Remuneration

Monetary Rewards Money is probably the most rewarding motivation factor. However, there are many different types of monetary rewards that an employee may receive, these could be: Wage Salary Piece rate Performance related pay Bonus Commission

Time work - Basic Payments Wages – tend to be calculated on a time based system. Workers are paid so much per hour worked. Salary – paid for doing a particular job. No overtime is paid as salaried workers are expected to work as long as it takes to do their job.

Performance related pay Piecework – this is a payment system where the worker is paid for each piece of work they complete that meets a given standard. Performance related pay – a bonus or salary increase awarded in line with an employee’s achievements over a range of criteria.

Performance related pay Bonus – bonuses are given to staff as a reward for doing well. Non-sales staff may be given bonuses if their department achieves a particular target. Commission – for every sales they achieve, they get paid a certain amount. Some staff are paid wholly by commission.

Additional Payments Profit-Sharing – a system where businesses set aside a portion of their profits which are then shared between their employees. Share ownership – some companies offer their employees shares within their company as a means of rewarding them for their efforts.

Productivity Agreement Some workers expect wages to increase annually – to keep up with inflation! Some businesses might agree if the workers perform to a certain level These are negotiated between the managers and the unions (representing the workers)

Non-Monetary rewards (“Fringe Benefits”) There are also many ways in which a company rewards it employees with benefits other than actual money, such as; Company cars Children school fees paid Healthcare for family Discounts Share option Pension Expense account Membership of health clubs Subsidised canteen.

Job Enrichment Wider tasks with more skill requirement Reduced level of supervision Involvement in target setting Worker feels more valued 

Job Enlargement Greater variety of similar tasks Provides interest to workers Eg – seeing a job through from start to finish instead of only doing one small part of it 

Job Rotation Job rotation – undertaking a variety of jobs over a period of time Swap between jobs Opportunities for promotion  New skills learnt – motivated 

Staff Appraisals Finding out what your workers want! BUT – has to well managed and discussed! Workers need to feel valued and motivated (don’t make them feel threatened!)