Organizations today need to create a set up at workplace that makes the employees motivated, loyal, satisfied and committed for a strategic competence. Effective organizational intervention leads to greater satisfaction of the employees if they are provided rewards and extrinsic compensation like pay increments, bonuses, allowances and grants along with job security and promotion opportunities. The employees feel satisfied and psychologically affiliated with their organizations if they found that their organizations value and reward their efforts which in turn serve as the competitive advantage in the long run. The present study is an effort to investigate the impact of extrinsic rewards on job satisfaction in a telecom sector. The study examined the effect of extrinsic rewards such as salary, bonuses and benefits to know the level of employee’s job satisfaction. The study was conducted in a telecom sector in the region of Islamabad. Huawei International (Pvt.) Ltd is a well reputed organization in telecom sector. The data was collected from 125 employees of different organizational levels including executives like directors, senior managers, middle managers and low level staff through self administered questionnaires composed of 15 questions. 100 out of 125 employees belonging to different categories responded. Two hypothetical problems were taken into consideration and tested using SPSS software. Analysis of data received in the form of employee response, was also made using SPSS. Results nullified an initial or null hypothesis and then alternative hypothesis when tested, showed positive trends in all variables. Impact of rewards showed its importance at a higher level of relationship. The results of regression analysis show that job satisfaction is more dependent on extrinsic rewards. The managerial implications, limitation of the study, future guidelines and recommendations have also been given.

Organizations today need to create a set up at workplace that makes the employees motivated, loyal, satisfied and committed for a strategic competence. Effective organizational intervention leads to greater satisfaction of the employees if they are provided rewards and extrinsic compensation like ...