Abstract:
Compensation management has been one of the major factors not only in affecting employee retention but also employee performance in most organizations, both in Kenya and other countries worldwide.
However, most people think positively only about the outcomes of the compensation management on employee performance in our country’s most organizations, not taking much concern about the possible negative effects of same compensation management. Focusing on the effects of the Compensation management on employees’ performance, this study aims at finding out the impact that compensation management has on employee performance. These effects may be positive or negative.
The objectives of the study included; establishing the significance of compensation management, classifying the compensation packages, examining compensation management challenges as well as establishing approved ways of addressing challenges in compensation management.
The study was conducted in Narok County government, Kenya. The target population of Narok County Government was 50 employees whereby both genders were represented; 19 women and 31 men. Stratification was done according to years in service, gender, and level of management.
