Impact of Compensation Package on Employee’s Performance and Rentention among Bankers in Da Nang City

This study identifies the factors affecting the employee’s performance and retention among employees of different banks in Danang City by applying the SEM linear structure model. The findings of this study revealed that three out of four variables statistically influenced the employee’s performance at a workplace, name all the three Salary, Allowances and Bonus while Incentives had no significant impact on employee’s performance at the workplace. Moreover, this study also examined the relationship between employee’s performance and retention at a workplace and the results of this study supported the significant direct relationship between these two variables. This study provides useful information to the managers in understanding factors affecting employee’s performance and retention. From that can help managers in making appropriate policies, strategies and solutions to increase employee’s performance and retention.