INCENTIVES AND WORKERS PERFORMANCE: A STUDY OF NESTLÉ NIGERIA COMPANY, PORT HARCOURT

Abstract

This study investigates the relationship between incentives and employee performance at Nestlé
Nigeria Company in Port Harcourt, Rivers State. The research aims to determine how both financial
and non-financial incentives contribute to enhancing employee motivation, productivity, and
overall organizational performance. Guided by theories such as Vroom’s Expectancy Theory,
Herzberg’s Two-Factor Theory, and the Equity Theory, the study adopts a descriptive-correlational
design using a mixed-methods approach. Data were collected from 250 Nestlé employees across
various departments through structured questionnaires and semi-structured interviews.
Quantitative data were analyzed using descriptive statistics, Pearson correlation, and multiple
regression, while qualitative responses were subjected to thematic analysis. The results reveal
that financial incentives—such as salary increments, bonuses, and allowances—have a significant
positive effect on employee performance. Non-financial incentives—such as recognition, career
advancement opportunities, training, and a supportive work environment also positively influence
job satisfaction and long-term commitment. The study further finds that a combination of both
financial and non-financial incentives yields the highest performance outcomes. Key challenges
identified include perceived inequities in reward distribution and limited communication about
incentive policies. The research concludes that Nestlé Nigeria can enhance workforce performance
and reduce turnover by strengthening transparent and equitable incentive structures