The role of social culture on employees’ preference for Reward rules: A study in Arab countries

Abstract

This study examines the role of social culture in shaping employee preferences for reward systems in five Arab countries: Jordan, Saudi Arabia, the United Arab Emirates, Egypt, and Kuwait. Recognizing the diversity of cultural, economic, and social contexts within the Arab world, the research aims to explore how cultural values influence attitudes toward different types of rewards, including monetary incentives, recognition programs, and career advancement opportunities. The study population consists of employees from different sectors in these five countries, with a sample of 694 participants. Of these, 343 individuals responded, representing a variety of industries, organizational levels, and demographic backgrounds.The results indicate that cultural factors, such as collectivism, respect for authority, family ties, and social hierarchies, significantly influence employee preferences for reward systems. Employees in countries such as Saudi Arabia and Kuwait, where hierarchical structures are more prominent, showed a stronger preference for rewards linked to seniority and status. In contrast, respondents from the UAE and Jordan, who have greater exposure to modern organizational practices, indicated a higher preference for performance-based reward and recognition programs, Egyptian employees were found to emphasize the importance of job security and long-term career advancement opportunities over immediate cash rewards. Based on these findings, the study recommends that organizations operating in the Arab world adapt their reward systems to align with the cultural values and social expectations of their workforce. Specifically, reward programs should take into account the importance of hierarchy, family values, and group dynamics, while incorporating performance-oriented incentives where appropriate.