New research has shown that the majority of retail workers are not motivated by lump sums, and with bonuses often involving sizeable investment from employers, the findings should make interesting news for indie owners.
One4all Rewards, the corporate division of the Gift Voucher Shop, questioned 1,000 UK workers about what motivates them in the workplace for its Push the Button Report. It found that, while rewards and incentives are often effective for maintaining morale and attracting staff, simply handing out lumps of cash is not an effective way of increasing staff efforts. In fact, 75 per cent of those working in retail, would not work significantly harder in exchange for a bonus equivalent to 10 per cent of their annual salary.
It seems that incentivising staff to work harder is about much more than bumping up their bank balances – and UK retail employers who are currently awarding incentives and bonuses need to design and distribute them carefully, in order to achieve tangible increases in staff output and motivation across the entire workforce.
Boutique owners after alternatives to financial incentives might consider that 23 per cent of employees in the retail sector were showed to be motivated to work harder by regular rewards – such as weekly or monthly treats. In addition, a bonus linked directly to an individual’s work performance would result in an increase in output for over one in four.
Declan Byrne, UK managing director at One4all Rewards, comments: “As one of the leading providers of reward schemes for UK small to medium-sized businesses, we would recommend employers clearly define their objectives for an incentive and benefit scheme, and find out which types of reward does and does not switch on the desired results in their employees, at the very initial stage. It is important to define the goals and the likely results from the outset.
“When used in this way, financial incentives can be really effectively utilised to ‘switch on’ employees to work harder – often with great results for the bottom line.”
Read the full Push the Button report: One4allrewards.co.uk