The study is aimed at surveying the effects of fringe benefits on employee performance in the hospitality industry. Because of the reduction or stagnancy in employee performance, the idea of fringe benefits was introduced to increase employee performance. The research began by collecting data from primary and secondary sources. The primary sources were derived from questionnaires administered to the employees of Sofitel The Moorhouse, while the secondary data were obtained from different sources mainly textbooks, journals, conferences, publications and manuals e.t.c. The population study is the totality of all the workers, management of Sofitel The Moorhouse, ikeja. The number of employees in Sofitel The Moorhouse is 175, which was also adequate for sample size of 122. Three hypothesis tested in this study include, the significance relationship between employee performance and health benefits, effects of withdrawal of health benefit on employee productivity, impact of provision of health benefit on interpersonal relationship in the organization. The following was the findings; it showed that fringe benefits to employees of Sofitel The Moorhouse; were designed to increase employee productivity through different benefits like health benefits. Finally, the study concluded that financial reward and material rewards (fringe benefits) to the employees is a prime motivator for improved employees productivity.