Companies Turn To Incentive Programs To Compensate For Loss Of Dot.Com Era Perks

-These days, lunch with the boss isn''t going to motivate employees
These days, lunch with the boss isn''t going to motivate employees. Nor will stock options or a company gym. While companies cut back on all forms of equity compensation and dot.com era perks, many are looking to non-compensatory employee incentive programs that help them save money and motivate their employees.

"Personalized reward and recognition programs are now becoming the norm for large companies as a way to motivate employees," said Mike Spellecy, corporate vice president of Maritz Incentives. "Unlike traditional commission-based incentive programs that award cash bonuses based on sales generation, the new breed of recognition and incentive programs award employees for creating ideas and achieving team goals. While business conditions dictate lower raises and bonuses, companies with strong reward and recognition cultures do a better job retaining employees and keeping employees positive and focused on corporate goals."

Some of the most popular employee incentive programs include rewards such as:

-- Shopping sprees at popular retailers
-- All expense paid vacations, either for individuals, families or employee teams
-- Gift cards
-- Discounts at favorite restaurants
-- Spa treatments
-- Discounts on electronic equipment
-- Concierge services

A recent Maritz Poll of 1003 Americans nationwide reports that one-in-five (19%) are dissatisfied with the way that they are managed at work; 23% don''t think that their company listens to or cares about them; and 28% disapprove of the way that their organization communicates with them. The Maritz Poll also reports that 24% disagree with the statement, " I''m consistently recognized for my work performance in ways that are important to me," and 22% disagreed with the statement "I am regularly given feedback on how my work contributes to the success of my organization."

"Great companies motivate employees in many ways, but employees today feel disconnected from their jobs. They have less emotional stake in the profitability of their employer, yet they worry every day about job security," said Mike Spellecy. "Smart employers know that when employees understand the relationship between their performance and the profitability of the company, everyone wins."

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