The study examined the relationship between reward levels and employee performance at City Tires in Kampala Capital City, Uganda. The research employed a quantitative cross-sectional design with a sample of 87 employees from various departments. Data were collected using structured questionnaires and analyzed using Pearson correlation and regression analysis. Results revealed a strong positive correlation (r = 0.742, p < 0.001) between reward levels and employee performance. Financial rewards showed the strongest association with performance (r = 0.681, p < 0.001), followed by non-financial rewards (r = 0.598, p < 0.001) and recognition programs (r = 0.524, p < 0.001). The regression model indicated that reward levels explained 55.1% of the variance in employee performance (R² = 0.551, F = 104.38, p < 0.001). The study concluded that reward systems significantly influenced employee performance at City Tires, with adequacy of rewards being a critical factor in enhancing productivity. Recommendations included implementing a comprehensive reward structure combining both financial and non-financial incentives, establishing clear performance-reward linkages, and conducting regular reward system audits to ensure competitiveness and fairness.