Vimala Venugopal, Eman Al Hassan


Organizations are constantly searching for ways to create an environment that is motivating, where associates work at an optimal level to accomplish company objectives. Monetary and non-monetary incentives do work well to motivate associates of any organization. Both monetary and non-monetary incentives vary in their roles, effectiveness, and appropriateness, depending on the type of incentive.


This paper examines the impact of monetary and non- monetary incentives on the performance of employees in the government hospitals in Al Ahsa Region. The objectives of this study were to, first, identify the most important monetary and moral incentives offered to employees in the government hospitals in Al Ahsa region, and, second, to determine the effect of monetary and moral incentives on the performance of the mentioned employees. In order to achieve these objectives, a survey was conducted. The target population consisted of employees in five government hospitals and two PHC centers in Al Ahsa. 127 employees participated in the study. Data was analyzed with SPSS 19. Frequencies, means, standard deviation, Chi square, Independent sample T-test, and One Way ANOVA were used to identify the characteristics of the sample and to test the hypotheses of the study.


The results indicate that there is a significant relationship between the incentives that the employees receive and their performance. Based on the study’s results, several recommendations have been suggested towards the end of the paper.


Key words: Monetary incentive, Non monetary incentive, effectiveness, performance


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