Impact of employee benefits programme on job satisfaction and intention to quit

Abstract

In the last decades, the global economy has been transformed in a significant ways and every company in manufacturing, servicing, marketing, technology, distribution and capital markets are changing faster than ever. Organizations cannot escape from these environmental changes and challenges associated with it. In order to compete with their counterparts and gaining sustainable competitive advantages, well motivated, value driven human resources have become the essential element in today’s organizations. Employee benefits are widely recognized as an essential weapon in this competition among employers looking to win the war for talent. Thus, attracting and retaining the best employees within the organization has become the critical human resource issue. This research was carried out as an empirical study to investigate the relationships between employee benefit programme and job related variables, namely job satisfaction and intention to quit with special reference to Harischandra Mills PLC, Sri Lanka. The research was conducted as a survey, where a structured questionnaire was used among a sample of 95 employees. The study concludes that the employee benefit programmes are significantly and positively related with job satisfaction and significantly and negatively linked with intent to quit. Further the study suggests that explanatory power of the non financial benefits is superior to that of financial benefits.