Assessment of human resource management in oil palm industries of Edo state, Nigeria

Abstract

This study assessed the human resource management in Presco and Okomu oil palm companies, in Ikpoba- Okha and Ovia- South West Local Government Areas of Edo state. The specific objectives of the study were to; ascertain the socio-economic characteristics of employees, determine motivational factors, verify relationship between management and employees, assess management system practices and identify the challenges facing employees and management. Forty employees from each of the two companies were randomly selected, making a total sample size of 80 respondents. Data were obtained with the use of structured questionnaires and were analyzed using frequency count, percentages, correlation coefficient and t-test. Findings of the study revealed that both males and females work in oil palm companies (Presco male: 71.8%, Okomu female: 73.5%).Majority are married (Presco: 59%, Okomu: 67%), Christians (Presco: 92.3%, Okomu: 100%), within the age bracket of 31-40years (Presco: 56.4%, Okomu: 97.1%), and educated (Presco tertiary: 43.6%, Okomu tertiary: 38.2%). Majority of the workers have spent 6-10years on the job (Presco: 41%, Okomu: 35.3%), and their monthly salary level is between N 20,000 and N50,000 (Presco: 48.7%, Okomu: 47.1%). Results showed that rules are followed rigidly (=2.27), clear instructions are also given to employees (=2.26), and managers guide actions of the employees (=2.12). However, respondents in Okomu agreed that management gives necessary criticism (=4.12), as the management system to enhance job performance, while Presco respondents did not agree to that (=2.18). Significant differences existed between Presco and Okomu in terms of management-employee relationship (t= 4.860, P< 0.05) and management system practices (t=3.054, P< 0.05). In conclusion, oil palm workers are not well remunerated, while the management systems need to be reviewed. This can be directly linked to the formal relationship within the organization and the autocratic system of management practiced. The study therefore recommends that democratic system of management should be practiced.