ROLE OF NON-MONETARY INCENTIVES IN STRENGTHENING EMPLOYEES COMMITMENT IN XYZ COMPANY

Abstract

The purpose of conducting research on the role of non-monetary incentives in strengthening employee commitment is to understand the effectiveness of various non-financial rewards and incentives in fostering greater dedication, motivation, and loyalty among employees.   This research aims to identify and evaluate the impact of non-monetary incentives, such as recognition, training opportunities, flexible work arrangements, and a supportive work environment, on employee engagement and commitment within a specific context, such as the service industry.   By gaining insights into these factors, organizations can develop strategies to enhance employee satisfaction, productivity, and retention, ultimately leading to improved organizational performance. The collected data will be analyzed using a descriptive method to identify the role of non-monetary incentives in strengthening employee commitment. The findings will provide insights for the researchers to formulate recommendations based on the data.   Furthermore, the results will serve as a basis for developing recommendations, emphasizing that providing recognition and appreciation to employees for their achievements can significantly increase their level of dedication.   The researchers utilized survey questionnaires as an instrument to gather data and selected the sample based on a systematic interval among respondents within a defined population, employing a systematic random sampling technique. The statement of the problem was derived from the theoretical framework. The study's findings reveal that the majority of respondents at XYZ Company fall within the age range of 26–30 years old, with females comprising the larger portion of the workforce. In terms of tenure, employees with 1–3 years of service are the most prevalent, followed by those with 4–6 years, 7–10 years, and less than 1 year. Regarding non-monetary incentives, there is strong agreement among employees on the importance of recognition, development opportunities, open communication, and career advancement in strengthening their commitment. However, despite encountering issues such as lack of variety, favoritism, and delays, these problems do not significantly impact the effectiveness of non-monetary incentives in enhancing employee dedication.   As a recommendation, the company should continue to prioritize and enhance these non-monetary incentives to further bolster employee engagement and commitment.