Employee Rewarding System and Small and Medium Scale Enterprises Performance In Developing Economy

Year 2022, Volume: 3 Issue: 1, 39 - 47, 24.06.2022

Nureni Adekunle Lawal , M. Rachael Ojokuku

Abstract

This study examined the relationship between employees' rewarding systems and small and medium scale enterprises in Lagos State, Nigeria. The study employed the survey research design. The study purposefully selected a sample of 100 respondents from small and medium-sized businesses in Lagos State's central business district. The questionnaire was the primary tool for gathering information. Data generated were analyzed using both descriptive and inferential statistics. Based on the analysis, the finding shows that pay influences the rewarding employees' system have a significant relationship with small and medium scale enterprises' performance at a value of = .327. Results also show that both employees' direct financial reward and non-financial benefit have significant positive effects on small and medium scale enterprises at a value of F= 27.189 and 131.,44< 0.05, respectively. The study recommends that for SMEs to attain optimality in performance, adequate attention should be given to employees' welfare.

Keywords

Employees, Human Resources, SMEs, Performance

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