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1.1    Background of the Study

Teaching has often been described as the oldest and noblest of all professions. The engineers, lawyers, pharmacists, medical doctors and others are made by the teacher. It can be inferred therefore that the teacher is the most important manpower needed to develop other human capital in any society (Neckermann and Kosfeld, 2008).

A broad consensus is that, prior to independence, teaching was considered by almost all sections of society as a highly respected profession. Teachers played key leadership roles in local communities and acted as role models. However, after Independence, when the demand for educated labour with better compensation packages grew rapidly, many teachers left the teaching profession to take up jobs elsewhere in the public and private sector.

According to Balogun (2010), this marked the beginning of the teacher motivation crisis in Nigeria, as the public began to look down on those teachers who remained in the classroom as second-string public servants. The growing tendency for school leavers to opt for teaching only if they are unable to find other more lucrative public or private sector employment further compounded this problem of lowered professional status (Lawal, 2005).

According to Kayuni and Tambulasi (2007) lack of proper compensation packages for the teacher can have a negative impact on the teachers’ effectiveness and at length put student’s learning process at stake. Teacher’s contribution in the human capital development and technological advancement greatly depends on their compensation packages, which in turn is meant to affect their level of motivation and willingness for taking initiatives.

Salaries and wages administration as well as teachers’ welfare, have been the cause of incessant disputes between teachers and school management in Lagos State. The issues range from autonomy, bad working conditions, failure to fulfill agreements, to inadequate compensation, unpaid salary arrears, high handedness of governing councils, late payment of monthly salaries and allowances. For teachers, whether in the public or private secondary schools to be effective and efficient on their job, it is imperative for schools and their management to come up with compensation packages that promotes teachers’ job satisfaction.

Compensation packages according to Armstrong (2012) consists of an organization’s integrated policies, processes and practices for rewarding its employees in accordance with their contribution, skill and competence and their markets worth. The compensation packages are developed within the framework of the organization’s reward philosophy, strategies and policies and contains arrangements in the form of processes, practices, structures and procedures which will provide and maintain appropriate types and levels of pay, benefits and other forms of reward. Hence, this study seeks to explore compensation packages and teachers’ effectiveness in private and public secondary schools in Lagos State.

1.2     Statement of the Problem:

Generally, research exploring secondary school teachers’ compensation packages in Lagos State shows that, teachers are poorly paid and motivated and are dissatisfied with their living and working conditions. The key reasons for this are as follows:

·         Low wages when compared with other professionals

·         Low status in the society

·         Lack of career advancement opportunities

·         High teacher-pupil ratio

·         Poor work environment

·         Inadequate fringe benefits

·         Irregular payment of teacher salaries

According to Bennell (2004) these conditions are responsible for low teachers’ effectiveness in delivering their service, as well as for attracting and retaining quality personnel into the teaching profession in both public and private secondary schools in Lagos State.

The problem of teachers’ compensation has become disturbing that teachers are being compelled to seek for alternative means of livelihood to meet their basic needs. The ill treatment and non-professionalization of teaching job breeds dissatisfaction and hamper classroom effectiveness and productivity. In the face of frustration, low morale, harassment, condemnation and job-dissatisfaction, teachers had been accused of being responsible for the poor performance of students in examinations, especially externally conducted types, their involvement in examination malpractice, cultism and other negative vices (Hayble, 2001).

Furthermore, inconsistence in governmental policies such as nonpayment of teachers’ allowances, embezzlement of teachers pension fund, and non-inclusion of teachers in long service award programmes have been said to be responsible for the ineffectiveness of teachers at work. It is against this backdrop that this research seeks to investigate the effect ofcompensation packages on teachers’ effectiveness in private and public secondary schools in Lagos State.

1.3    Purpose of the Study:

The general objective of this study is to examine the effect of compensation packages on teachers’ effectiveness in private and public secondary schools in Lagos State. Other specific objectives of this study are:

     i.        To investigate the relationship between teachers’ salaries and teachers’ productivity in private and public secondary schools in Lagos State.

   ii.        To examine the effect of monetary incentives on teachers’ performance.

  iii.        Examine the impact of teachers’ satisfaction on students learning outcomes.

1.4    Research Questions:

This research work will be guided by the following research questions:

a)    What is the relationship between secondary school teachers’ salaries and teachers’ productivity in private and public secondary schools in Lagos State?

b)   Is monetary incentive a significant predictor of teachers’ performance?

c)    Does teachers’ satisfaction have any effect on students learning outcomes?

1.5    Research Hypotheses:

The following research hypotheses will be tested:

HO1    There is no relationship between secondary school teachers’ salaries and teachers’ productivity in private and public secondary schools in Lagos State.

HO2    Monetary incentive is not a significant predictor of teachers’   performance.

HO3   There is no relationship between teachers’ satisfaction and students learning outcomes.


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