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Abstract:

This study investigates the impact of financial and non-financial reward systems on employee satisfaction and job performance at Red Dragon Cheroot Co., Ltd., with a focus on how salary, KPI bonuses, recognition, career development opportunities, and working conditions influence employee motivation and productivity. Using both primary and secondary data, the study employed a sample size of 159 employees out of 268 full-time staff, selected through simple random sampling. Primary data were collected using structured questionnaires with a five-point Likert scale, while secondary data were sourced from journals, websites, research papers, and textbooks. Descriptive statistics and linear regression analysis were applied to analyze the data. The study found that financial rewards, particularly salary and KPI bonuses, significantly affect employee satisfaction, while career development opportunities and favorable working conditions are key drivers for non-financial satisfaction. However, recognition did not show a significant impact. Job satisfaction was positively correlated with improved job performance. The study suggests enhancing transparency in the reward system, improving recognition programs, providing more opportunities for career advancement and skill development, improve leadership and management practices and reinforce employee connection to company mission and goals. The limitations of the study include the sample size and the focus on a single company, which may limit the generalizability of the findings. Future research could explore these variables across different industries to provide a broader perspective.

Keywords: Employee Satisfaction, Job Performance, Financial Rewards, Non-Financial Rewards, Career Development Opportunities, KPI Bonus.

Author: MYAT MYINT THU