Abstract:
Purpose
The purpose of the research is to find out or to investigate the impact of compensation and
work environment on employee performance.
Methodology & Design
1 he research is explanatory where questionnaires were circulated among the working
professionals to gather out data. The respondents were between 300 to 350.
Findings
The outcomes of the research concluded the fact that direct compensation may not have a
significant effect on employee performance. However, indirect compensation and work
environment plays a crucial role in influencing employee performance. Hence, Job
Satisfaction acts as a moderator between the relationship of indirect compensation and
employee performance and work environment and employee performance.
Limitations
The research was limited to compensation and work environment even though there are
multiple other aspects which influence employee performance so a generalized perspective
was not gathered. However, research was not able to consider other factors which also effect
employee performance. The industry perspective was generalized not focused to one sector
only which may also draw various results industry wise.
Recommendations
The organizations should treat employees fairly in terms of compensation and focus on
intrinsic and extrinsic motivation as this would increase employee loyalty thus a good impact
employee performance. Work Environment should be pleasant to make employees feel
like home and work to the best oftheir potential without any difficulty.
