Abstract:
In the modern organizations, staff determine the success and failure of organizations by the means they deliver the services to the client through interactions. The foremost valuable assets available in every organization are its individuals. The main purpose of the study was to evaluate the role of compensation strategies on permanent non-teaching employees’ performance: a survey of Technical and Vocational Education Training Institutions in Uasin Gishu county.The research was guided by the following objectives : to establish role of non-financial compensation on permanent non–teaching employees’ performance in Technical and Vocational Education Training institutions in Uasin Gishu county, to investigate role of direct financial compensation on permanent non–teaching employees’ performance in Technical and Vocational Education Training institutions in Uasin Gishu county and to establish the role of indirect financial compensation on permanent non–teaching employees’ performance in Technical and Vocational Education Training institutions in Uasin Gishu county . The current study adopted cross sectional survey design based on a sample drawn from across the Uasin Gishu County and used explanatory research design and drew a sample of 184 respondents from a target population of 338 based on Krejcie and Morgan (1970) schedule.The researcher targeted the non-teaching staff of, Eldoret National Polytechnic, Rift Valley Technical Training Institute and Ziwa Technical Training Institute. Data was collected using questionnaires and the researcher ensured the validity of data by carrying out a pilot study in Kisumu National Polytechnic. For reliability, Cronbach’s coefficient Alpha was 0.83 which fell in the acceptable margin of more than 0.7. Data was analysed both quantitatively and qualitatively with help of SPSS software version 20. Data analysis and interpretation of the results from the study was done using tables. Data was analyzed using descriptive statistical techniques frequency and percentages and inferential statistics technique; Karl Pearson’s coefficient of correlation using the SPSS version 21.0.The analyzed data was presented on tables. The study concluded that the compensation aspects such as non-financial compensation (r=0.501, p<0.000), direct financial compensation (r=0.355, p<0.00), and indirect financial compensation (r=0.248, p<0.000) were all significant and had positive effect on performance. The findings of the study include; non-financial compensation has an effect on non-teaching staff performance in TVET institutions. Employees’ efforts are recognized and rewarded. Not all staffs are trained. It was further found that direct financial compensation has an effect on non-teaching staff performance. TVET institutions do not recognize and reward extra skills and qualifications through salary increase. The final finding was that indirect financial compensation has an effect on non-teaching staff performance. TVET institutions do not give health insurance for non-teaching staff. Many employees in the TVET institutions do not appreciate the role of work injury compensation due to the less work related hazards involved in their profession. TVET institutions give gratuity pay to the retiring employees. It is therefore wise for the managements of Technical and Vocational Education Training institutions in the country to have sound compensation strategies to ensure that there is retention of qualified and experienced members of non-teaching staff who will ensure high productivity and customer retention.