Beyond Incentives: Reconceptualizing Performance-Based Programs as Employee Well-Being Predictors of Productivity in Kenya's Hospitality Sector
DOI:
https://doi.org/10.53819/81018102t70113Abstract
Despite the widespread adoption of performance-based incentive schemes in Kenya's hospitality sector, employee productivity remains a concern, reflected in turnover, inconsistent service quality, and difficulties retaining skilled workers. This study reconceptualized performance-based incentive programs as a holistic employee well-being construct and examined its predictive relationship with employee productivity in top-tier restaurants in Nairobi County, Kenya. An explanatory cross-sectional design was adopted, and data were collected from 313 employees using structured questionnaires. Employee well-being programs comprised learning and development, recognition and appreciation, equitable compensation, and performance-based rewards. Data were analyzed using descriptive statistics, Pearson correlation, and simple linear regression. Employee well-being programs were strongly and positively associated with employee productivity (r = .834, β = .834, p < .001), and the regression model accounted for 69.6% of the observed variance in productivity (R² = .696). Learning and development recorded the highest descriptive mean (M = 3.92); however, the four dimensions were not modeled separately and therefore cannot be ranked as independent predictors from the reported analysis. The study concludes that integrated employee well-being programs are important strategic correlates of productivity in the hospitality industry and recommends that restaurant managers adopt multidimensional approaches to employee development, recognition, compensation, and performance rewards.
Keywords: Employee well-being programs, employee productivity, hospitality industry, performance-based incentives, top-tier restaurants, Nairobi, Kenya
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