Top 7 Rewards Employees Want Most: Incentives Beyond Cash

You might think that employees are only interested in one type of reward — cash. But cash isn’t necessarily always king, nor is it the best way to reward or motivate employees. According to Top Workplaces, “Non-monetary incentives are one of the best ways to motivate employees. If you want to improve employee engagement, motivation, and productivity, look no further.”

Non-monetary incentives, especially when they are personalized, help employees feel appreciated and valued. They reward employees outside the payroll system and build employee loyalty to their employers.

Benefits of non-monetary rewards and incentives

Companies are finding that non-monetary rewards and incentives offer several benefits over cash. These are three of the major ones: 

• Fostering a positive work culture of appreciation and support leads to better employee engagement. If the rewards are meaningful enough, employees will not want to work elsewhere because other organizations may be unable to match them.

• Enhanced motivation and employee engagement boost loyalty and productivity. Recognition in the form of rewards and incentives helps employees feel valued for their work contributions and gives them a sense of accomplishment. However, according to Gallup, only one in three U.S. workers strongly agrees that they received recognition or praise for doing good work in the past week. Employees who don’t feel recognized enough are twice as likely to state they will quit in the following year.

• Improved employee retention stems from regular recognition of an employee’s work efforts. A survey reported by the New York Post found that 58% of employees consider company commitment to recognition and rewards as having a significant role in their decision to stay with their current employer.

Implementing non-monetary rewards enhances employee satisfaction, strengthens organizational loyalty and commitment, and improves retention rates.

Most popular non-monetary rewards and incentives

Many employers find that the one-size-fits-all approach to rewarding employees doesn’t work. What employees want is as unique as they are, so employers are taking note and trying to understand what incentives appeal to their workforces. Offering rewards that employees actually want, rather than rewards that are the same for everyone (e.g., a gift card), demonstrates that you value your employees and want to keep them.

Some rewards, other than cash, that employees have shown a preference for include:

1. Flexible work arrangements allow employees to choose flexible hours when they can. Although this may be difficult to accommodate with an hourly workforce, perhaps giving them a chance to change their hours for one shift or take an extra day off to attend their child’s school play might be just the incentive they need to feel appreciated.

2. Extra paid time off is a terrific way to reward employees. Who doesn’t like an extra day off to do what you want? However, according to SHRM, employees must also receive “explicit permission to use that time off” without conditions. Allowing employees to take a Friday or Monday as PTO gives them an extended weekend and often much-needed additional downtime. This also shows you understand employees’ need for work-life balance.

3. Acknowledgement from a high-ranking company leader shows appreciation and lets employees know their work made a meaningful contribution that shouldn’t go unnoticed. When the praise (public or private) comes from a higher-up, it has special meaning for the employee, who might not think anyone noticed the significant contribution they made.

4. Customized rewards, like memorable experiences that give employees something they might never be able to save for. Maybe it’s sending an employee’s family to a sporting event or theme park. Maybe it’s a dinner out for the employee and their spouse at a restaurant they might not typically be able to afford. These types of rewards are personalized and deliver a more emotional impact than cash awards. 
   
   According to the ITA Group, “experiential reward opportunities are on the tip of everyone’s tongue. They offer an exciting alternative, helping to differentiate your organization from the competition and create strong impressions that last much longer than fleeting transactional rewards.”    
   
   “If recipients know they can experience a once-in-a-lifetime event (one they couldn’t purchase for themselves), the amount of hard work they’re willing to put in for the reward is justified by the incredible opportunity offered. They’re working harder—and happier.” ITA Group
   

5. Memberships are another type of reward that keeps on giving. A six-month gym membership for an employee who wants to up their fitness game, a limited subscription to a book-of-the-month club for an avid reader, or a Big Box store membership for an employee with a family are all great ways to reward employees with something they enjoy.

6. Bring your dog (pet) to work day is a fun reward for employees who want to show off their fur babies to their coworkers. Just ensure that no other employee has a pet allergy that could wreak havoc with that reward!    

7. A spa day is an indulgent reward that allows an employee to receive much-needed services, such as a massage, facial, or manicure-pedicure. Many hourly employees don’t have extra cash on hand to pamper themselves in this way, so this is a reward they will enjoy and thank you for!

Many of these rewards are affordable and easy to obtain, but the impression they leave on your employees is invaluable. They’re more motivated, engaged, and loyal due to your appreciation of their work effort. Gallup states, “Workplace recognition motivates, provides a sense of accomplishment, and makes employees feel valued for their work.” Rewards increase employee engagement, productivity, and loyalty, reducing turnover and the costs of replacing employees who leave.

Chime Workplace offers a unique rewards and loyalty platform that awards points called Salt for each hour your employee works. Employees set goals for their Salt and can redeem it for experience, financial products or gift cards when they meet their goals. 

Request a demo to learn about the Chime Workplace suite of financial wellness solutions for your employees.