Motivation and employee retention: Perception of staff of First Atlantic Merchant Bank

Abstract

Retaining employees forms the basis for developing competitive advantage in any organization including banks. It is therefore imperative to consider employee retention role in the banking institutions. One factor that influences employee retention is motivation. This study primariliy assessed how financial and non-financial reward benefits motivate employeees at First Atlantic Merchant Bank with (FAMB) and how these in turn influence their employee retention. Specific objectives were to examine whether there are differences in fators which motivate managers and non-managers, the challenges of motivation and employee retention, and the effect of motivation and employee retention. Data was collected from both employees and management using purposive and imple random techniques. Data analysis was done by using descriptive statistics, Pearson correlation coefficient and independent sample test, and qualitative techniques. The outcome of the study shows that pay, fringe benefits, allowance, promotion, training and development and recognition. Again the study found that managers were found to be more motivated when given non-financial rewards whiles other staff members who are not managers were motivated by financial rewards. Further, the study found that the relationship between employee motivation and job retention was positive. From the human resource management perspective, the study recommends the use of both intrinsic and extrinsic factors to motivate employees, the need to achieve equity in in motivational sytems, and using different motivational packages by understanding individual psychologies regarding motivation.