Recruitment Process and Employee Performance in Commercial Banks; a Case of Housing Finance Bank

Abstract

The study focused on examining the effect of recruitment process on employee performance in commercial banks with specific reference to Housing Finance Bank. The study was guided by three objectives which included; determining the effect of recruitment planning on employee performance in commercial banks, to find out the effect of job advertising on employee performance in commercial banks and to establish the effect of employee selection on employee performance in commercial banks.

A case study research design which employed both quantitative and qualitative approaches was used. The study targeted a population of 144 employees at Housing Finance Bank in Uganda. A sample size of 103 was drawn from the target population. Questionnaires, interviews and documentary review were used to collect data. Quantitative data was fed into SPSS software program that generated frequencies, percentages, correlations and regression tables. Qualitative data was manually analyzed by the researcher.

Findings in the study showed that that correction coefficient (R), using predicator recruitment planning, 22.8% variations in employee performance are explained by recruitment planning while the remaining 77.2% is explained by other factors. Also correction coefficient (R), using predicator Job advertising, 31.6% variations in employee performance are explained by Job advertising while the remaining 68.4% is explained by other factors. Furthermore correction coefficient (R), using predicator employee selection, 30.7%variations in employee selection is explained by employee coaching while the remaining 69.3% is explained by other factors.

Based on the findings in the study recommended that, the Bank of Uganda through the Ministry of Finance should put more emphasis on job analysis as a critical component in improving employee performance. The bank of Uganda should also establish a framework where commercial banks unique and peculiar requirements are taken care of in the general job analysis by bank in order to further improve employee performance.

Housing Finance Bank should widely advertise for job vacancies in the bank externally because it is an appropriate method of attracting competent employees and hence improving performance of employees

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