Over the years, discrimination stillhappening around people in this world. Discrimination can be said as beingprejudice among people and usually happen in gender, race, and age. Discrimination a sociological term referring totreatment taken toward or against a person of a certain group that is, takenbased on class or category, continues to persist in various areas of life (ILO,2003) and perceptions of it allow individuals to act on the problem at hand(Dipboye and Collela, 2005). There is two type discrimination which is directdiscrimination and indirect discrimination. Direct discrimination is when beingtreated different with the others because of the certain reason and indirectdiscrimination consists of rules or procedures that, while not explicitlymentioning discriminatory attributes, intentionally or unintentionally couldgenerate discriminatory decisions (P. Priya 2012).According to Revees and Badeen (2000),gender discrimination is the systematic, unfavourable treatment of individualson the basis of their gender, which denies them rights, opportunities orresources.
Gender discrimination usually occurs to women where they are treateddifferently simply because of their gender. This discrimination always occurstowards women even though their performance in their work is higher than menworkers. By giving their best in work but still being denied their abilitybecause of this assumption that the other gender is better lead to employeeperformance poor employee’s performance.Beingtreated less favourably than another person in a similar situation because oftheir race, colour of their skin, descent, nationality or ethnic origin orimmigrant status is define as racial discrimination. Racial discrimination can occurs serious consequences,including negatively impacting psychological, physical and work outcomes.Usually, race discrimination occur on particular races or people who has lowlevel of status in society.
Compensation means all forms of financialincentives given by employers to their employees in exchange for theircontribution in an organization. To increase employees’ performance, compensationas the exchange for it which is output and the benefit that employee receive inthe form of pay, wages and also same rewards like monetary (Holt, 1993). Accordingto Emansa and Kerstena (2001) it is unreal to assume that introduction of “payfor performance”, pay according to the performance shall change each employeeduring one night into a high-performance and motivated individual. Thesatisfaction of workers have the potential to increase the employee performanceand compensation is one of employee satisfaction as their rewards for theircontribution towards organization. According to Li and Hung (2010), there ismore commitment, satisfaction, and motivation for the employee and better overallperformance for the employee.
Employee performance is can be said as thebeat of organization which is their performance towards the company isimportant. Organization also has been invest in employee performance by givingthe employee the training and development so that the employee can their bestin their performance in order to achieve organization goals. Employees are resourcesin organizations, and as such they need to be trained and developed properly inorder to achieve an organization’s goals and expectations (Brewster, 2007).More the developed employees, more they are satisfied with their job, henceincreasing the firm productivity and profitability. (Champathes, 2006). Thisalso can be said that when the employee perform well it can increase theperformance of the organization as well.