Satisfaction of Compensation and Employees Productivity of LGU Cateel, Davao Oriental

Abstract

This study examined the relationship between compensation satisfaction and productivity among Job Order employees at LGU Cateel, Davao Oriental, using a quantitative descriptive-correlational design. The complete enumeration sampling technique surveyed 196 Job Order employees, revealing moderate satisfaction with compensation and moderate productivity levels. Key findings include a strong positive correlation between fixed pay and rewards and moderate correlations with managerial skills and overall productivity, but no significant relation to the work environment. Flexible pay showed moderate positive correlations with rewards, managerial skills, overall productivity, and minimal relation to the work environment. Benefits were highly correlated with rewards and moderately with the work environment, managerial skills, and overall productivity. Overall satisfaction was highly related to rewards, moderately related to managerial skills and overall productivity, but weakly related to the work environment. The study underscores the critical role of compensation satisfaction in enhancing employee performance. Recommendations include aligning fixed pay with market standards, increasing flexible pay options, improving benefits, enhancing the work environment, providing managerial training, implementing a comprehensive reward system, and regularly gathering employee feedback to boost satisfaction and productivity.