Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya

Zachary Gachuru; Josphat Kwasira

doi:doi:10.11648/j.jim.20160506.15

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Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya

Zachary Gachuru, Josphat Kwasira

Published in Journal of Investment and Management (Volume 5, Issue 6)

Received: 25 August 2016 Accepted: 2 September 2016 Published: 18 October 2016

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Abstract

Competency based pay system is very crucial to all organizations and institutions; public and private. Competency-based pay system being offered in the public, which aims to produce capable workers who are responsive to customers' demands by providing quality services, one would expect that there would be improvement on productivity. Thus, this research assessed the use of competency based pay system in enhancing employee productivity in state corporations in Nakuru town. This is against the backdrop of a cry from members of the public regarding underperformance and wastage of tax in the county governments. In spite of exorbitant taxes that are being levied on Kenyans by their respective county governments, there is a deeply-seated feeling that the services rendered to them are below their expectations. The independent variables for the study were skill based pay, performance based pay and the level of employees training on employees productivity which is the dependent variable. It was guided by three theories which include resource based theory, agency theory, reinforcement theory. The study was conducted on 17 state corporations within Nakuru town. The study employed descriptive research design. The target population comprised of the 91 employees attached to human resource department and other heads of other departments of state corporations in Nakuru town. A structured questionnaire was used to collect primary data from the respondents. A pilot test was used to assess both reliability and validity of the research instrument. The collected data was analyzed by use of descriptive and inferential statistics, and with the aid of the statistical package for social sciences (SPSS) software. The study established that skill based pay, performance based pay and training all has significant influence on employee productivity.

Published in	Journal of Investment and Management (Volume 5, Issue 6)
DOI	10.11648/j.jim.20160506.15
Page(s)	122-129
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2016. Published by Science Publishing Group

Keywords

Competency Based Pay System, Employees Productivity, State Corporations

References

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APA Style

Zachary Gachuru, Josphat Kwasira. (2016). Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya. Journal of Investment and Management, 5(6), 122-129. https://doi.org/10.11648/j.jim.20160506.15

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Zachary Gachuru; Josphat Kwasira. Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya. J. Invest. Manag. 2016, 5(6), 122-129. doi: 10.11648/j.jim.20160506.15

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AMA Style

Zachary Gachuru, Josphat Kwasira. Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya. J Invest Manag. 2016;5(6):122-129. doi: 10.11648/j.jim.20160506.15

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@article{10.11648/j.jim.20160506.15,
  author = {Zachary Gachuru and Josphat Kwasira},
  title = {Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya},
  journal = {Journal of Investment and Management},
  volume = {5},
  number = {6},
  pages = {122-129},
  doi = {10.11648/j.jim.20160506.15},
  url = {https://doi.org/10.11648/j.jim.20160506.15},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jim.20160506.15},
  abstract = {Competency based pay system is very crucial to all organizations and institutions; public and private. Competency-based pay system being offered in the public, which aims to produce capable workers who are responsive to customers' demands by providing quality services, one would expect that there would be improvement on productivity. Thus, this research assessed the use of competency based pay system in enhancing employee productivity in state corporations in Nakuru town. This is against the backdrop of a cry from members of the public regarding underperformance and wastage of tax in the county governments. In spite of exorbitant taxes that are being levied on Kenyans by their respective county governments, there is a deeply-seated feeling that the services rendered to them are below their expectations. The independent variables for the study were skill based pay, performance based pay and the level of employees training on employees productivity which is the dependent variable. It was guided by three theories which include resource based theory, agency theory, reinforcement theory. The study was conducted on 17 state corporations within Nakuru town. The study employed descriptive research design. The target population comprised of the 91 employees attached to human resource department and other heads of other departments of state corporations in Nakuru town. A structured questionnaire was used to collect primary data from the respondents. A pilot test was used to assess both reliability and validity of the research instrument. The collected data was analyzed by use of descriptive and inferential statistics, and with the aid of the statistical package for social sciences (SPSS) software. The study established that skill based pay, performance based pay and training all has significant influence on employee productivity.},
 year = {2016}
}

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TY  - JOUR
T1  - Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya
AU  - Zachary Gachuru
AU  - Josphat Kwasira
Y1  - 2016/10/18
PY  - 2016
N1  - https://doi.org/10.11648/j.jim.20160506.15
DO  - 10.11648/j.jim.20160506.15
T2  - Journal of Investment and Management
JF  - Journal of Investment and Management
JO  - Journal of Investment and Management
SP  - 122
EP  - 129
PB  - Science Publishing Group
SN  - 2328-7721
UR  - https://doi.org/10.11648/j.jim.20160506.15
AB  - Competency based pay system is very crucial to all organizations and institutions; public and private. Competency-based pay system being offered in the public, which aims to produce capable workers who are responsive to customers' demands by providing quality services, one would expect that there would be improvement on productivity. Thus, this research assessed the use of competency based pay system in enhancing employee productivity in state corporations in Nakuru town. This is against the backdrop of a cry from members of the public regarding underperformance and wastage of tax in the county governments. In spite of exorbitant taxes that are being levied on Kenyans by their respective county governments, there is a deeply-seated feeling that the services rendered to them are below their expectations. The independent variables for the study were skill based pay, performance based pay and the level of employees training on employees productivity which is the dependent variable. It was guided by three theories which include resource based theory, agency theory, reinforcement theory. The study was conducted on 17 state corporations within Nakuru town. The study employed descriptive research design. The target population comprised of the 91 employees attached to human resource department and other heads of other departments of state corporations in Nakuru town. A structured questionnaire was used to collect primary data from the respondents. A pilot test was used to assess both reliability and validity of the research instrument. The collected data was analyzed by use of descriptive and inferential statistics, and with the aid of the statistical package for social sciences (SPSS) software. The study established that skill based pay, performance based pay and training all has significant influence on employee productivity.
VL  - 5
IS  - 6
ER  -

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Author Information

Zachary Gachuru

College of Human Resource Development, Jomo Kenyatta University of Agriculture and Technology, Nakuru, Kenya
Josphat Kwasira

College of Human Resource Development, Jomo Kenyatta University of Agriculture and Technology, Nakuru, Kenya

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APA Style

Zachary Gachuru, Josphat Kwasira. (2016). Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya. Journal of Investment and Management, 5(6), 122-129. https://doi.org/10.11648/j.jim.20160506.15

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ACS Style

Zachary Gachuru; Josphat Kwasira. Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya. J. Invest. Manag. 2016, 5(6), 122-129. doi: 10.11648/j.jim.20160506.15

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AMA Style

Zachary Gachuru, Josphat Kwasira. Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya. J Invest Manag. 2016;5(6):122-129. doi: 10.11648/j.jim.20160506.15

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@article{10.11648/j.jim.20160506.15,
  author = {Zachary Gachuru and Josphat Kwasira},
  title = {Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya},
  journal = {Journal of Investment and Management},
  volume = {5},
  number = {6},
  pages = {122-129},
  doi = {10.11648/j.jim.20160506.15},
  url = {https://doi.org/10.11648/j.jim.20160506.15},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jim.20160506.15},
  abstract = {Competency based pay system is very crucial to all organizations and institutions; public and private. Competency-based pay system being offered in the public, which aims to produce capable workers who are responsive to customers' demands by providing quality services, one would expect that there would be improvement on productivity. Thus, this research assessed the use of competency based pay system in enhancing employee productivity in state corporations in Nakuru town. This is against the backdrop of a cry from members of the public regarding underperformance and wastage of tax in the county governments. In spite of exorbitant taxes that are being levied on Kenyans by their respective county governments, there is a deeply-seated feeling that the services rendered to them are below their expectations. The independent variables for the study were skill based pay, performance based pay and the level of employees training on employees productivity which is the dependent variable. It was guided by three theories which include resource based theory, agency theory, reinforcement theory. The study was conducted on 17 state corporations within Nakuru town. The study employed descriptive research design. The target population comprised of the 91 employees attached to human resource department and other heads of other departments of state corporations in Nakuru town. A structured questionnaire was used to collect primary data from the respondents. A pilot test was used to assess both reliability and validity of the research instrument. The collected data was analyzed by use of descriptive and inferential statistics, and with the aid of the statistical package for social sciences (SPSS) software. The study established that skill based pay, performance based pay and training all has significant influence on employee productivity.},
 year = {2016}
}

Copy | Download

TY  - JOUR
T1  - Assessment of Use of Competency Based Pay System in Enhancing Employees Productivity in State Corporations in Nakuru Town, Kenya
AU  - Zachary Gachuru
AU  - Josphat Kwasira
Y1  - 2016/10/18
PY  - 2016
N1  - https://doi.org/10.11648/j.jim.20160506.15
DO  - 10.11648/j.jim.20160506.15
T2  - Journal of Investment and Management
JF  - Journal of Investment and Management
JO  - Journal of Investment and Management
SP  - 122
EP  - 129
PB  - Science Publishing Group
SN  - 2328-7721
UR  - https://doi.org/10.11648/j.jim.20160506.15
AB  - Competency based pay system is very crucial to all organizations and institutions; public and private. Competency-based pay system being offered in the public, which aims to produce capable workers who are responsive to customers' demands by providing quality services, one would expect that there would be improvement on productivity. Thus, this research assessed the use of competency based pay system in enhancing employee productivity in state corporations in Nakuru town. This is against the backdrop of a cry from members of the public regarding underperformance and wastage of tax in the county governments. In spite of exorbitant taxes that are being levied on Kenyans by their respective county governments, there is a deeply-seated feeling that the services rendered to them are below their expectations. The independent variables for the study were skill based pay, performance based pay and the level of employees training on employees productivity which is the dependent variable. It was guided by three theories which include resource based theory, agency theory, reinforcement theory. The study was conducted on 17 state corporations within Nakuru town. The study employed descriptive research design. The target population comprised of the 91 employees attached to human resource department and other heads of other departments of state corporations in Nakuru town. A structured questionnaire was used to collect primary data from the respondents. A pilot test was used to assess both reliability and validity of the research instrument. The collected data was analyzed by use of descriptive and inferential statistics, and with the aid of the statistical package for social sciences (SPSS) software. The study established that skill based pay, performance based pay and training all has significant influence on employee productivity.
VL  - 5
IS  - 6
ER  -

Copy | Download