This study examined the influence of extrinsic motivation on employee performance at Kipchabo Tea Factory in Nandi County, Kenya. As a key player in Kenya’s agricultural sector, particularly in tea processing, the factory operates in an industry that remains central to the national economy yet continues to grapple with persistent productivity challenges (KIPPRA, 2020). These challenges underscore the need to understand motivational factors that shape employee output. The study specifically evaluated how compensation, job security, recognition and awards, promotion opportunities, leadership support, and training initiatives affect employee performance. Guided by Herzberg’s Two-Factor Theory and Maslow’s Hierarchy of Needs, the study adopted a descriptive research design and drew a sample of 200 respondents from a target population of 400 employees using stratified random sampling. Data were collected using a structured questionnaire, whose reliability was confirmed through a Cronbach’s alpha coefficient of .709. Descriptive statistical methods—including means and standard deviations—were used for data analysis. Findings indicated that extrinsic motivation positively contributes to improved employee performance, with recognition and awards emerging as the most significant predictor. The study recommends regular appraisal of reward structures, adoption of participatory management practices, and enhanced investment in employee development to sustain motivation and optimize performance.