Benue State University, Makurdi

The Moderating Role of Psychological Ownership in the Effect of Financial Compensation on Employee Productivity Among Benue State Civil Servants

Nguwasen Kwahar

Abstract

The study examined the moderating role of psychological ownership between financial compensation and employee productivity among Benue State civil servants. Cross-sectional survey design was adopted comprising the study population of 15, 160 civil servants in Benue State from where a sample of 400 respondents was randomly selected. Structured questionnaire was used for data collection. The collected data were analyzed using Hierarchical Regression. The study found that staff allowance accompanying salaries will significantly affect employee productivity but psychological ownership will not moderate the relationship. The study concluded that psychological ownership is not a significant moderator of the effect of financial compensation on employee productivity among Benue State civil servants in Makurdi. The study recommended that the Government of Benue State should sustain the payment of salaries of civil servants to motivate them for higher productivity, by making salary payment her top priority. The Government should also clear the backlog of salaries and avoid future accumulation of salary arrears. The Government should at the same time, give orientation to make her staff understand their stakes in government business. While conducting the orientation exercise, the Government should endeavor to include civil servants in decision-making process concerning its policies and programmes to enhance their psychological ownership mentality.

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