Employees are the strategic asset of an
organization that gives it competitive advantage
through unique contribution from its employees.
Designing and execution of rewards package is a bit
challenge if there is a need for mutual benefit between
employer and employee. To continue enjoying
employee’s contribution, organization needs to invest
heavily in satisfying their needs through rewards
system. The study adopted a survey design where
purposive sampling strategy was used to select
departments in all commercial bank branches and,
simple random strategy was used to obtain a
representative sample of the population. Primary data
were gathered through questionnaire administered to
63 respondents out of 80 employees working with banks
branches at Mtwara Region. Data were tested and
analyses descriptively by use of frequency and
percentage, Compared Means scores, conduction of
reliability test, use of correlation analysis, factor
analysis and multiple linear regression.
Results of the study revealed that, non-financial
rewards influence job satisfaction in commercial banks
branches at Mtwara Region but on the other side,
financial rewards were found to have no correlation
with job satisfaction in this case but significantly
influence it. Thus, the null hypothesis of the study is
rejected and alternative hypothesis is accepted.
In regards with the study findings, the study has
recommended the following to be done by banks. To
rethink and possibly harmonize their rewards systems
to sweet the sector as by doing so they will be in position
to reduce unnecessary movement resulting from
turnover. Adjust intrinsic and extrinsic reward policies
and strategize in procession with existing trade and
industry atmosphere, Relationship improvement and a
fit between employees and their supervisor should be
attained and sustained strategically, Avoid
postponements of rewards after achieving set goals.
Involve employees in decisions regarding designing
their rewards packages. HR department should also
rethink of hiring criteria by looking at individuals who
do not have high expectations on rewards as these
individuals will not pose much of their efforts in
demands for rewards (This calls for demographic
factors consideration in rewards package design). High
Organs of the banks should build a connection between
their corporate strategies and rewards packages to
enhance employees’ job satisfaction.
Keywords : Rewards Package; Job Satisfaction; Demographic Factors; Commercial Banks; Tanzania.