Reward System Management and Employees Productivity in Hospitality Industry in Lagos State, Nigeria

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Abstract

Employee productivity is a variable that has been researched over time. However, researchers have not 
agreed upon factors that really influence the variable. This study investigated the effect of a reward 
management system on employee productivity in the hospitality industry in Lagos State, Nigeria. The 
population consisted of all the staff members of one hundred and three (103) hotels registered under 
booking.com as hotels in Lagos State. The Yamane formula was used at 0.05 level of significance to 
arrive at a sample size of 82 hotels. The study used purposive sampling, considering the availability of 
the respondents to select by cadre (stratum), four respondents per hotel, resulting in 328 employees. The 
research instrument used was a questionnaire. Data were analysed using descriptive and regression 
statistics tools. The results showed that Reward System ((â =.106, t = 2.843, P<.05), (r = 0.685)) has a 
relative influence and significant relationship with employee productivity. The study also showed that 
one of the characteristics of the hospitality industry in the study area is the competitive salary paid to 
workers and timely promotion enjoyed by the staff members. At the same time, the most popular and 
highly favoured forms of reward system constituted of salary and bonus packages. The study concluded 
that reward management practices enhanced the productivity of employees. The study recommended 
that entrepreneurial organisations should make reward management systems essential for improved 
employee productivity/performance.