FRINGE BENEFITS AND EMPLOYEE PERFORMANCE IN THE NIGERIAN CIVIL SERVICE: A STUDY OF SELECTED LOCAL GOVERNMENT COUNCILS IN DELTA STATE, NIGERIA

This study investigated the effect of fringe benefits on employee performance. The study focused on civil service employees in selected local government councils in Delta State, Nigeria. Survey research design was used and questionnaire was the major instrument of data collection which was administered to 167 employees of four (4) selected local government councils in Delta State. Two fringe benefits dimensions were used namely; retirement and educational/house allowance benefits. Data gathered were analyzed using descriptive statistics (mean, standard deviation, minimum and maximum values, Pearson correlation); post-estimation statistics (variance inflation factor) and inferential statistics (multiple regression). Findings indicated that retirement fringe benefit positively and significantly influence the level of employee performance (t-value = 8.77; Prob. = 0.0000 < 0.05). It was also found that educational/house allowance fringe benefit positively and significantly influence employee performance (t-value = 6.459; Prob. = 0.0000 < 0.05). On the basis of the findings, it was recommended that the Civil Service Commission should continually provide and accelerate retirement benefits to employees because it would help create a sense of loyalty and enhance their performance and productivity. The commission should review the current educational/house allowance benefit so as to retain talented employees and increase organizational outcomes. JEL Classification: J26, L32, M54, O15