Beyond the Clock: An Analysis of Extended Work Hours, Employee Compensation, and Perceived Productivity in Ugandan Organizations
Authors: Musiimenta Nancy1 , Ahumuza Audrey2
Keywords: Extended work hours, overtime compensation, employee productivity, job satisfaction
Show Abstract
Background: Extended work hours have become increasingly prevalent in Ugandan organizations, yet their
relationships with employee compensation structures and productivity outcomes remain poorly understood,
hampering evidence-based policy development.
Objective: This study examined the relationships between extended work hours, employee compensation structures,
and perceived productivity in Ugandan organizations, analyzing both direct effects and mediating mechanisms through
compensation satisfaction, perceived fairness, and job satisfaction.
Methods: A cross-sectional survey was conducted with 393 employees from manufacturing, services, education, and
healthcare sectors in urban Uganda between June and August 2024. Data were collected using validated questionnaires
measuring work hours, compensation structures, satisfaction dimensions, and perceived productivity. Statistical
analysis employed univariate descriptive statistics, bivariate correlations and group comparisons, and structural
equation modeling to test hypothesized relationships and mediation effects, with model fit evaluated using multiple
indices (CFI, TLI, RMSEA, SRMR).
Results: The sample demonstrated widespread extended work hours, with only 15.8% working within the statutory
48-hour week and 55.2% exceeding 55 hours weekly (M = 56.19, SD = 7.62). Work hours exhibited significant
negative correlations with compensation satisfaction (r = -0.233), perceived fairness (r = -0.186), job satisfaction (r =
-0.314), and perceived productivity (r = -0.338, all p < 0.001). Employees receiving overtime compensation reported
significantly higher satisfaction, fairness perceptions, and productivity compared to those on fixed salaries (all p <
0.001, Cohen's d > 0.80), despite similar work hours. Structural equation modeling demonstrated excellent fit (CFI =
0.967, TLI = 0.954, RMSEA = 0.024) and revealed that extended work hours negatively affected productivity both
directly (β = -0.271, p < 0.001) and indirectly through reduced compensation satisfaction, fairness perceptions, and
job satisfaction (total indirect effect = -0.217, 95% CI: -0.284 to -0.156), with the total effect being substantial (β = -
0.488). The model explained 54.7% of variance in perceived productivity, with compensation satisfaction emerging
as a critical mediator (β = 0.284 to productivity, p < 0.001).
Conclusion: Extended work hours in Ugandan organizations were negatively associated with both employee wellbeing and perceived productivity, with compensation structure significantly moderating these relationships. The
findings challenge prevailing assumptions that longer hours enhance productivity and demonstrate that inadequate
compensation for overtime work undermines both fairness perceptions and productivity outcomes. Organizations
should implement overtime compensation policies, enforce work hour regulations, and develop productivity metrics
that reward efficiency over presenteeism to enhance both employee welfare and organizational effectiveness.
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