HUMAN RESOURCE MANAGEMENT

THE IMPACT OF INCENTIVE WELFARE SCHEMES ON THE PERFORMANCE OF WORKERS

THE IMPACT OF INCENTIVE WELFARE SCHEMES ON THE PERFORMANCE OF WORKERS

CHAPTER ONE

INTRODUCTION

BACKGROUND OF THE STUDY

The administration of staff incentive scheme has now become a popular phenomenon of the total personnel policy of nay organization. The scheme involves those extra benefits which may not necessarily be money, which emanate from the kind relationship of the employer to the employees, to supplement their usual wages, from the to time which are at most times geared purposely towards the enhancement of worker performance in the organization.

This scheme, where in existence is very important to both the organization and the employees. From the employer’s point of view, it is anticipated that a good staff employees incentive schemes will induce the employees to work hard and improve their general attitude towards the organization. But for the employee, these benefit represent some additional right such as extra income, additional security or more desirable working conditions that should not required any additional effort.

In business organization, employers of labour have seen in staff welfare services, as the ability to evoke commitment and co-operation of the subordinates to contribute more to the achievement of the organization goals and aspirations. This discovery has led many employers of labour to the introduction of well packaged welfare services, with the sincere belief that a good staff services, scheme will induce staff to work hard and improve the general staff moral.

The situation remains relatively the same but for the difference in methods of payment and apparent change in emphasis. The appraised of the staff welfare scheme are defined as “something of value, a part from the agreed regular monetary payment of salaries and wages given to staff”. This will be used as the working definition for this research work. Staff welfare services exist, in all cultures and in all organization and had existed at all times. They like different shapes and forms and attract different names.

In recognition of their worker need fulfillment functions, they are variously called “welfare services” welfare benefit employees “income” or simply “supplementary compensation” pay and non wage remuneration”. As non-taxable income and expense, they are beginning to be called “indirect compensation and on tax benefit”. In the past, they used to be tiny bits and pieces of goodies that occasionally fell from the light tables of paternalistic employers ie when the top management, play a fatherly role of the staff.

Its should be noted that for the company to achieve its objectives her welfare services should be adequate competitive who tailored towards the real need of the staff are directly influenced by nature quality and quantity of welfare services offered because they compare themselves with their counterparts in the organization.

In my research work and analysis I have found that workers do prefer increases in welfare services to increase in salaries especially during the period of inflation and rising prices. Workers normally get frustrated and dissatisfied when welfare services are inadequate. But if the opposite condition prevails, workers have been observed to be satisfied and more committed to give off their best to the achievement of the company’s objectives.

STATEMENT OF THE PROBLEM

Often workers or employees are attracted to certain organizations not only because of the pay packets that are stated in the advert but also because of the benefits attached to them: These benefits usually include housing, transports and medical allowances to mention but a few. These attractions may constitute a considerable objective is which such individuals made up their mind to serve in such organization. The absence or reduction in these primary attractions of such individuals into the organization will certainly lower the morale as well as efficiency of such individual’s performance, which will in turn reflect on the organization’s productivity.

Examples a bound where organizations in recent times, have been faced with instant agitation from the workers union and staff association, poor administration of the existing ones or total withdrawal of these benefits. These dissatisfaction expressed by the staff either on the provision or administration to staff welfare service. Activities become same serious problems, which demand my proper investigation and examination in order to find lasting solution to them. These assetions will be examined with respect to a govenrmetn owned enterprise called “THE NATIONAL ELECTRIC POWER AUTHORITY PLC, ENUGU ZONE.

OBJECTIVE / PURPOSE OF THE STUDY

The objective or purpose of this study is as follows:

i.  To ascertain whether any of the services formally by the staff in the company has been withdrawn and the reasons that necessitated they’re withdrawal.

ii.  To ascertain whether there is other benefit which the staff demanded for effective performance of their jobs that are not yet provided.

iii.  To ascertain the problems of any that is encounter by the company in the administration of welfare services.

iv.  To determine the effectiveness or otherwise of staff welfare program in national electric power authority as perceived by the staff.

v.  To make recommendation based on this study on how to improve the provision and administration staff welfare scheme in NEPA Plc Enugu zone if need be.

SCOPE OF THE STUDY

In the nature of the research, students are often faced with many constraints. To evade some of these constraints, students are now required to carryout a case study where a small area will be selected for study sued as a reference point for large areas. So the scope of this study covers only a large spectrum of government owned enterprise in Nigeria called NEPA Plc Enugu zone. It is hoped that the study of the administration of staff welfare scheme in NEPA will serve as an eye opener to efficient administration of welfare services in other government owned companies in Nigeria.

SIGNIFICANCES OF THE STUDY

The role that a comprehensive staff welfare scheme plays in the efficiency with which an average worker discharges his responsibilities and the achievement of the overall corporate of an organization cannot be under played. Organization thus, try as much as possible to attain their corporate objectives by helping their staff to accomplish their own personal objectives. This they do by setting up ideal welfare scheme for the benefit of their staff.

In another breadth, it is a matter of curiosity to observe who might be pondering on the new welfare scheme that I would be evolved by NEPA Plc Enugu zone, considering the circumstances in which the company as a new cooperate body is formed, leaving behind tow clearly distinct staff welfare scheme.

DEFINITION OF TERMS

For the purpose of this research work the following key works are defined as follows:

STAFF: Any person who enters into a company, through an (employers) in return for wages salary or other valuable consideration. In this research work, this embraces both those ordinarily involved with the execution of the assigned work and those involved in the day decision making of the firm.

WELFARE: Is a wide variety of services that is provided by companies for their staff, and in some cases for members of staff families. This word shall be used in this research interchangeable with fringes benefits, employee benefits, welfare services, supplementary benefits and supplementary compensation.

SCHEME: This refers to a predetermined agreement of programmes events or development planned to accrue to a  given expected outcome.

REFERENCES

Armstrong. M. and Murus H. (1980);    A hand book of administration. London: Koran PCI Ltd P. 140

Dale Y. (1962):   Personnel Management and Industrial relations 5th edition Englewood P. 213.

Ozo, J. C. et al (1999): Introduction to project writing for Business and Financial studies. Enugu, Sunny Enterprise.