Studies on the use of employee benefits have been carried out mostly in the developed economies. The existing literature on the subject does not reveal any similar study done in developing countries like Kenya. Kenya does not have a social security program and pension is the only form of social and economic security that workers look forward to when they retire. Yet benefits are rarely part of the pensionable compensation. Thus, if Kenyan workers are economically rational, they would prefer a higher basic pay and less benefits in order to boost their pension package. However,...