Abstract:
The study provides an extensive review of the impact of various reward mechanisms on
employee performance at People's Insurance PLC. Its primary objective is to assess how
different components of the reward system such as monetary incentives, recognition
programs, and opportunities for career advancement affect employee performance within
the organization. The study uses a cross-sectional approach to collect data in the third
quarter of 2024, focusing on all 568 employee-level workers at Peoples Insurance PLC
in Sri Lanka. Random sampling ensures an unbiased representation, with a calculated
sample size of 61 employees selected at a 90% confidence level using purposive
sampling techniques. The findings indicate statistically significant positive correlations
between various elements of the reward system and employee performance. Salaries,
bonuses, and incentives exhibited strong positive correlations, accounting for a
considerable portion of the variance in performance outcomes. Recognition initiatives
and flexible work arrangements were also found to positively influence performance,
albeit to a lesser extent. The study finds that a comprehensive reward system, which
includes competitive remuneration, bonuses, incentives, recognition, flexible work
arrangements, and healthcare benefits, can significantly enhance employee
performance and productivity. It explores theoretical and practical implications,
underscoring the importance of monetary and non-monetary rewards in employee ...
