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Noncash Rewards Research Paper

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These are challenging days for employee rewards. With base pay increase averages continuing to hover at 3 percent or even less, employers are looking for additional ways to engage employees and reward exceptional effort and performance. Enter employee recognition programs, which provide noncash rewards to deserving employees. “Base pay increases have been relatively small, so these programs are a way to go above and beyond that to recognize achievement,” said Ilene Siscovick, a partner with HR consultancy Mercer in New York City. Noncash rewards are not necessarily new. What is new is the extent to which these programs are being integrated into operations to improve performance. This is especially true since the 2008-09 recession and its aftermath.…show more content…
If the plan and its rewards are not meaningful to and valued by employees, it is likely to fizzle out due to lack of interest. Instead, the program and its rewards should have top-down support, clear criteria and eligibility for nominations, and rewards that are both innovative and relevant to employees. “For any rewards program to be successful, employees have to see the value of it,” Snyder said. “If the employees don't see the value of the program, it serves no purpose and will not meet its…show more content…
By designing a program with these elements in mind, employers are more likely to end up with a program that is both effective and valued by employees. Goals Before developing a program, it is important to identify its goals and what the company wants to accomplish. These can be as diverse as organizations themselves and can include engaging and motivating employees, increasing sales, focusing employee efforts on achieving one specific objective, and so on. Whatever the goals, they should be clearly articulated, and the program should be evaluated against the achievement of those goals. The program’s goals will also help to determine who is eligible for these rewards and the criteria for making the awards. Management buy-in Management support for noncash rewards occurs on several levels. On one level, senior executives can be on board with the program and willing to emphasize and promote its importance. On another level, senior managers can be involved in the presentation or execution of the reward. This can be as simple as handing the reward to the employee or it can involve participating in the reward itself if, say, an employee is rewarded with the chance to have lunch with one or more senior executives to discuss career
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