Impact of Rewards on Machine Operator Motivation in Apparel Industry in Kurunegala District

Abstract

As comparison to other sectors, turnover levels in the apparel industry in Sri Lanka is large at 40 percent. Although numerous factors motivate specific individuals; it is an important prerequisite to figure out what motivates workers. This research intends to study the influence of the reward on the motivation of employees in relation to apparel machine operators with the objectives of identifying reward strategies, the impact of each reward strategy and the award strategy that employees believe is the most inspiring. The variables under consideration were the employee motivation as the dependent variable and extrinsic rewards and intrinsic rewards as the independent variables. The data were collected using a questionnaire from 100 production level machine operators using random sampling method. For analysis, linear regression model, correlation analysis, and descriptive analysis were used. To achieve the first objective of research six rewards strategies were identified as most likely to impact on motivation of the employees through reviewing the previous research works. Namely salary, promotion and bonus as the extrinsic reward strategies and career development, responsibility, appreciation and recognition as the intrinsic reward strategies. All the six reward strategies depicted a significant positive relationship with employee motivation contributing for the second objective of the study. As per the third objective of the research it was identified that reward strategies like salary, promotion, and bonus have the most influencing effect on the employee motivation. Further this study suggests assessing the job satisfaction of employees on regular basis and practice performance-based bonus system while conducting training and development programs to improve employee commitment and loyalty to the company.