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Rewards and recognition on employee motivation and employee performance: a study of a manufacturing company in Malaysia

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  • Ai Joo Chan
  • Lai Wan Hooi

Abstract

This research examines the mediating process through which rewards and recognition are linked to employee performance. Survey results from 100 employees in a Malaysian manufacturing company reveal that rewards and recognition significantly influence employee motivation, but not employee performance, and employee motivation significantly affects employee performance. Employee motivation fully mediates the rewards-employee performance relationship but not the recognition-employee performance relationship. Prioritising rewards over recognition may be more effective in driving employee performance during an economic setback. The findings enrich the literature on how rewards and recognition and employee motivation interplay towards employee performance.

Suggested Citation

  • Ai Joo Chan & Lai Wan Hooi, 2023. "Rewards and recognition on employee motivation and employee performance: a study of a manufacturing company in Malaysia," International Journal of Management Practice, Inderscience Enterprises Ltd, vol. 16(3), pages 267-283.
    • Handle: RePEc:ids:ijmpra:v:16:y:2023:i:3:p:267-283
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