THE EFFECTS OF COMPENSATION POLICIES ON EMPLOYEES' PERFORMANCE IN BANKING INDUSTRY (A STUDY OF JAIZ BANK IN IBADAN)

This study investigates the impact of compensation policies on employee performance at Jaiz Bank, Dugbe, Ibadan, with a focus on identifying the current policies, their effectiveness, and the challenges faced in implementation. Utilizing a quantitative research approach, data was collected from 50 respondents through structured questionnaires,targeting key areas including the perception of current compensation policies, the relationship between compensation and employee performance, challenges in implementing these policies, and recommendations for improvement. The findings indicate that employees generally view the compensation policies at Jaiz Bank as well-structured and competitive, positively influencing motivation and productivity.However, challenges such as budget constraints, inconsistencies in compensation among similar roles, and a lack of clarity regarding performance-based criteria were highlighted.Respondents suggested regular updates to policies, enhanced transparency, and the implementation of non-monetary benefits to improve overall employee satisfaction. The study concludes that effective compensation policies play a crucial role in fostering a positive work environment and enhancing employee performance. By addressing the identified challenges and implementing th recommended strategies, Jaiz Bank can strengthen its compensatio framework, thereby improving employee morale, retention, and productivit This research contributes to the understanding of how compensation polici can be optimized to support organizational goals in the banking sector