Reward Management and Employee Commitment in Financial Institutions in Uganda: A Case of Postbank Uganda Limited, Loan Department in Northern Uganda

Abstract

This study examined the effect of reward management on the commitment of employees in Postbank Uganda Limited. Specifically, the study looked at the effect of career development, employee benefit and bonus pay on the commitment of employees in Postbank Uganda Limited loans department. Using a sample of 85 staff drawn from a population of 114 staff of Postbank Uganda Limited, the study attempts to achieve the objective of assessing the effect of reward management on employee commitment In financial institutions in Uganda. The study adopted a cross-sectional survey design and employed quantitative approach. The data collected was tested for validity and reliability and analyzed using SPSS Version 23 in form of descriptive statistics, correlations and regressions. The findings of the study revealed firstly, that career development had a positive significant effect (Adjusted R Square = 34.4%, p < 0.01) on employee commitment in Postbank Uganda Limited. Secondly, employee benefit had a positive significant effect (Adjusted R Square = 27.3%, p > 0.01) on commitment in Postbank Uganda Limited. Thirdly, the examination of the effect of bonus pays on employee commitment in Postbank Uganda Limited revealed a positive and statistically significant effect (Adjusted R Square = 37.4%, p < 0.01). Based on the findings of this study, it is recommended that Post Bank Limited should adopt reward management practices in order to enhance their level of employee commitment. Keywords: Reward Management, Employee Commitment, Financial Institutions, Postbank Uganda Limited DOI: 10.7176/EJBM/15-17-08 Publication date: October 31 st 2023