Nonmonetary Rewards in the Workplace

Nonmonetary Rewards in the Workplace

Adrianne Villeda

COMM/112

June 19, 2013

University of Phoenix

Nonmonetary Rewards in the Workplace

Even though individuals believe that nonmonetary rewards are not better than monetary rewards in the workplace, nonmonetary rewards are beneficial in boosting work performance and moral among employees. Many companies pay market value to their employees, however the company feels that this alone is not enough to motivate employees to perform better, work productively and encourage loyalty. Companies use nonmonetary rewards to help motivate the company’s employee performance and moral to increase productivity and may combine nonmonetary rewards with monetary rewards. (Whitaker, 2010.)

There are many steps in establishing a nonmonetary reward programs. Companies gather a group of employees to research what type of incentives need to be offered at the time and determine which department most needs it. Different departments among the company have different issues that need to be taken care of or improved and require different stipulations. Companies ask their employees for his or her suggestions for nonmonetary reward incentives. Employees feel a sense of involvement when asked to contribute suggestions to rewards that they have a chance of winning. Employee suggestions help the companies to determine what kind of rewards are appropriate and would most be appreciated among the employees. Companies create rewards that are relevant to the company and fair to both individual employees, groups or departments within the company. Nonmonetary rewards can include career development opportunities or rewards such as a day of vacation or extra time for lunch. Employees also have the opportunity to work in an environment that is energizing, exciting, meaningful, and challenging. (Stammer. 2011.)

It is important to keep a nonmonetary reward plans simple. The plan must be well planned and well-structured. The plan must also be specific to...