This study examines the effects of employee motivation and rewards by drawing on concepts from the self-determination theory and the reinforcement theory of motivation. Job performance is evaluated based on both task and contextual performance characteristics, while motivation and rewards are studied from both internal and external viewpoints. The role of job happiness as a mediator between motivation, rewards, and performance in the workplace has also been studied. Researchers gathered information from manufacturing and service company managers and workers using a five-point Likert scale. For this study, we used a non-probabilistic convenience sample of 422. We used a method called structural equation modeling to analyze the data we gathered. The findings suggested that incentives and motivation have a substantial role in improving workers' output on the job. However, the results of the dimensional analysis showed that intrinsic and extrinsic motivation had a minimal effect on the contextual performance. Furthermore, the results confirm that job satisfaction mediates the connection between pay, motivation, and productivity on the job. The findings of the present study offer senior management in manufacturing and service industries useful information for improving employee job happiness and performance through a variety of motivational and reward strategies.

Rewards, Motivation, Job satisfaction, Job performance