Benue State University, Makurdi

DIVERSE EMPLOYEE INCOME AND ORGANISATIONAL EFFECTIVENESS IN THE NIGERIAN PETROLEUM INDUSTRY

Philip Dewua
Department of Business Management, Benue State University, Makurdi

Richard Yon Abata
Department of Business Management, Benue State University, Makurdi

John Emakwu
Department of Business Management, Benue State University, Makurdi.

Abstract

The study examined the relationship between diverse employee income and organizational effectiveness in the Nigerian petroleum industry. The study sought to establish the relationship between diverse employees’ income and organizational effectiveness variables of productivity, profitability and growth in the Nigerian petroleum industry. The study was anchored on Tajfel (1978) theory of social identity and categorization. Cross - sectional survey design was adopted with population of 20,698 employees from five (5) selected companies in the industry namely: Shell, Chevron, ExxonMobil, Total and Eni. A sample size of 372 was drawn using Yamane’s (1967) formula. The study used primary source of data collection using structured questionnaire with simple random sampling technique. Correlation coefficient and regression analyses were conducted using Statistical Package for Social Sciences (SPSS). The findings revealed that there is a positive relationship between diverse employees’ income and organizational effectiveness measures of productivity, profitability and growth in the Nigerian petroleum industry. Statistically, using t-value, diverse employees’ income had productivity (1.770), profitability (4.492), growth (2.773). It was concluded that employees’ income relates to organisational effectiveness (productivity, profitability and growth) in the Nigerian petroleum industry. The recommendation was that the management of Nigerian petroleum industry should make sure that compensation or income of the employees are made transparent to all levels and fairly distributed, such that the employees would not perceive any level of discrimination.

DOWNLOAD COMPLETE ARTICLE HERE (CLICK)