria.

To test the hypothesis, responses on Extrinsic Reward (Monetary) as the main motivation for high Performance and Job Satisfaction was employed.

TABLE 10 Chi-Square Tests

Source:   Author’s computation using SPSS 21 4 cells (40.0%) have expected count less than 5. The minimum expected count is .60.

TABLE 11 Symmetric Measures

Source:   Author’s computation using SPSS 21

a. Not assuming the null hypothesis.

b. Using the asymptotic standard error assuming the null hypothesis.

c. Based on normal approximation.

Table 10 shows a Chi-Square value of 51.943 and a P-value of 0.000. Testing at an alpha level of 0.05, the P-value is less than the alpha level. Therefore, the null hypothesis which states that extrinsic reward does not have any significant effect in promoting performance and job satisfaction among teachers in Ovia North-East, Edo State, Nigeria is rejected. To test the effect size of the independent variable on the dependent variable, the Crammer’s V was employed. Table 11 shows the Crammer’s V with a value of 0.739 (0.000), this implies that extrinsic reward has a large and significant role in promoting teachers’ performance and job satisfaction.

H0₂: Intrinsic reward does not have any significant effect in promoting performance and job satisfaction among teachers in Ovia North East, Edo State, Nigeria.

TABLE 12 Chi-Square Tests

Source:   Author’s computation using SPSS 21

a. 2 cells (20.0%) have expected count less than 5. The minimum expected count is .91.

TABLE 13 Symmetric Measures

Source:   Author’s computation using SPSS 21

a. Not assuming the null hypothesis.

b. Using the asymptotic standard error assuming the null hypothesis.

Table 12, shows a Pearson’s Chi-Square value of 86.389. Since the probability value (0.000) of the computed Chi-Square test statistic () is less than the 5%  (0.05) level of significance, we reject the null hypothesis and conclude that there is a significant relationship between intrinsic reward system and teachers’ performance and job satisfaction. Thus, intrinsic reward have a role to play in motivating performance and job satisfaction. The Crammer’s V in Table 13 which is 0.787 (0.000) suggests that the independent variable (intrinsic reward) has a large and significant effect on teachers’ performance and job satisfaction (the dependent variable).

CONCLUSION AND RECOMMENDATION

In this study, result from data analysed revealed that the effect and relationship between the reward system and employee performance and job satisfaction is positive and significant.

Data collected and analyzed showed that both null hypotheses were rejected. This implies that extrinsic and intrinsic rewards were important in motivating teachers’ performance and job satisfaction. This result conformed and confirmed other empirical findings that employees’ productivity can be enhanced by the system of reward in place in an organization.

Responses on whether the teachers had received any form of motivation in the past five years during a focus group discussion, all the respondents claimed that they had not received any reward whether extrinsic or intrinsic. This may be due to the low availability of fund to school administrators for running the schools and also, the low budgetary allocation to the educational sector. Teachers’ absenteeism rate was also revealed to stem from lack of job satisfaction and lack of motivation from the school administrators.

These findings were confirmed by previous studies of Ajila and Abiola (2004), the results supported the hypotheses that there is a positive correlation between extrinsic/intrinsic reward, employees’ motivation and employees’ performance.  Akerele (2001) also confirmed the findings of this work. He observed that poor remuneration in relation to profits made by organization among other things contributed to low morale, lack of commitment and low productivity.

The results obtained from the hypotheses showed that workers place great value on the different rewards given to them by their employers. Hence, when these rewards are not given, workers tend to express their displeasure and disappointment through poor performance and non-commitment to their work. Haruvamwe and Kanengoni (2013) analysed thirty-nine studies conducted over four decades by various researchers in different countries. They concluded that financial rewards was a strong tool in motivating employees.  Rehman and Ali (2013) asserts that extrinsic rewards such as salary and wages motivate poor employees and makes them happy to report for work.

This study significantly contributes to existing literature on reward system and productivity among secondary teachers.

One of the limitation of this study was the inability of the researchers to get data on the performance of students with respect to subjects taught and their assessments on teachers.

Recommendations

Based on the findings and literature reviews on this investigation, the study therefore recommends that:

Government and School Administrators should put in place a reward system that would motivate performance and job satisfaction amongst teachers. This is necessary because the students’ performance and learning can be impeded if the teachers are not satisfied.

Teachers should be given long service award like plaques, special recognition and gifts items which are not monetary but have value.

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