The Effect of Tangible Rewards on Perceived Organizational Support

Abstract

Using survey data from 61 employees, a regression analysis was performed to measure the effects that tangible rewards have on the employees? perception of organizational support. The analysis found that when employees have positive valance towards a reward and recall it frequently, they have increased levels of perceived organizational support. The study demonstrates that when organizations provide employees with rewards that the employees? value and recall, the employees will feel more supported by the organization. Employees who feel supported by the organization are more likely to engage in desirable workplace behaviours such as increased job involvement and reduced absenteeism.