Are Financial Benefits Superior to Non- Financial Benefits? Evidence form Harischandra Mills PLC

Abstract

In order to compete with the cmpetittors and gaining sustain competitive advantages over them, well motivated, value driven human resources has become an essential element in today?s dynamic and competitive organizational context.This leads to create a crtical human resource issue that attracting and retaining the commited, talented, ans enthusiastic employees with the organization. Most commonly used strategy in this respect is that offering and maintaintg attractive benefits package. Many of the firms spend significant amount of money on developing and implementing such an emplyee benefits program. This paper investigates the relationships between employee benefit program and work related variables namely job satisfaction, organizational commitment, intention to quit and job stress with special reference to Harischandra Mills PLC, Sri Lanka. Further, impact of, gender, civil status, educational level and tenure, salary level, designation and age work related variables were explored. The research was conducted as a survey, where a structured questionnaire was used among a sample of 80 employees. Sample consists of executive, supervisor and check roll employees. Financial benefits variable considered in the present study comprise personal security, financial assistance and personal needs while non financial benefits variables include Status, Power, and Recognition for achievement, Training, Working condition, and Flexibility. The findis reveal that the both financial and non financial benefits are significantly and positively related with job satisfaction and organizational commitment and significantly and negatively linked with intent to quit and job stress. Independent sample t-test found significance differences between males and females and civil status with Job satisfaction, intention to quit and job stress. However, no significance differences found between emplyees? service experience with respect to four work related variable.ANOVA test fond executive & allied and check roll employees repond significantly different way with respect to job stress. More over, ANOVA test found that thare is a significance difference between young and old with job satisfaction. Finally multiple regression analysis found that explanatory power of the non financial benefits is superior to financial benefits.