Effect of Performance-based Rewards on Secondary School Performance in West Lands Sub County of Nairobi County, Kenya.

Abstract

Performance-based reward is one of the reward systems that organisations use to channel employee motivation. Performance-based rewards dictate organizational employees to perform diligently the assigned tasks, as per the set standards, and the established workplace governing rules and regulations. Organisations use performance-based rewards to foster innovative behaviours in employees by inducing employee competence and commitment, which improves their creativity.Education systems takes control of three main performance-based reward models, which include merit pay, knowledge and skill-based compensation and school-based compensation. The study's objective was to determine the effect of performance-based rewards on school performance in the Westlands sub-county in Nairobi. The study was underpinned by Expectancy theory and Social exchange theory. To investigate the research problem, the study adopted “descriptive research design”. The study collected data from all the secondary schools in Westlands sub county. The study found out that monetary commission is the only merit pay practice that some secondary schools in Westlands sub county integrate to motivate their teachers for high performance. The study also established that base pay increase and promotion are the knowledge and skill-based compensation practices that some secondary schools use to motivate their teachers for higher school performance. The study also established that paid joint holiday trips and vacation and end-of-year parties and celebrations are the school-based performance practices that some secondary schools use to motivate teachers. Moreover, the study established that merit pay had a positive and insignificant effect on the school academic performance. Knowledge and Skills based compensation had a negative and significant effect on the secondary school’s academic performance, while school-based compensation had a positive and significant effect on the secondary school’s academic performance, The study recommends that secondary schools should consider integrating performance-based rewards strategies in their compensation structures as it motivates teachers thus improving their quality and efficiency a side from increasing students performance.