Are Non-Compensatory Employee Rewards as Efficient in Fostering Motivation as CashIncentives?
In the contemporary business environment, employees and managers alike are faced withnumerous pressures to perform to corporate expectations. These pressures are often created byhighly competitive business environments, environments which impose continuous change andinternal redesign or even progressing job responsibilities which create stressful workingconditions. (Amongst a variety of other pressures). In this high-paced business world, it isparamount to avoid high turnover costs as well as maintaining a highly unmotivated workforcewho are not recognized for their positive organisational accomplishments.There are a wide variety of different non-compensatory programmes or options availablefor modern business leaders to utilise as a means to reward positive performance, efficiency andoverall job-related productivity. Some of these rewards come in the form of flexible schedulingoptions, premium gifts elicited by company management, or even increased job-relatedautonomy to create perceptions of trust in the employee and their competency to carry out their job role without managerial intervention or continuous assessment.All of the aforementioned non-compensatory rewards likely have their merits in creatinga more motivated workforce, however can non-cash incentives, when utilized as an alternative tocash incentives, foster long-term motivation in employees? Does today’s business employeetruly value the more psychological elements of workplace incentives, such as increasedautonomy, or are cash-based incentives the most appropriate reward methodology for buildinglong-term organisational commitment and job satisfaction? This proposed research study intendsto answer the following three specific research questions: