Abstract

This study explores the relationship between financial incentives, particularly the Performance-Based Bonus (PBB), and employee motivation in TELUS Digital Quezon City. Guided by Vroom’s Expectancy Theory, the research examines how operational policies such as Zero After-Call Work (ACW) are associated with the perceived effectiveness of incentive structures in sustaining motivation, job satisfaction, and performance. A quantitative correlational design was employed. Data were collected from 100 call center agents under the Canadian Imperial Bank of Commerce (CIBC) account using a structured survey questionnaire. Perceptions were measured across the three dimensions of Expectancy Theory—expectancy, instrumentality, and valence. Weighted mean was applied for descriptive analysis, while Spearman’s rho correlation test determined the strength and significance of relationships between financial incentives and employee motivation. Findings revealed significant positive correlations between Performance-Based Bonus (PBB) and employee motivation dimensions. However, the Zero ACW policy was associated with weaker relationships, as agents reported difficulty linking effort to performance, reduced trust in reward delivery, and diminished perceived value of bonuses. Stress and fatigue were identified as factors associated with lower perceived effectiveness of financial incentives. The findings indicate that while financial incentives can motivate employees, operational constraints are associated with lower perceived effectiveness. Financial incentives alone are insufficient to sustain long-term motivation. Transparent, fair, and attainable incentive structures must be integrated with non-monetary recognition, career development opportunities, and supportive workplace policies to support engagement, satisfaction, and retention.