The study was based on an investigation about employee motivation practices in universities of Punjab. In this regard objectives of the study involved to assess the factors serving as motivation force for employees, comparison of motivational factors considered significant for employees of public and private universities, to compare motivation techniques used by public and private universities for employees and to evaluate the effect of motivation technique on motivation factors. Employee from public and private universities of Punjab responded against two study questionnaires (MFAS & MTAS). These tools of data collection were developed by the researcher in light of related literature and researches. Various statistical tests were used for data analysis like correlation, t-test, regression, percentages and factor analysis. A pilot testing was conducted for the verification of the tool with reference to its reliability and validity. Total faculty members of all public and private universities located in province of Punjab, Pakistan was population of this research. For sample selection, proportional stratified sampling technique was applied and ten percent (11%) members out of population were taken as sample. These questionnaires were distributed among 1033 faculty members which was desired sample size and finally 940 questionnaires were received in complete form. Responses received from the respondents were interpreted and analyzed through SPSS 16th edition. The analysis provided a significant interrelationship among scales and subscales. Data presented high motivation level of private universities' employees as compare to public sector universities' employees. But private universities were found to be incapable of fair and frequent distribution of intrinsic and extrinsic techniques. In this regard public sector universities of Punjab were better in terms of integration of intrinsic and extrinsic techniques with management practices. The study was highlighted a need to explore some other areas responsible for ineffectiveness of motivational techniques in regards of employees motivation. The study findings might be helpful in figuring out deficit areas causing low or no motivation. Need for proper and regular development programs for managers of an organization was also considered imperative so that psychological factors could be addressed.