The impact of incentive schemes on employee productivity in the South African workplace

Abstract

The aim of this article is to determine the impact that various incentive schemes have on employee productivity in the South African workplace. A firm-based model is used to estimate the dimensional relationships (different skill levels, gender-mix, firm size, firm-sponsored training incentives) of the incentive scheme-employee productivity link. The main conclusions of the study are, firstly, that finance-based incentive schemes (especially performance-linked bonus schemes) have a greater positive impact on employee productivity for the higher-skilled segment, secondly, that non-financial incentives (especially consultative committee incentive schemes) have a greater positive impact on employee productivity for the lower-skilled segment, and, finally, that greater female participation in the workplace and the awarding of incentive schemes is important if general employee productivity is to be enhanced.

The impact of non-unionised participation platforms on employee productivity in the South African workplace

“…The article forms part of the ongoing general debate on employee productivity in the South African workplace. Motivation for this particular study emanates largely from the published results of the Van Zyl (2013) paper that deals with the age-skill employee productivity debate and the Van Zyl (2015) paper that deals with incentive-based employee productivity gains. Both these papers conclude that low employee productivity levels are prevalent in the relatively unionised lowerskilled employee segment of the South African workplace.…”

“…Both these papers conclude that low employee productivity levels are prevalent in the relatively unionised lowerskilled employee segment of the South African workplace. Of particular interest for this study are the results of the Van Zyl (2015) paper in which it is concluded that the non-financial incentivebased (such as employee participation platforms, flexible job design and job rotation) productivity gains in the more unionised lower-skilled employee segment are relatively small compared to the higher-skilled segment. Based on the empirical results of both the Van Zyl (2013) and Van Zyl (2015) papers this particular article focusses specifically on the employee productivity impact of the non-financial employee participation dimension of the lower-skilled non-unionised employee segment.…”

Pengaruh Kompensasi Langsung Dan Tidak Langsung Terhadap Produktivitas Kerja Karyawan Hotel Bintang Lima Di Kawasan Badung Bali

“…Kompensasi ini biasanya berupa tunjangan-tunjangan dan fasilitas-fasilitas (Zulkarnaen & Herlina, 2018). Berdasarkan hasil dari penelitian terdahulu menunjukan bahwa terdapat pengaruh signifikan positif antara kompensasi dengan produktivitas kerja (Yamoah, 2013;Kelechi et al, 2016;Van Zyl, 2015;Ahiabor, 2013).…”

The impact of employee remuneration inequalities on employee productivity in the South African workplace

“…Research thus far has covered various aspects of firm-based employee productivity. These are, (1) remuneration dispersion (Van Zyl 2010), (2) different age-skill categories (Van Zyl 2013a), (3) qualifications and training levels (Van Zyl 2013b), (4) employee diversity (Van Zyl 2014), (5) incentive schemes (Van Zyl 2015), ( 6) non-unionised participation platforms (Van Zyl 2016), ( 7) in-house training (Van Zyl 2017), ( 8) employee migration to smaller firms (Van Zyl 2019) and ( 9) the implementation of new technology (Van Zyl 2020).…”