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International Journal of Social Science Research (IJSSR) eISSN: 2710-6276 | Vol. 3 No. 1 [March 2021]

Journal website: http://myjms.mohe.gov.my/index.php/ijssr

THE INFLUENCE OF REWARDS (BENEFITS) SATISFACTION TO THE EDUCATION SECTORS

Khairunnisa Ahmad Mokhtar1* and Hadziroh Ibrahim2

1 2 School of Business Management, Universiti Utara Malaysia, Sintok, MALAYSIA

*Corresponding author: nyssamokhtar@gmail.com

Article Information:

Article history:

Received date : 4 March 2021 Revised date : 25 March 2021 Accepted date : 28 March 2021 Published date : 31 March 2021

To cite this document:

Ahmad Mokhtar, K., & Ibrahim, H.

(2021). THE INFLUENCE OF REWARDS (BENEFITS)

SATISFACTION TO THE EDUCATION SECTORS. International Journal of Social Science Research, 3(1), 125-131.

Abstract: Benefits are one of the most important topics that should be discussed especially to the education sectors. It is because, in most counties, this issue (benefits) also as an interest of the academicians especially about their pay base and the benefits. Sometimes, benefits also are about how people connect plan and collaborate is through the use of. Presently, technology is the one of essential aspects of the benefits. The most important is the internet. So, the form that issues, it is to ensure that the workers are made possible. This paper aims to review the influence of benefits which are including the training, health, and the employee's right to job satisfaction in the academic sectors. Therefore, this paper will discuss the implications and experiences views and how the benefit can influence the education sector. Although this study already discussed the needs of benefit and problem, we hope that Malaysian can provide useful insight, knowledge, and understanding from the employer to the employees where there had no problem created by them. Based on the discussion on related empirical review, the influence of benefit is proposed to have significant influences on work performance in education sectors. In the future, we hope that future studies would focus on other discussions of benefits factors or in reward satisfaction. Therefore, future research should be alert on how to make sure this issue is not getting worst, but be more effective and comprehensive to implement to the next generations.

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Nowadays, education is very dynamic, education is already seeing emerging issues that were not captured (Khadijah Abdullah, et al. (2019)). What Malaysia has done or education would have to do with success in that field (education) as a country of development, especially in the education sector is by improving quality of life is a must for most people, and will actively seek employment at organizations that give great benefits such as training, health, and an employee right.

Malaysia also has an effort to make sure all the challenges in education reduce. For example, the education sector in Malaysia had introduced of ‘delivery unit’ that tracks the results. According to the World Bank (2018) report; Improving Education Sector Performance: Lessons from the Delivery Unit Approach, highlight the role of the Education Performance and Delivery Unit, or PADU. PADU is one of the reports under the Ministry of Education, in improving education outcomes, a key government priority.

Meanwhile, Khadijah Abdullah (2019) which the Chief Executive Officer of PADU, said the objective of PADU is to make sure that the blueprint translates successfully on the ground. Through, they are now set up with no track record and they needed to set up their credibility and gain the trust of the stakeholders. Besides, the challenge of PADU nowadays is to bring in high-performing talent and set as working as a strong team (Khadijah Abdullah et. al (2019)). In the other words, PADU is established with very optimism from the ecosystem that needed to change.

Moreover, Akter, N. and Hussain, M., M. (2016), a considerable amount of literature has been published on compensation, shown that theory based on the effect to the compensation on job performance. Based on Human capital theory are identified several employees' attributes such as investments in training, formal education, on-the-job training, and labor market experiences associated with a lifetime to earnings and the earnings link with employee’s compensation. Besides, from the past research, Baker, Jensen, & Murphy, (1988) reported that compensation is largely an independent variable that conveys many familiar features of organizational incentive systems connected with job performance.

On the other hand, this study compiled and reviewed various literature from the secondary sources either in printed form or electronic including scholarly journal articles, books, and reports. From the secondary sources, all the sources are related to the previous studies with the evidence. While the literature obtained with the definition of the concept’s study and structured comprehensively starts with the general sense, it supports the education sector’s satisfaction, the issue statement, and the other countries’ situation. According to Doyle (2019), what is the meaning of the benefit is the packages include all the non-wage benefits, which is the package includes all the non-wage benefits, life insurance and paid time off and some types of employee benefits that are mandated by law, including minimum wage, overtime, leave under the Family Medical Leave Act, unemployment, and workers' compensation and disability.

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The Need of Benefit in Education Sector

The need for benefit in the education sector, especially to the higher education is because the traditional modes shown that there have their owns challenges and advantages. As we know, the benefit was including training, health, and employees right related to education. In these situations, it will help the higher education to keep up to date with the professional development in the teaching modes, etc. Then, this is also can improve their chances of progressing with the right profession and make a higher value contribution to a successful organization or sector. More needs of benefits to the education sector are by earned the potential within the organization or industry and the last one is to develop academician skills, for example, transferable skills such as numeracy, communication, and technology.

Besides, the need for benefits to the specialist knowledge that a higher qualification brings with the confidence and ability to assess existing practices and alternative approaches especially to the education sector. Access training that realizes the full potential of the staff while meeting and organization's needs will help incorporate operational improvements and the best practice within these needs. Using advanced training is to implement the strategic plans to be more effective, by transferring knowledge and also improving an employee’s skills base. Besides, by promoting the specialist as an academician, it will give a training opportunity by learned culture and attract new staff with attractive work-related training. Achieving the organization's goal, is also related to this need of benefit, because it will increase confidence and motivation among staff, reduce staff turnover rates, and also all-around better company performance. This benefit will incentivize all staff through to the link to the national framework and encourage progression gain accreditation for indoor programs and to gains credit toward especially to the higher education itself (www.nibusinessinfo.co.uk).

Figure 1: Why employees benefit is important Source: Dewitt, K (2017:1)

Why

benefit is important?

Increase loyalty

Improved recruiting Increased focus and

productivity

Increased attendance

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The Problem of Benefit

According to Benjamin, R. (2018), in general, the problem of benefit is including safety, health, and productivity. For example, is manufacturing sector (small and medium-size industries) were still using old technologies where short-term yearly profits matter more than long-term strategic planning that would create a conducive and healthy workplace. This is why some companies have poor working and safety conditions, resulting in illness and organ impairment among workers. These companies are compelled to embrace advanced technologies to ensure safety, health, and productivity.

Additionally, the impact of wages is quite huge compare with others. For example, as the labor supply increases, downward pressure is placed on the wage rate, which shows that the pressure has come from the compensation or payment itself. Sometimes, if the employer makes a demand for their employees whose are doesn't keep the employee's supply and directly gives an impact through the wages. Moreover, an excess supply of workers is particularly harmful to employees by working for those who do not have a degree or specialized training (www.nibusinessinfo.co.uk).

The Benefit Framework

The benefit framework was by State policy and research for early education (SPREE) was an approach to improve the early learning experience for children around the country. This framework is related to the education sector, it is involving various parties, such as leadership, personality, and rewards earned. This framework indicates that benefit should be a process that as a guideline in the making that will give policymaker and education leaders with new insights and clarity when planning their state-sponsored early learning initiatives. The framework consists of five principles that the SPREE working group identified as critical components to planning and executing an effective early learning program. In this two-part of blog post, it will take a look at the first principle, equity, which lies at the core of the entire framework, and examine why it is so essential to the other principles.

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Figure 2: Framework equity/benefit

Source: State Policy and research for early education (SPREE)

Review on Benefit Within Higher Education in Malaysia Contexts

There was a past study in the Malaysia education sector, that revealed a significant contrast in the value of education and the development within the corporate and education sector (Hoque, Ahmad Zabidi & Abdul Jalil, 2014). On the other hand, this study also studied education is for personal excellence equity of society and the government people, the economy of security plenty and ending civilization as well as for the civilization of beauty and grandeur.

Compatible with the benefits definition, to combine the payment and the other benefit such as the medical card or pension to the employees, the top five reasons why employees stay in the organization is if they have good career progression opportunities. The findings suggest that employers should focus more on understanding the employees’ motivations if they want to improve their retention rate.

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As stated before, according to Tessema, Ready, and Embaye (2013), they explored how the level of pay and benefits had brought job satisfaction to Malaysian workers, with the expectation of a certain amount of monetary compensation for their organizational commitment and pay to be a quantitative measure of the interest of the employee. From that, in order to compete for the most talented workers, companies need to give attractive and fair pay and it has been argued that payment is a motivator for many employees initially and directly attracting and retaining people at work. Besides, employee benefits have become an important part of the total for organizational expenses and benefits are one of the greatest challenges in business today in attracting quality employees.

For academicians, higher education plays an important role in ensuring they achieve the goals particularly for the organization itself. According to Tay (2019), demanding the salaries had to start faced down pressures as a result because they had to settle a job by their overqualified because of the limited demanded graduates. From that, these issues are going unaddressed and lead to a lack of willingness from the future generation of Malaysians to pursue a higher-level education, said Bank Negara. It is to allow the command a wage premium, an employee should have higher skills to specialized skill and experiences.

Recently, the world is facing a pandemic problem, including Malaysia. From those issues, according to Ahmad Ibrahim (2020), see much wisdom in the stand taken by the government. This global pandemic had to affect businesses a lot of sectors including education. That’s a lot of challenging barriers for all sectors to operate as we use to under the current circumstances. Therefore, the government should play its roles to taken proactive measures before initiating a recovery plan. There would be consultations with various stakeholders, including SMEs, business associations, economists, think tanks, academics, individuals, and investors, to prepare a plan to revive the Malaysian economy. There is potential for more if the government can further improve the attractiveness of our university. Demand for such service has witnessed high growth in recent years.

2. Recommendation

In the future, the success reason and challenges aspect of the benefit will be more valuable and more huge knowledge to be understood. This is because the study limit is a scope of benefit by investigating the importance of these issues to the education sector. As a recommendation, the next study has to explore the other dimension of the benefits education sector. And finally, for the next study, the researcher should use a method perspective, quantitative research can rely on improving the sizes of samples and can produce qualitative research to respect the quality of relationships between these two variables.

3. Conclusion

In conclusion, the evolution of education is looking at the benefit to be more comprehensive and dedicated. Compare to the other studies, an employee can increase their performance from the benefit they are got from the organizations. Although the previous study already discussed the implications and experiences of the compensation, we hope that Malaysians can offer useful insight, knowledge, and understanding of the benefits in their job intention, especially to the education sector.

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References

A Fair Start: Ensuring Alla Students are ready to Learn. (2018). Retrieved from https://www.waterford.org/education/equity-early-education-principle/

Ahmad Ibrahim (2020). Bigger boost for education post Covid-19. Retrieved From https://www.thestar.com.my

Akter, N & Hussain, M. M (2016). Effect of Compensation on Job Performance: An Empirical Study International Journal of Engineering Technology, Management and Applied Sciences, Vol 4 (8), 2349-4476

Dewitt, K. (2017). Why are employee benefits important? Retrieved from https://www.patriotsoftware.com/blog/payroll/why-are-employee-benefits-important

Doyle, A. (2019). Types of Employee Benefits and Perks. Retrieved from https://www.thebalancecareers.com/types-of-employee-benefits-and-perks

Faizuniah P., & Salniza M. S. (2008). A conceptual framework for examining the relationship between high performance systems and organizational citizenship behavior. Issues on Quality of Work Life, 259-260.

Hoque, K.E., Ahmad Zabidi & Abdul Jalil. (2014). Popular benefits in a compensation packages: a comparative study within to corporate sector and trading profession. Retrieved from http://umexpert.um.edu.my/file/publication

Khadijah Abdullah et. al (2019). Transforming education Malaysia: From Blueprint to Practice.

Retrieved from https://www.centreforpublicimpact.org/transforming-education-malaysia- blueprint-practice/

Khulida Kirana Y., Faizuniah P., Johanim J., Mohd Faizal M. I., & Zulkiflee D. (2008). Examining the relationship between employee benefits and job satisfaction. The 4th National Human Resource Management Conference Proceedings, 415-420.

Malaysia’s Efforts in Improving Education Outcomes Offer Useful Lessons for Developing Countries (2018). Retrieved from http://www.worldbank.org/en/news/press-release/2018

Randstad N.V. (2018). Attractive salary and benefits most important to Malaysian employees:

Randstad employer brand research. Retrieved form http://www.randstad.com

Staff and business development through higher education: Benefit of higher education and work- based learning. Retrieved form http://www.nibusinessinfo.uk

Tay, R. (2019). Starting salaries for higher educated graduates in Malaysia are falling-here’s why that’s worrying. Retrieved from https://www.businessinsider.my

Tessema, M.T., Ready, K.J. and Embaye, A.B. (2013). The Effects of Employee Recognition, Pay, and Benefits on Job Satisfaction: Cross Country Evidence, Journal of Business and Economics, Vol. 4(1), 1-12.

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