IMPACT OF HUMAN RESOURCE PRACTICES ON EMPLOYEE MOTIVATION IN PAKISTANI BANKING SECTO

Abstract

Purpose: The purpose of this study is to evaluate the impact of H.R practices on employee motivation & behavior in Pakistani banking Industry. Human resource department plays an important role in this regard as the motivational practices and their implementation is one of the responsibilities of the HR department. This study is basically conducted to assess the practices and processes of leading few banks in Pakistan and how it affects employee motivation towards corporate objectives of the banks. Methodology/Sample: Currently the H.R practices for motivating employees prevailing in the banking industry include attractive compensation plan, training and development, career development & promotion and providing good environment & working conditions. For obtaining necessary data, a questionnaire comprising 20 questions was developed. The questionnaire was administered to 60 employees of leading four banks, i.e. National Bank of Pakistan, Muslim Commercial Bank, Habib Bank Ltd and United Bank Ltd.The data was treated by applying Regression analysis tools on SPSS software. Findings: According to the data collection and its analysis on the basis of comparative evaluation of respondents’ opinion & applying Regression Analysis, it has been concluded that the current practices of Compensation, Training and development and Environment & working conditions do motivate the employees of banking sector of Pakistan. However, the current practices of Career development and promotion do not motivate the employees, in fact they demotivate them. Practical Implications- The result and outcomes of this research might help high professionals, decision makers and other related Authorities of the banking sector to understand the impact of H.R practices on the level of employees motivation.. The study revealed that employees’ motivation in banking Sector can be enhanced by adopting different strategies and policies.