EXPLORING COMPENSATION DISPARITIES AND WORKFORCE PRODUCTIVITY IN GHANAIAN HEIS: INSIGHTS FROM THE UNIVERSITY OF EDUCATION, WINNEBA AND APPIAH-MENKA UNIVERSITY OF SKILLS TRAINING AND ENTREPRENEURIAL DEVELOPMENT

Authors: Mr. Kwadwo Amankwa Yeboah, Ms. Adwoa Serwaa Karikari, Ms. Monica Boateng & Mrs. Irene-michelle Ofosu-Behome

ABSTRACT

Compensation policies play a pivotal role in shaping organisational success by influencing employee motivation, satisfaction, and retention. Within Ghana’s higher education institutions (HEIs), concerns over perceived inequities and inconsistencies in compensation practices are increasingly surfacing, posing challenges to institutional performance. This study explores compensation disparities and their implications for workforce productivity, using the University of Education, Winneba (UEW), and the Akenten Appiah-Menka University of Skills Training and Entrepreneurial Development (AAMUSTED) as case studies. Anchored in equity theory and relative deprivation theory, the research employs a mixed-methods design, administering structured questionnaires to 100 staff members across diverse departments and ranks.

Quantitative data were analysed using descriptive statistics, Pearson correlation, and one-way ANOVA. The findings highlight widespread perceptions of unfair compensation, particularly to fairness, transparency, and merit-based rewards. Dissatisfaction was most pronounced among junior and mid-level staff, who reported higher levels of discontent than their senior counterparts. Strong negative correlations were found between perceived compensation disparities and key indicators of workforce productivity, namely motivation, job satisfaction, and organisational commitment.

The study concludes that current compensation structures, shaped by national wage guidelines and institutional constraints, fall short of promoting fairness and enhancing staff performance. It advocates for reforms focused on transparent, merit-based compensation and increased institutional autonomy in salary management. These findings offer valuable insights for human resource development and governance in Ghana’s public universities.

Keywords: Compensation disparity, employee performance, higher education, Ghana, UEW, AAMUSTED, job satisfaction, organisational equity.

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