The effect of corporate social responsibility activities on employee Motivation: a case of Nzoia Sugar Company in Western Kenya
Wasike, Martin Shikuku
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The relationship between CSR activities and employee motivation is an emerging research theme. A number of past studies done in the western world have established that there is a significant relationship between the CSR activities in the company and employee motivation. However, studies that support these propositions in an African setting and specifically Kenya are scarce. This study therefore investigated the effect of corporate social responsibility activities on the motivation of employees in Nzoia Sugar Company in western Kenya .. The study employed a triangulation of descriptive and explanatory designs. Stratified random sampling was used to obtain a sample of 306 respondents in the company. A self administered questionnaire was used to collect primary data. Data was analyzed using both descriptive and inferential statistical tools with the help of the SPSS software. Specifically, correlation was used to determine the associations between the different CSR activities and employee motivation. The results from the hypotheses testing indicated that there are significant positive associations between different CSR activities and employee motivation in the company. The study sought to establish associations between the CSR activities and different indicators of employee motivation in the company and the findings of the study pointed at there being positive associations. Five indicators of employee motivation namely job satisfaction, job achievement, job responsibility, job recognition and job growth were correlated with all the types of CSR activities in the company and the findings clearly showed some significant positive associations among the variables. Only two indicators of employee motivation which are job recognition and job growth showed some low associations between them and the external CSR activities in the company. These are customers related, the local community-related and the business partners-related CSR activities. The two indicators however showed high associations between them and employees-related CSR activities as internal CSR activities. On the whole, each type of CSR activities had its own strength and degree to which it can promote or influence employee motivation. Out of the four types of CSR activities, employees-related CSR activities had the highest association, followed by the local community-related CSR activities. The third type was the business partners-related CSR activities, while the last type was the customers-related CSR activities which had the least significant positive association with employee motivation. This• firm and other firms should therefore consider these activities as a motivational factor for their employees and therefore a very' important strategic point that should be fully exploited to boost employee morale,• commitment, satisfaction and performance. In order to understand the corporate social responsibility practices, these activities were viewed from the various stakeholder perspectives. These are employees, customers, business partners and the local community. Further research should therefore explore more on the relationship between these different types of CSR activities and employee motivation using different research designs so that the findings of this study could be generalized to companies in other areas.