What’s the best form of employee rewards?

Employee rewards in modern day organizations has been evolving over the years – it has become more of an art than a science. Gone are those days where employees were happy receiving trophies and consumer durables.

Organizations have tried everything from trophies, company branded merchandize, durables, electronics, holiday packages, gift vouchers and even cash.  Many organizations have used training programs and conferences to motivate their high performing employees. A few of these methods have worked, most of them haven’t. What does it mean for organizations? Should they stop experimenting and continue with what they are doing? What is the best method of rewarding employees?

As you might have guessed by now, that there is no single right answer to this question! The answer is ‘it depends’. It depends on a whole host of factors ranging from the industry type to employee seniority level right down to individual employee preferences. Given the complexity of the situation, organizations are faced with the daunting task of choosing the type of reward to give their employees.

However, a couple of options seem to make sense more than others. Rather than deciding on what the employees would want, it would seem better to leave the choice to the employees themselves. Given this, cash, digital currency or popular gift vouchers would make the cut. Employees could use these rewards to purchase that they would want to rather than being locked down to the choices of the HR/ management team. These work out far better than the traditional company branded merchandize or consumer durables.

How do intangible rewards work out? It’s definitely a good idea given the overuse of the other kinds of rewards. Coffee with the CEO, Dinner with the Director, Conferences and Training programs are few of the ideas that be utilized by organizations that do not prefer monetary rewards.  In fact, we believe these types of rewards could actually get into mainstream going forward. Coupled the social recognition from colleagues, employees would find these rewards more meaningful than others.

 

R&R on Social Media – the great debate!

Many organizations are still trying to figure out how to incorporate social media in their HR policies. One such aspect is posting or allowing employees to post the awards they have received from the organization on their social media pages.

social media

For employees who spend hours on social media every day – posting, liking, commenting, sharing and chatting with their friend, this is a big deal! Employees would love to flaunt their awards on social media and soak up all the adulation (likes and comments) they might receive from their friends. The satisfaction garnered from this social recognition might be far greater than that from the actual monetary value of the award itself! Plus think of all the employer branding and referrals that this might generate!

What’s the flip side? For starts, it might expose confidential information to the world – names of clients, important project, etc. With hundreds of friends on social media and thousands of friends of friends, one cannot be sure that this information will not fall into wrong hands – competitors, clients, regulatory authorities and head hunters, just to name a few. Of course, the employee himself or herself will be seen as someone with high potential and may be approached by a competitor!

Well, the debate continues…

-by HiFives