Some employers reward member of staff for their exceptional contributions to the company by giving them extra money. This practice can act as an incentive for some but may also have a negative impact on others. To what extent is this style of management effective? Are there better ways of encouraging employees to work hard?

In times of high unemployment, employers need to do very little to encourage their workers to work hard, but when job vacancies are scarce, they have to find effective ways of rewarding their employees to stop them from going elsewhere. One obvious way of doing
this
is to offer extra money to employees who are seen to be working exceptionally hard and
this
is done in companies with a product to sell.
For example
, real estate agent or department stores can offer a simple commission on all the sales.
This
style of
management
favours people who can demonstrate their contribution through sales figures, but does not take into account the work done by the people behind the scenes who little contact with the public. A better approach is for
management
to offer a bonus to all the personnel at the end of the year if the profits are healthy.
This
,
however
, does not allow
management
to target individuals who have genuinely worked harder than the other. Another possibility is to identify excellent staff through incentive schemes
such
as ‘employee of the month’ or the ‘worker of the week’ to make people feel recognized.
Such
people are usually single out with the help of clients. Hotels, restaurants and tour operators may
also
allow staff to accept tips offered by clients who are pleased with
this
service.
However
, tipping is a highly unreliable source of money and does not favour everyone. Basically, employees want to be recognized for their contribution, Whether through receiving more money or simply some encouraging words. They
also
need to feel that their contribution to the whole organization is worthwhile. Good
management
recognizes
this
need and responds appropriately.
Submitted by ms8525487 on

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