The Importance of Employee Rewards in a Tough Economy

 

 

Just because the economy is bad, it doesn’t mean that you should cut off giving employee rewards. Providing rewards to employees is an important tool that all companies and organizations should utilize. Giving incentives to your employees pay off greatly by keeping performance and productivity levels high. This is even more important in a tough economy.

Benefits of Giving Employee Rewards in an Economic Crisis

Employee morale is expected to be on an all time low during an economic crisis. When things are going bad everywhere, it’s inevitable that your employees will be affected. Offering rewards to your employees is a great way to keep the work atmosphere pleasant and productive. Even if the crisis can be demoralizing to many, it is your job to make sure it doesn’t affect your company. Here are a number of benefits you can get out of giving employee rewards in a bad economy.

•  Keeps Employees Motivated–employees without any motivation left in them won’t be able to work     their best. The rising price of goods and the news of people losing their jobs are very disheartening. You can help your employees to feel better, and more secured about their work by offering rewards for good performance.
• Makes Employees Feel Appreciated– making sure your employees know how much you appreciate them is important. When employees feel valued, they will work even harder to please you. A happy employee will do what they can to make sure that the company they work for succeeds. 
• Encourages High Performance & Productivity– When employees are happy, it encourages them to work harder and perform better. This is why giving rewards works both ways. With a little expense, you can get so much more with increased productivity and less attrition. Rewards should be thought of as an investment and not an expense.

Employee rewards don’t have to be costly. During tough economic times, rewards are often one of the first things that are removed from the budget, but that does not have to be the case. There are ways to keep your employees happy by rewarding without having to spend a fortune. In a tough economy, you need to play it smart. Little things like rewarding the highest performing employee a digital gift or giving tickets to a sports game or a popular show won’t cost so much, but will certainly encourage them to aim higher. Team dinners will also help your employees bond, and unwind after a hard day at work.