Making Sure the Reward Makes Sense
Okay, we’ve established that nonmonetary rewards can be valuable, good for employees and the bottom line. Remember, though, that they’ve got to be done right in order to be effective. What does that mean, “done right”? It means that nonmonetary rewards must …
• Reflect the goals of the company.
• Be tied to job performance.
• Be fair and consistent.
• Be separate from the employee’s pay.
Nonmonetary rewards, ranging from a sincere “thank you,” to a half-day off, to a trip to the Bahamas, should be linked to performance and should align with the culture of the company. It doesn’t make sense to give somebody a reward, either monetary or nonmonetary, if the intent and purpose of the reward isn’t clear.