Employees Perception Towards Compensation And Benefit Policy The Case Of Some Selected Government Higher Education Institutions In Addis Ababa

This study examined the perception of employees regarding the compensation and benefit policyrnin government higher education institutions found in Addis Ababa. 150 employees from threerninstitutes namely Addis Ababa University, Ethiopian Civil Service College, and Kotobe Collegernof teachers’ education participated in this study and 96 questionnaires were returned that gave arnresponse rate of 64%. Data was collected using a set of questionnaires which consists threernparts including demographic information of respondents, 30 likert’s scale perception items, andrnadditional and open-ended questions. Data analysis was done using descriptive statistics usingrnSPSS 15.0; number, percentage, and mean rating were used to present the perception of thernrespondents. Findings showed that employees perceived the current compensation and benefitsrninadequate, employees did not participate in compensation and benefits decision, it is notrnperiodically updated and communicated to employees. Moreover, it was perceived that therneffectiveness of compensation and benefits was not evaluated and the policy was no revised. Itrnwas recommended that the compensation and benefit policy should be periodically revised takingrninto account the market conditions and nature of the job. The analysis indicated that there wasrnno significant difference in perception between gender and job category there was a slightrndifference between age groups, educational qualification, work experience, and salary level ofrnemployees.rnKey Words: Compensation and benefits; Employee’s perception; higher education

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