A Multi-National Perspective : The Impact of Transactional and Relational Rewards on Retention and Employee Performance in an Organization

Abstract

The purpose of this study was to find the impact of transactional and relational reward on retention and employee performance. The research was a quantitative research in which questionnaire was float in four organizations of private sector and simple random sampling was done. The result was deduce through descriptive and regressions analysis. According to the responses taken from the employees both transactional and relational rewards were important for an employee like salary and employee development needs were the most important rewards among two reward schemes for an employee according to descriptive statistics. According to regression analysis the relational rewards were the most important rewards that an employee expect during his/her employment career. In this research relational rewards comprises of performance and recognition, career development and career opportunity and work life balance. Private sector of Pakistan needs to satisfy the relational needs of an employee in order to get the work done efficiently and effectively in an organization.