4. Identify examples of financial and non-financial rewards?

4.  Identify examples of financial and non-financial rewards?

Many employers have a common goal of recruiting and retaining qualified and competent employees and one way of achieving this objective is to show recognition for their work and results with a fair and good compensation / reward system.

Reward can be defined as an incentive and a motivation.  However organisation must reach a balance between the monetary value of financial reward and the non-financial rewards and even the sentiment of worth (self-esteem, feel-good aspect) felt be the employee.

Financial rewards: (depends on the policy of the company and is usually linked to the level of employee and job category)

Non-financial rewards: (can be anything and depends on the culture and policy of the company and is usually not linked to the level of employee)

·                    Basic salary ·                    Pension Scheme ·                    Medical Scheme ·                    Performance Bonus ·                    All types of bonuses ·                    All types of allowances ·                    Overseas allowance ·                    Car grant ·                    Car allowance ·                    Travelling Allowance ·                    Share of company

·                    Open praise / recognition ·                    Thank you’ or ‘congratulations’ note - Letter of recognition - Phone call from manager ·                    Award Certificate (given in public) ·                    Publication of recognition (Organisation magazine) ·                    Communiqué / advice on notice board ·                    Time off (extra hour off for lunch, day off, etc) ·                    Recognition lunch/ dinner ·                    Gifts  -  shopping vouchers