HUMAN RESOURCE MANAGEMENT PRACTICES AND EMPLOYEES’ PERFORMANCE IN PRIVATE AND PUBLIC BANKS IN THE TAMALE METROPOLIS, GHANA

Abstract

The aim of the study was to assess the effects of human resource management practices on employees’ performance in private and public banks in the Tamale Metropolis. Human resource management is very crucial to organisations especially the banking sector since it is a service delivery industry, thus it requires experts in service delivery. Several studies conducted have shown the impact of human resource management on employees’ performance. Studies conducted in the banking sector in Ghana and tamale have been done in isolation without comparing the HRM Practices of the two types of banks since some staff complain about some of the practices. The study employed the concurrent mixed method research design, Survey questionnaires as well as key informant interview were administered to 275employees of public and private banks and customers. Both qualitative and quantitative analytical tools were used to analysis data. The results revealed that salary of staff, availability of motivation and rewards and training and career development significantly influence staffs’ performance in public banks positively while working experience positively affected staffs’ performances in private banks. The results revealed that banks loan interest rates, staff-customer relationship, type of services rendered by banks, and waiting time have significant effects on customers’ choice of banks. The study recommends that banks should adopt strategic HRM practices and embark on motivational and rewards packages as effective measures of sustaining high staff performance. Public banks should continue to conduct regular training and carer development programs for their staff since it has a positive effect on their performance.