Impact of non-financial rewards on employee psychological engagement: A study on Tiger New Energy Co., Ltd.

Abstract

The psychological engagement of employees has emerged as a significant issue to those organizations who strive in achieving sustainable performance and employee retention in the current competitive business world. Even though the financial compensation continues to play a significant role in motivating employees, non-financial rewards became equally important in shaping the sense of belongingness, motivation, and commitment of the employees. Nevertheless, past research has predominantly concentrated on the general employee satisfaction and organization performance while little attention has been given to the psychological engagement aspect especially in the emerging manufacturing and clean energy industry of Bangladesh. To fill this gap, this study explores the effects of the non-financial rewards on employee psychological engagement in Tiger New Energy Co., Ltd. The research design is qualitative and descriptive research design with primary sources of data which was gathered using a structured questionnaire of organization employees. The five key non-financial rewards dimensions presented in the analysis are recognition and appreciation, work-life balance, career development opportunities, job autonomy, and organizational culture. The results indicate that employee motivation and engagement positively depend on recognition, ethical workplace culture, teamwork, and opportunities to develop skills. The study, however, also reveals serious issues in the areas of worklife balance, emotional attachment, autonomy, and long-term organizational commitment, with the number of employees expressing neutral or negative perceptions in some specific sections which became quite significant. The results also indicate that when non-financial rewards are not consistently implemented, the psychological effectiveness of such rewards is restricted even if a positive organizational climate exists. This paper is valuable because it offers both practical and theoretical insights into how non-financial rewards can be used to influence the psychological engagement of employees in the context of the growing clean energy sector in Bangladesh and why the structured, meaningful and employee-centered engagement practices should be adopted to guarantee sustainable organizational development.