What motivates your workforce? Some employers may think a paycheck is enough — but when more than 60% of the workforce admits to being disengaged, something is clearly missing. Employee motivation matters to employers because the more engaged, enthused, and committed your workforce, the higher your profits.
While pay matters, money won’t buy engagement. In fact, the data shows that engaged millennials are less likely to leave a company for more money alone. The key idea here is engagement. How can your company engage its workforce and become an employer of choice?
What matters to your employees?
These days, it takes more than a paycheck to get the most out of your workforce. A 2016 Gallup polls says millennials place a greater emphasis on job benefits beyond those that are strictly financial in nature. These include:
- Advancement opportunities
- Educational opportunities
- Interesting work
- Management quality
Gallup reports, “For this generation, a job is about more than a paycheck — it’s about a purpose.” Millennials now outnumber baby boomers in the workforce, and while they care about income, research says other factors will keep them in a job longer.
Employers can use this knowledge to their advantage when designing more engaging — and rewarding — workplaces for millennial personnel.
Four ways to motivate your teams without cash
Salaries, bonuses, and financial incentives are traditional motivation methods. But if money is no longer a primary motivator, how can employers engage their workforce? Here are four ways to motivate employees without relying on cash:
- Increase benefits like flexible work time. The Glassdoor Workplace Trends 2021 survey shows that intangible benefits such as flexible work hours and remote work options boost job satisfaction.
- Create frequent performance incentives throughout the year. Try quarterly reviews in place of the traditional annual review and reward model.
- Give positive reinforcement both publicly and privately, and encourage employees to praise one another. Online peer-to-peer recognition programs like Bonusly allow workers to award points to exceptional colleagues. Points can then be traded in for a variety of perks.
- Offer training and advancement. Skill and career enhancement opportunities will attract new talent and reduce employee turnover. Employees feel more engaged when they are learning and growing.
Nonmonetary reward systems increase worker satisfaction and engage employees in an organization’s overall success.
5 ways to create a more engaging work environment
HR Dive says, “When employees are recognized for their work, employers can see gains in engagement, productivity, and retention.” Given what we know about the millennial workforce’s motivations, this makes perfect sense, and companies can capitalize on the trend by creating a culture that promotes positive feedback and recognition. Here are five ways to accomplish this goal:
- Give workers a mission to achieve with their productivity goals. Employees want to know their work matters.
- Manage with less stick and more carrot. Negative reinforcement will discourage today’s workforce.
- Offer autonomy. Employees thrive when they share ownership of their work.
- Train leadership teams to manage employees in a reward-centered environment.
- Tie appreciation and rewards programs to the company’s broader mission.
Reward culture is effective because it taps into three psychological needs. Employees want:
- A sense of belonging
With these needs met, today’s workers are more motivated, engaged, and committed to their workplace.
TERRA Staffing works closely with clients to meet their recruiting and retention goals. Contact us today to learn more.