Publication Details
Abstract
Civil service productivity is a key component of state capacity in developing democracies. Yet, the influence of employee welfare frameworks on bureaucratic performance remains underdeveloped and underexplored at the sub‑national level, where fiscal capacity varies markedly. This study examines the relationship between welfare policies-remuneration, healthcare, and pensions-and public sector productivity in Nigeria, drawing on a comparative analysis of Lagos (high fiscal capacity) and Osun (low fiscal capacity). Guided by Herzberg’s Two‑Factor Theory, the analysis combined original survey data with administrative records and there after employed Ordinary Least Squares (OLS) regression. The results indicate a strong, statistically significant positive association between comprehensive welfare provision and civil service productivity. The comparison, however, reveals a moderating role for state capacity. In Osun State, basic “hygiene factors”, such as timely salary payments, appear to be the principal drivers of productivity. In Lagos State, higher‑order benefits-such as health insurance and housing schemes-prove more consequential for enhancing performance beyond formal compliance. These findings challenge one‑size‑fits‑all approaches to public sector reform across Nigeria’s tiers of government, particularly in the two states under review. The study concludes that welfare‑driven productivity interventions must be calibrated to the fiscal realities of individual states if human resource management in the civil services of Lagos and Osun is to be optimized.