Encouraging your staff through incentives can boost engagement, productivity, and even employee retention. A good incentive policy ensures employees have something to strive for and offers a tangible acknowledgment for work that meets or surpasses certain benchmarks. Further, selecting the right rewards and benefits here is crucial for keeping employees motivated, promoting a good work ethic, and increasing job satisfaction. So, here are a few ideas for developing a successful employee incentive program:
Bonuses
Many employees view bonuses as key incentives. Companies typically announce bonuses close to year-end, but considering bonus offers throughout the year can have great results. A survey shows 65% of employees in the country prefer bonuses based on personal achievements. Some companies have even started offering hiring bonuses, particularly for in-demand jobs.
Flexible working hours
Today, many workers seek varied working hours based on location and type of work. As per a 2022 survey, 95% of workers prefer flexible hours, while 78% would like to choose their place of work. Asana is a company that is setting an example by giving its employees the freedom to develop their work schedules.
Employee health and well-being initiatives
Poor mental and physical health can affect workplace efficiency. Wellness initiatives such as subsidized healthy lunches, on-site health screenings, and access to mental health practitioners can improve employees’ quality of life and productivity. In 2020, according to a survey, 69% of people experienced burnout while working from home.
Employee recognition programs
Employees need to feel appreciated for their hard work. Simple gestures to thank or acknowledge employees can make a big difference. Here, awards, certificates, and public recognition at team meetings are common ways to acknowledge achievements, often through a points system for rewards.
Perks and profit sharing
Employees sometimes receive a share of the company’s profits through incentive schemes. Gallup, an analytics and advisory company, reports that 40% of employees desire profit-sharing options. Such schemes range from direct payments to stock options and retirement fund contributions. In addition, employees can earn perks such as additional time off.
Team-building activities and fun games
Social events, on-site or off-site programs, and retreats can be great ways to bring your team closer together. For instance, organize a treasure hunt and hide gifts around the office for your team to find. You can also organize many virtual activities if you have remote workers.
Free meals and home allowance
Offering free meals is a common practice across offices. Further, to help them with home-office expenses, consider programs that offer $200 per month for coworking space rental. Investing in employees’ well-being is always a good idea.
Purpose of incentives
When a team requires extra motivation and does not get it, a high turnover rate can be the fallout, and the organization can lose its most-valued employees. This disengagement can stem from ineffective management, rapid expansion, and a need for better alignment within the organization. Further, the lack of good incentives can lead to employee dissatisfaction over time. Providing benefits through a well-balanced employee incentive program can inspire your staff to enjoy work and help in achieving business objectives.
