The Impact of Employees' Performance on Organisational Productivity: A Case Study of Unilever Brothers Nig. Plc

Abstract

In today's increasingly competitive global environment, effective compensation management has emerged as a strategic imperative for attracting, motivating, and retaining talent. This study investigates the relationship between compensation practices and employee performance at Unilever Nigeria Plc, a leading multinational operating in Nigeria's fast-moving consumer goods sector. Drawing on both primary and secondary data, the research explores how employees perceive financial and non-financial incentives and how these perceptions affect motivation, job satisfaction, and productivity. A structured questionnaire was administered to 40 respondents selected via convenience sampling, supplemented by interviews with HR personnel. The findings, supported by descriptive statistics and chi-square analysis, reveal a statistically significant association between compensation and employee motivation. Notably, 62.5% of participants agreed that their current compensation influences their productivity, while 65% valued non-financial rewards such as recognition and development opportunities. However, weaker perceptions of fairness in performance-linked rewards and appraisal transparency indicate areas for strategic improvement. The study underscores the importance of integrating financial and intrinsic motivators into a coherent, equitable compensation system that supports employee engagement and organisational effectiveness. Practical recommendations are offered to align reward strategies with employee expectations, reinforce trust, and foster sustainable performance in the Nigerian business context.