Regional Difference in the Organizational Commitment-Rewards Relationship in Vietnam

Abstract

This study investigates the relationship between rewards and the organizational commitment (OC) of 5,522 employees who work for 5 Japanese companies in Vietnam focusing on the difference between Red River Delta (Hanoi and surrounding provinces) and South East (Ho Chi Minh City and surrounding provinces). Hierarchical regression analysis revealed that co-worker support had stronger influence on OC in Red River Delta than in South East. On the other hand, benefit satisfaction had stronger influence on OC in South East than in Red River Delta. Other rewards (i.e., fatigue, supervisor support and autonomy) were equally related with OC for both areas. These results mean that OC-rewards relationship differs between regions and indicate signs of increasing individualism among Vietnamese employees in more economically developed parts of the country. Discussions and implications concerning human resource management in Vietnam are offered.

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