“It is the nonfinancial rewards — as opposed to the financial rewards —
that are viewed as having more impact on employee engagement,” said Tom
McMullen, North American practice leader for Hay Group. “Quality of
work, career development, organization climate and work-life balance
all have a greater perceived impact on employee engagement than
financial rewards such as base salaries, benefits and monetary
incentives.”
These were just a few of the conclusions of the survey, “Impact of Rewards Programs on Employee Engagement,”
published in June. The data found that, overall, employees have limited
involvement in the design of rewards programs, with 11% of respondents
indicating that their organization frequently (i.e. often or always)
involved employees in the design of rewards programs.