Bonuses and incentive schemes 'should not encourage the wrong actions'

Date: 13/02/2009

Companies must keep in mind exactly what kind of behaviour they are encouraging from their employees by using bonuses and staff incentives in the workplace, it has been emphasised.

Lesley McLeod, a spokeswoman for the British Bankers Association (BBA), reflected on the awarding of bonuses in the financial sector - an action which has been so high-profile that even the prime minister has intervened in matters.

She said that "bonuses were incentivising people to take undue and unrealistic risk", highlighting that organisations should never unduly push their employees in the wrong direction when aiming to improve performance in the workplace.

Ms McLeod added that people should always think "about appropriate rewards for the job", emphasising the role that experienced incentive companies can play in helping a company in motivating employees.

Earlier this week, Tim Holden of Fluid Consulting Limited stressed the importance of reward and recognition in the workplace in the current financial environment.

Related Articles:

Employee motivation: Staff see improvement in work-life balance
Employee motivation: Letting staff watch key Olympic events could boost morale
Employee motivation: Workplace pride defies recession
Employee motivation: Staff wellbeing toolkit launched
Employee motivation: How to spot a good employer

 

› Return