Compensation Systems and Employee Turnover in Lifebridge Diagnostic Centre Ltd, Abuja

• Post by: airjournal
• August 7, 2022
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The study examined the effect of compensation systems on employee turnover in LifeBridge Diagnostic Centre Ltd, Abuja. The specific objectives include: examining the relationship between the direct financial compensation system (salaries, bonuses, and promotion), examining the relationship between the indirect financial compensation system (Medical insurance, Retirement plan, and Profit Sharing), and examine the relationship between the non-financial compensation system (Appreciation and recognition, Working conditions, and Job enrichment) and employee turnover in LifeBridge Diagnostic Centre Ltd Abuja. Structured questionnaires were used to derive the data and it was analyzed using non-parametric statistical tools. The result revealed that there was a significant relationship between the direct financial compensation system (salaries, bonuses, and promotion) on the employee turnover at (X2 = 25.00 at a 5% significant level), there was a significant relationship between the indirect financial compensation system on the employee turnover at (X2 = 17.42 at 5% significant levels and there was a significant relationship between the non-financial compensation system and employee turnover at (X2 = 12.82a at 5% significant level). The study concludes that direct financial compensation, indirect financial compensation, and non-financial compensation are the tools that management can use to motivate employees in order for them to remain with the company. We recommended that there is a need to resolve the issues about pay disparity, parity, and relativity in the remuneration of Nigerian healthcare workers that will encourage retention and help mitigate the brain drain of healthcare professionals.

Keywords: Compensation Systems; Employee Turnover; Abuja

Authorship: Eze, F. O., Okechukwu, E. U., and Okey, N. M. | FULL  PDF