Employees Behaviour, Equity in Financial Compensation and Performance of Public Universities in Ghana

Abstract

The main purpose of the study is to contribute to knowledge by assessing the moderating role equity in financial compensation plays on the relationship between employees’ behavior and performance of state owned universities in Ghana.  The targeted population for the study was the 10 public universities established by an Act of Parliament and are recognized by the National Accreditation Board.  Out of this, 7 public universities were selected using convenience sampling.  The choice of this sampling method was based on accessibility and easy access to information to facilitate the research. In each of the sample, 15 employees’ mainly senior members both from administration and academic totalling 105 were randomly selected for the study.  The main instrument used for collection of primary data was questionnaires and interviews whilst review of selected public universities websites, published textbooks, journals and newsletters constitute the secondary data. The instrument used for the study was tested for its reliability and fitness and the result was positive with cronbach’s alpha value of 0.856. Analysis for the study was done using correlation and regression to test for the hypotheses developed.  The results show that employees’ behaviour has high positive relationship with performance of public universities with equity in financial compensation playing a moderating role.  The study therefore recommends the need for the Government of Ghana to continue with the full implementation of its single spine pay policy since it will ensure fairness in the public sector wage which will in turn influence employees’ behaviour positively and performance of the sector as a whole.