Abstract
Reward system is comprised of financial rewards and non financial rewards. Selecting the right rewards for the employees has
always been an issue in the human resource management. Many organizations in the hotel industry are unable to identify the
types of rewards which are best used to foster employees’ job satisfaction. This study was conducted to investigate the
relationship between rewards and job satisfaction as well as to examine the types of rewards that will affect employees’ job
satisfaction. Base salary raises (financial reward) and recognition (non-financial reward) have been discussed in this research.
Frontline employees working as Front Desk Assistants in four-star and five-star hotels in Klang Valley, Malaysia were taken as
sample for this study. 150 questionnaires were distributed and 132 were collected for analysis. Four hypotheses were assumed
and had been tested in this research. The data was analyzed using correlation and multiple regression analysis. The results
revealed that rewards are positively and significantly associated with job satisfaction; financial reward (r=0.819**) while nonfinancial
rewards (r=0.740**). Thus, hypothesis 1 and hypothesis 2 were supported. In addition, the regression result has
indicated that financial reward (β = 0.597) has a stronger impact on job satisfaction as compared to non-financial reward (β =
0.438). Hence, hypothesis 3: financial rewards affect job satisfaction was accepted while hypothesis 4: non-financial rewards
affect job satisfaction was rejected in the present study. Further discussions of the results and recommendations for future
research are presented in the study.
© 2014 The Authors. Published by Elsevier Ltd.
Selection and peer-review under responsibility of the Organizing Committee of Asia Euro Conference 2014.
Keywords: Reward Management; Job Satisfaction; Hotel Industry