Effect of Flexible Work Schedules on Employee Performance in Commercial Banks in Nakuru County

Abstract

Abstract The banking sector in Nakuru County is growing, yet flexible work schedules remain underutilized despite their potential to improve employee performance. This study examined the effect of flexible work schedules on employee performance in commercial banks in Nakuru County, specifically the effect of flexitime, compressed workweeks, remote work, and shift swapping on employee performance. Employing a quantitative correlational research design, data were collected from 84 respondents, including bank general managers, their assistants, and human resource managers, using structured questionnaires on a 1-5 Likert scale. Descriptive statistics, correlation, and multiple regression analyses were performed using SPSS version 25 to evaluate the relationships between the independent variables (flexitime, compressed workweeks, remote work, shift swapping) and employee performance. Results indicated that flexitime (β = 0.110, p = .000), compressed workweeks (β = 0.550, p = .008), remote work (β = 0.230, p = .040), and shift swapping (β = 0.040, p = .002) significantly enhance employee performance, with compressed workweeks exhibiting the strongest effect. Correlation analyses revealed strong positive associations with flexitime, r = 0.964, p < .01; remote work, r = 0.957, p < .01, and the regression model accounted for 58% of the variance in employee performance (R² = 0.58). The findings suggest that Nakuru’s unique economic and operational context may amplify the benefits of flexible schedules. The study recommends that commercial banks across Kenya adopt and expand flexible work policies to boost performance, job satisfaction, and work-life balance, with HR departments and bank executives responsible for implementation. Future research should investigate these effects in other industries and regions and explore the influence of organizational culture on policy effectiveness.