The impact of compensation and benefits system on perceived performance and commitment of managerial and non-managerial staff in a private high academic institution (AUB)

Abstract

The purpose of this quantitative study is to investigate the relationship between HRM practices tackling mainly, compensation scheme and benefits and perceived performance and commitment of managerial and non-managerial staff in a private higher educational institution in Lebanon. More specifically, this study aims at exploring the relationship of compensation and benefits system as one of the HRM practices on the employee performance and commitment of managerial and non-managerial staff at AUB. The most valuable assets of any institution is its employees, and if these employees are offered benefits and compensation packages, then it is likely that in return, they might work with full devotion and commitment which will result in great performance. The scarcity of studies on this topic in general and in particular in an educational institution pointed to a dire need for research. Managerial and non-managerial staff from different faculties and departments at AUB were randomly selected to participate in this quantitative study. The questionnaires that were administered in this study were based on the questionnaires developed by Meyer and Allen for organizational commitment measure and the Employee Performance Scale adapted from Wiedower, K.A. Data collection was done and results were analyzed using SPSS. Results obtained helped understand how compensation and benefit system in an educational institution affect its employees’ commitment and performance. Moreover, results might be of help to people in charge in the HR department to get insight of what employees’ value most in order to promote their performance and commitment to the institution.