IMPACT OF FINANCIAL AND NON - FINANCIAL INCENTIVES ON WORKERS PERFORMANCE (A STUDY OF PZ CUSSONS PLC, ABA)

ABSTRACT Employee performance remains one of the most critical determinants of organizational success in the modern business environment. Organizations continuously seek ways to improve productivity, enhance efficiency, and maintain competitive advantage. One of the most widely adopted strategies for achieving these objectives is the implementation of incentive systems designed to motivate employees. Incentives, both financial and non-financial, play a significant role in shaping employee attitudes, commitment, and overall performance. This research examines the impact of financial and non-financial incentives on workers’ performance with particular reference to PZ Cussons Plc, Aba. Financial incentives include wages, bonuses, commissions, and other monetary rewards, while non-financial incentives include recognition, promotion opportunities, job security, training, and a supportive work environment. The study employed a descriptive research design and gathered primary data through structured questionnaires administered to employees of PZ Cussons Plc. Secondary data were obtained from textbooks, journals, and academic publications related to employee motivation and organizational performance. Findings from the study reveal that both financial and non-financial incentives significantly influence employee performance. However, non-financial incentives such as recognition, career development opportunities, and positive workplace relationships were found to have a strong psychological effect on employees, contributing greatly to job satisfaction and long-term commitment. The study concludes that organizations that combine both financial and non-financial incentives tend to experience higher levels of employee productivity, motivation, and organizational growth. The research therefore recommends that companies adopt a balanced incentive structure that recognizes both the economic and psychological needs of workers.