Journal of Economic, Finance Research and Review (JEFRR)

Organisational Rewards Systems and Employees' Performance in Deposit Money Banks (DMBs) in Southwest, Nigeria

Olamigoke, OJATUWASE, Onyekachi (Ph.D), Enyioko Chilaka, O. (Prof.), Faloye Dotun., Olubamiji (Prof.), Fakokunde, Tolutope

23 March 2026 · Vol. 2, Issue 3, pp. 159-170

DOI: 10.65150/EP-jefrr/V2E3/2026-03

Abstract

This study investigates the influence of organizational reward systems on employees’ performance in Deposit Money Banks (DMBs) in Southwest Nigeria. Recognizing employees as critical assets, the research explores how both non-financial rewards such as recognition, promotion, job security, flexible work arrangements, and training and total reward systems integrating financial and non-financial incentives impact motivation, commitment, and productivity. Employing a descriptive survey design, primary data were collected from 372 employees across sixteen DMBs in Lagos, Oyo, and Ondo States, using a structured questionnaire validated with a Cronbach’s alpha of 0.87. Descriptive statistics revealed generally positive perceptions of recognition (M = 3.52), promotion (M = 3.47), flexible work arrangements (M = 3.50), and training (M = 3.63), while job security (M = 3.02) was perceived less favorably. Regression analysis indicated that non-financial rewards collectively explained 6% of variance in performance (Adjusted R² = 0.060, F(5,318) = 5.106, p < 0.001), with flexible work arrangements positively influencing performance (β = 0.120, p < 0.05), whereas promotion and job security had negative effects. Moderation analysis further demonstrated that employee characteristics significantly strengthen the relationship between rewards and performance (interaction Coeff. = 0.062, t = 2.214, p < 0.05). The findings underscore that effective reward systems particularly those integrating financial and intrinsic motivators enhance employee engagement, performance, and organizational outcomes. The study recommends strengthening non-financial programs, promoting transparency, aligning rewards with organizational objectives, leveraging technology, and periodically reviewing policies to sustain motivation and productivity in the competitive Nigerian banking sector.

Keywords: Organizational rewards, Employee performance, Non-financial incentives, Total rewards, Deposit Money Banks

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Olamigoke, OJATUWASE, Onyekachi (Ph.D), Enyioko Chilaka, O. (Prof.), Faloye Dotun., Olubamiji (Prof.), Fakokunde, & Tolutope (2026). Organisational Rewards Systems and Employees' Performance in Deposit Money Banks (DMBs) in Southwest, Nigeria. Journal of Economic, Finance Research and Review, 2(3), 159-170. https://doi.org/10.65150/EP-jefrr/V2E3/2026-03

@article{Olamigoke2026,
  title   = {Organisational Rewards Systems and Employees' Performance in Deposit Money Banks (DMBs) in Southwest, Nigeria},
  author  = {Olamigoke and OJATUWASE and Onyekachi (Ph.D) and Enyioko Chilaka and O. (Prof.) and Faloye Dotun. and Olubamiji (Prof.) and Fakokunde and Tolutope},
  journal = {Journal of Economic, Finance Research and Review},
  year    = {2026},
  volume  = {2},
  number  = {3},
  pages   = {159-170},
  doi     = {10.65150/EP-jefrr/V2E3/2026-03},
  url     = {https://doi.org/10.65150/EP-jefrr/V2E3/2026-03}
}

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