Middle-East Journal of Scientific Research 21 (9): 1533-1540, 2014

ISSN 1990-9233
IDOSI Publications, 2014
DOI: 10.5829/idosi.mejsr.2014.21.09.21720

Exploring Relationship among Rewards, Recognition and Employees

Job Satisfaction: A Descriptive Study on Libraries in Pakistan
Asma Imran, Sajjad Ahmad, Qasim Ali Nisar and Umair Ahmad
COMSATS Institute of Information Technology, Lahore, Pakistan
Abstract: In todays competitive environment organizations striving to attain competitive advantage by
applying different strategic tools. Due to extensive competitive pressure organizations are trying to gain
competitive edge by using employees skills, abilities and expertise. To make the proper utilization of
employees services firms offer different incentives, rewards and recognition programs. Satisfied employees
become more committed, dedicated and loyal with their firms as compared to others employees. The core
objective of current study is to exploring relationship among rewards, recognition and job satisfaction in
employees of libraries. Questionnaire method adopted to collect the responses. Data collected by using the
simple random sampling technique. After applying different statistical tools results indicated that rewards and
recognition positively related with employees job satisfaction. Positive correlation exists between reward,
recognition and employees job satisfaction. This study provide insight understanding that how organizations
can motivate employees by introducing effective rewards and recognition programs.
Key words: Rewards

Recognition

Job Satisfaction

INTRODUCTION
Due to intensive competitive environment,
organizations have to work very hard to boost up the
products, services, internal & external operations and
performance of business. Organizations keen focus is to
attain the desired goals in effective and efficient manner.
Competition among businesses breaks the organizations
to reach their goals and objectives. To achieve desired
goals and objectives motivation is a good tactic.
Motivated employees produce quality work and
accomplish their work with great courage and
commitment. So motivation is a momentous factor for
making development and progress of a business. In this
era of globalization, organizations are trying to improve
processes by adopting different tools and techniques.
Different resources of organizations support to develop
these processes. Human resource is the most important
resource for organizations. Organizations hire competent
workforce to compete in global environment and to
achieve their goals and objectives. To retain workforce
into organizations, they have to offer better working
environment, job security, empowerment and market
based salaries. Top management of organization tries to

Libraries
equilibrium the relationship between the organization and
employees by fulfilling the needs of both the parties.
Expectations from organizational point of view are to
follow rules, regulations and policies and in return
employees expectations are better working conditions
and fair pay.
Rewards are focal device to improve motivation
among employees. No organization can imagine reaching
its objectives without its motivated employees. Motivated
employees are more refreshed and devoted in achieving
organizational objectives as compared to those employees
who are less motivated. There are two types of rewards;
financial and non-financial rewards. Financial rewards
include performance bonus, commission, tips and gifts.
Non-financial rewards include recognition, praise and
appreciation. Recognition is one of the strong motivation
factors. Employees feel comfortable when they are praised
and recognized. Recognition of an employee enriches his
or her energies towards accomplishment of organizational
goals and objectives. It must be consistent and given on
regular basis. There are two forms of recognition; informal
and formal. Job satisfaction is a mixture of opinions and
feeling of personnel about their existing job. Level of job
satisfaction of employees can be ranged from extreme

Corresponding Author: Asthma Imran, COMSATS Institute of Information Technology, Lahore, Pakistan .

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satisfaction to extreme dissatisfaction level. Organizations

are facing several challenges; the most imperative is the
welfare of employees. Employees devote most of their
time within organization but they are not quietly gratified.
Satisfaction is not only significant for employees comfort
but also for the improvement of organizations
performance.
First segment is about introduction of the topic
which we have already described, second segment deals
with literature review. Hypothesis and framework is
developed in third segment. Methodology study is
described in forth segment, which explain sampling and
scaling tools and techniques, data collection
methodology and measurement methods. Segment five
explains the hypothesis testing by applying different
statistical tools. The six and seven segments enlighten the
description of findings, conclusion, limitations and
recommendations for future research.
Literature Review :
Rewards and Recognition: Ali and Akram [1] examined
the impact of rewards and motivation on satisfaction.
The result indicated that there is significant positive
relationship between rewards, motivation and satisfaction
of pharmaceutical industrys employees. Employees play
crucial rule in the success of business so their motivation
through rewards and recognition is necessary, similarly
Ali and Ahmad [2] checked the impact of rewards and
recognition programs on employees motivation and
satisfaction. This study suggested that there is positive
relation of rewards and recognition on job satisfaction. In
order to fulfill needs of both the organization and the
employees, the top management must develop a good
relationship between them. According to Victoria Okojie
[3] the study was ranked the twenty factors that influence
the reward policy of National Library of Nigeria and also
examine the reward policy of the library. The results
showed that in library, employees are motivated through
job security, salary and interesting work respectively.
Sometimes Tangible incentives to employees are more
important to achieve desired results and stated goals for
an organization. Further Jehanzebet al.[4] noted the
impact of rewards and motivation on job satisfaction in
both the public and private banks of Saudi Arabia. The
results indicated that rewards and motivation have
positive relationship with job satisfaction. The employees
of the banks are motivated through financial rewards than
other kinds of rewards. Incentives, rewards and
recognition are the most important factors of motivation.
In developing countries, employees prefer financial

benefits rather than non-financial benefits. Similarly,

Arokiasamyet al. [5] investigated the effect of rewards
system and motivation on job satisfaction, evidence from
education industry in Malaysia. The results indicated that
there is positive relationship between rewards and
motivation with job satisfaction. In order to enhance the
satisfaction among employees organizations have to use
different tools like rewards.
In performance and growth of organization, rewards
to employees play an important role. Further Rafiq et al.
[6] implied the impact of extrinsic and intrinsic rewards on
job satisfaction in employees of call centers of telecom
organizations in Pakistan. Results indicated that rewards
have positive relation with job satisfaction. Employees
prefer extrinsic rewards rather than intrinsic rewards.
Satisfaction through motivational factors is not only for
the wellbeing of the employee but it also for the better
performance of the organization. Employee performance
plays crucial role in organizations performance. Further
Bari et al. [7] noted the impact of non-financial rewards on
employee attitude and performance in work place in the
business institute of Karachi. The results indicated
non-financial rewards have positive impact on employee
attitude and performance of employee. Higher
performances of employees depend upon the rewards
system of the organization. The attitude of employees has
also great impact on business. Reward is important factor
in motiving employees. Similarly, Aktaret al. [8] examined
the impact of rewards on employee motivation as well as
identified that relationship between extrinsic and intrinsic
rewards. The results indicated that all the independent
variables have positive relationship with dependent
variable. Some employees want to acquire pay and
bonuses while other are motivated with empowerment and
recognition. Employee satisfies and gives more work
when he/she feel that his/her efforts will be awarded by
management. To gain competitive advantage, human
assets are most important for an organization. Similarly,
Hafiza et al. [9] examined the relationship between
rewards and employees motivation in non-profit
organizations working in Khyber Pakhtonkhuwa province
of Pakistan. The result indicated that extrinsic rewards
have direct relationship with motivation and intrinsic
rewards have indirect relationship with motivation.
Acquiring right workforce and then train that workforce is
very crucial in todays business world. Pay and fringe
benefits are more powerful factor of motivation but
appreciation, recognition and empowerment are weak
effect on motivation. Human resource is most important
resource for an organization among all resources. In

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addition, A.S et al. [10] noted the effect of rewards on

employee performance in selected manufacturing
companies of Ibadan, Oyo State, Nigeria. The result
depicted positive relationship between rewards and
employee performance. Employees are encouraged and
work harder when they get appreciation and financial
rewards from their employer. Furthermore Khalid et al. [11]
identified the effect of rewards and motivation on job
satisfaction between public and private water utility
organization in Malaysia. The result showed that rewards
and motivation has positive relation with job satisfaction.
There are many factors influence job satisfaction other
than the amount of pay. Job satisfaction depends upon
the fair and good rewards system of the organization.
An organization has many resources but the most
important resource for an organization is human resource
Danish and Usman [12] investigated the impact of rewards
and recognition on job satisfaction. The results show that
there is positive relationship between rewards,
recognition and job satisfaction..
Motivation
to
employee is very crucial for the better performance of
an organization. To retain efficient and experience
workforce organization offers different kinds of rewards.
Motivated workforce work help organization to gain
competitive advantages profitable situation. To motivate
employee, organizations have different types of rewards
systems, rewards can be in form of financial and
non-financial. As Fatima & Naqvi [13] proposed the
impact of group based rewards on employees
perceptions in Pakistani organizations. The results of
the study indicated that group based rewards have
significant impact on employees perception.
Job Satisfaction: Employees are motivated when they
are willing to perform particular task or job. Ahmad et al.
[14] analyzed the effects of motivational factors on job
satisfaction in context of non-academic staff of Punjab
University. This study concluded that intrinsic
motivational factors have significant effect on job
satisfaction and extrinsic motivational factors have
insignificant relationship with job satisfaction. Employees
of treasury department are more satisfied than employees
of examination and students registration department.
Female employees are more satisfied than male employees.
Human resource is most important asset for an
organization. If employees are neglected they cant
perform well. Further, Saleem et al.[15] investigated the
impact of work motivation on job satisfaction in
telecommunication industry of Pakistan. The result
showed that there is significant effect of work motivation
on job satisfaction. Under stress the person feels that he
will not be paid according to his or her efforts. As

Mansoor et al. [16] noted relationship between job stress

and job satisfaction. Job stress has been measured by
work load, role conflict and physical environment. This
study showed that job stress has negative impact on job
satisfaction it means that if employees are more stressed
than they are less satisfied. Employees are the assets for
an organization. When organization motivates employees
through empowerment, they produce unexpected results.
Similarly, Hunja et al. [17] noted the relationship between
employees empowerment and job satisfaction in Pakistan
service industry. Results showed that there is significant
and
positive
relationship
between
employee
empowerment and job satisfaction. For the growth of an
organization, empowerment is extraordinary factor.
Empowerment creates a spirit of encouragement and
quality of in performing job responsibilities in employees.
Organizations need to formulate its rules, regulations and
procedures that provide opportunity to employee to work
well and get rewards and appreciation. Furthermore,
Manzoor [18] proposed the relationship between
motivation and organizational effectiveness and
employees motivation. This study examined that there is
positive relation of empowerment and recognition on
employee motivation and positive relation of motivation
on organizational effectiveness. The motivated employees
work well to achieve organizational stated goals which
lead them to achieve prosperity, growth and productivity.
Organization needs to formulate policies and structure in
such a way that help employee recognition and
empowerment. Many motivational factors play important
role in improving job satisfaction of employee that lead
towards organizational performance. Furthermore,
Chaudhary [19] summed up the impact of employee
motivation on job satisfaction and organizational
performance. The study showed the positive relation of
employee motivation on job satisfaction and
organizational performance. Motivated employee is a
valuable asset for an organization. Satisfied employees
have positive attitude towards organization and their jobs.
Satisfaction increases the quality and quantity of
employees performance. As Pushpakumari [20] described
the impact of job satisfaction on performance. The study
indicated that there is significant impact of job
satisfaction on performance of employees in private
sector organizations. If employee is satisfied it increases
the performance of the organization because satisfied
workers have commitment and loyalty towards
organization, suggest new ideas, willing to accept
responsibility and less absenteeism. Satisfied workers
try to fulfill their duties with hardworking and
commitment.

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Hypothesis: This is quantitative research study. This kind

of study provides quantitative measures after applying
different statistical tools and techniques. For this purpose
hypothesis are developed. The hypotheses for our study
are as under;

MATERIALS AND METHODS

Hypothesis 1: There is significant relationship between

rewards and job satisfaction

Research Instrument: Instrument comprises two

sections. First section is about personal profile of
respondents including their including age, gender,
education, librarys name, nature of employment and
length of service of respondents, these all items are
measured by nominal scale. Second section is related to
variables including rewards, recognition and job
satisfaction. Rewards (Independent Variable) is measured
by scale which is used in Carolina Mikanders [21] thesis
namely The impact of a reward sytem on employee
motivation in Motonet-Espoo. Recognition (Independent
Variable) is measured by scale of De Beer [22]. Job
Satisfaction (Dependent Variable) is measured by scale
ofSaleemet al. [15]. Likert 5 scale point is used for this
purpose. In order to analyzed data, SPSS (Statistical
Package for Social Sciences) software is used.

Hypothesis 2: There is significant relation between

recognition and job satisfaction
Gap Identification: A lot of research is available on the
motivation and job satisfaction both on international and
national level. Many articles are accessible on the
motivation and job satisfaction. In library sector, there is
less literature available in Pakistan. So we chose libraries
as sector for our research survey. We conducted our
research to check the impact of rewards and recognition
on job satisfaction in employees of different libraries in
Lahore, Pakistan.
Theoretical Framework: This study involves rewards
and recognition is independent variables and job
satisfaction as dependent variable. Relationship between
under study variables is shown in following Figure:

Problem Statement: In todays competitive environment

organizations are striving to gain maximum output by
using different tools and techniques. To gain competitive
edge and core competency, sometimes organizations
ignore the rights of employees which enhance the job
turnover in organizations but in this competitive era, the
performance of employees is considered business
performance. Same is the case in libraries, to reduce
turnover organizations are offering different kinds of
rewards and motivating employees in different ways. So
we conducted our research to examine the impact of
rewards and recognition on job satisfaction of employees
of libraries.
Scope and Objectives of Study: The focal objective of this
study is to find out effect of rewards and recognition on
job satisfaction of employees of libraries in Lahore,
Pakistan. The others objectives are as follow;

To examine the effect of rewards on job satisfaction

To Investigate the impact of recognition on job
satisfaction
To examine the relationship between rewards and
recognition

Data Collection: This is an empirical study established on

primary data. To examine the impact of rewards and
recognition on job satisfaction survey method is used.
Questionnaire is used to collect data from respondents.
It is the most inexpensive way to use to gather primary
data. The data were collected from employees of libraries
of Lahore, Pakistan. We distributed 120 questionnaire out
of which 100 correctly responded by respondents. These
respondents were selected randomly from 12 different
libraries of Lahore. The survey has been conducted from
librarians as well as from staff members of libraries.
Demographics: 120 questionnaires were distributed to
respondents out of which 100 questionnaires were
correctlly answered. Male and female respondents were
filled 70 and 30 whose percentage is 70% and 30%
respectively. 31% respondents were aged upto 25 years.
Between the ages of 26-45 were 57%. 12% were between
the ages of 46-55 and 0% respondents were 56+ year old.
Additionally respondents were 79%, 21% and 0%
belonged to bacholar, master and PhD respectively.
Among the respondents 87% were on contractual basis
and 13% were permanent. Furthermore 9%, 35%, 41% and
15% respondents had length of service upto 1 year, 25 years, 5-10 years and 10+ years respectively.

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RESULTS AND DISCUSSION

Table 1.2 indicates that rewards is positively

correlated with job satisfaction with the value of
0.775 which is significant at 1%. Recognition is also
positively related to job satisfaction with the value of
0.766 which significant at 1%. The correlation of 0.775
shows that rewards and job satisfaction explain the
variance in one another to the extent of 60.0% (0.775)2.
The correlation of 0.766 explain the variance in one
another to the extent of 58.% (0.766)2. Furthermore to
check the impact of rewards and recognition on job
satisfaction multipule regression analysis was used with
Durbin-Watson for the investigating the naute of
correlation.
Table 1.3 shows the complete summary of findings.
R square indicates the variation in the Job Satisfaction
(Dependent Variable) due to the impact of Rewards and
Recognition (Independent Variable). R square is 0.692 it
shows that independent variables (Rewards and
Recognition) have69.2% influences on dependent variable
(Job Satisfaction). To observe the types of correlation
among the under study variables either correlation is

To analyze the impact of rewards and recognition on

job satisfaction we used the multiple regression analysis
and to find the connection between variables we used
Pearson correlation. To check the inclination of
respondents, we calculated mean and standard deviation
in descriptive statistics.
Table 1.1 shows that the mean value of Rewards is
2.3100 which is near to 2 and it means that most of the the
reponses of repondents are positive and their repsonese
in support of Rewards at 5 likert scale and these
responses can deviate 0.85233 from the average
responses of the respondents. The mean value of
Recognition is 2.4275 which are near to 2 and it means that
the most of the people are satisfied with their jobs.
Responses can deviate.86551 from average responses of
the respondents. The mean value of Job Satisfaction is
2.4586 which is also near to 2, it means that most of the
people respond positively. The responses of people can
deviate 0.72823 from average responses of respondents.
Table 1.1: Descriptive Statistics
Rewards

Recognition

Valid

100

100

100

Missing

Mean

2.3100

2.4275

2.4586

Std. Deviation

.85233

.86551

.72823

Job Satisfaction

Table 1.2: Correlations

Model
1

Sum of Squares
Regression

df

Mean Square

36.351

18.175

Residual

16.151

97

.167

Total

52.502

99

Sig.

109.158

.000a

a. Predictors: (Constant), Recognition, Rewards

b. Dependent Variable: Job Satisfaction
Table 1.3: Model Summary
Rewards
Rewards

Pearson Correlation

Sig. (2-tailed)
Recognition

Job Satisfaction

Recognition

Job Satisfaction

.717**

.775**

.000

.000

100

100

100

Pearson Correlation

.717**

.766**

Sig. (2-tailed)

.000

100

100

100

Pearson Correlation

.775**

.766**

.000

Sig. (2-tailed)

.000

.000

100

100

**. Correlation is significant at the 0.01 level (2-tailed).

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Middle-East J. Sci. Res., 21 (9): 1533-1540, 2014

Table 1.4: ANOVA

Model
1

(Constant)
Rewards
Recognition
a. Dependent Variable: Job Satisfaction

Unstandardized Coefficients
-------------------------------------B
Std. Error
.656
.129
.397
.069
.365
.068

Table 1.5: Coefficients

Model
R
R Square
1
.832a
.692
a. Predictors: (Constant), Recognition, Rewards
b. Dependent Variable: Job Satisfaction

Standardized Coefficients
-------------------------------Beta
.465
.433

Adjusted R Square
.686

positive, negative or zero, Durbin-Watson test was used.

The value of Durbin-Watson 2.090 which is nearly 2 and
it exhibit that positive autocorrelation among the study
variables.
Table 1.4 indicates the significant level whether it is
acceptable or not. Results in this table show that
significant level is 0.000 which is less than 0.05. Thus it is
acceptable and indicates strong impact of rewards and
recognition on job satisfaction.
Table 1.5 indicage the beta values which mean
individual indpendent variables influence on dependent
variable. Reuslt show that rewards has the strong
infulence on job satistaction with beta value 0.465.
It explains that 46.5% variation in job satisfaction is due
to rewards which significant at 0.000 and it supported H1.
Similarly recognition has also strong influence on job
satisfaction with beta value 0.433. It explain that 43.3%
variation in job satisfaction is due to recognition which is
significant at 0.000 which supported H2.
In the end, we concluded that rewards and
recognition has strong positive impact on job satisfaction.
Results indicate that employees motivation and
satisfaction with job rely upon rewards and
recognition.Rewards have positive influence on job
satisfaction. Recognition has also positive relationship
with job satisfaction.
Conclusion, Limitation and Further Research: Every
organization attempts to increase its market share and
wants to attain competitive edge through different tools
and techniques. To gain competitive edge, organizations
use the abilities of its employees because firms believe the
performance and satisfaction of employees increases the
business performance. Motivation is a helpful tool for
organizations to attain competitive advantage. There are
lots of factors in motivation which support organizations
in this matter. Rewards and recognition considered the
important elements of motivation which helps employees
to satisfy with their job and work with whole heartedly.

Std. Error of the Estimate

.40805

T
5.097
5.753
5.365

Sig.
.000
.000
.000

Durbin-Watson
2.090

The purpose of this study was to examine the impact of

rewards and recognition on job satisfaction in employees
of libraries in Lahore, Pakistan. For this purpose
questionnaire method was used to collect data. After
using different tests in SPSS results showed that rewards
and recognition has strong positive impact on job
satisfaction. These results also supported by previous
studies [1-13]. Employees of libraries in Lahore are
satisfied with quantity and quality of rewards and
recognition they get from their bosses and universities
management in which library is situated. Results indicated
that rewards and recognition positively related with
employees job satisfaction. Positive correlation exists
between reward, recognition and employees job
satisfaction. This study provide insight understanding
that how organizations can motivate employees by
introducing effective rewards and recognition
programs.
Small sample size is the limitation of this study. Due
to time constraints research is unable to be done in all the
libraries of Pakistan. For this study, we only focused on
librarians and staff of libraries in Lahore. 100 respondents
are involved in this study. This study ignored the other
variables which can contribute towards the employees
satisfaction.
In addition this research can be more accurate in
future. Further research can be done by using following
methods;

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Sample size can be enhanced.

Study can be extent to other cities of Pakistan
irrespective of Lahore.
Researchers can include other ignored dimensions of
rewards and recognition for having deep and insight
understanding.
Qualitative method of gathering data can also be
used.
Other sectors instead of libraries can also be used for
gathering data.

Middle-East J. Sci. Res., 21 (9): 1533-1540, 2014

Practical Implications: In todays environment

organizations have to use different tools and techniques
to satisfy their employees to gain maximum work. So firms
need some standards and rules to do this. In this regard,
different libraries can use our researchs results to
promote their rewards and recognition mechanism to
enhance the performance and productivity of their
employees. As results reveled that rewards and
recognition has positive association with job satisfaction,
so organizations can improve standards of rewards and
recognition.

7.

8.

9.

CONCLUSION

10.

Employees of libraries in Lahore are satisfied with

quantity and quality of rewards and recognition they get
from their bosses and universities management in which
library is situated. Results indicated that rewards and
recognition positively related with employees job
satisfaction. Positive correlation exists between reward,
recognition and employees job satisfaction. This study
provide insight understanding that how organizations can
motivate employees by introducing effective rewards and
recognition programs.
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