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An incentive program is a formal scheme used to promote or encourage specific actions or behavior by a specific group of people during a defined period of time. Incentive programs are particularly used in business management to motivate employees and in sales to attract and retain customers.
Employee benefits refer to the extra advantages offered to employees in addition to their salary. These consist of packages provided by the employer to enhance the cash compensation. Benefits typically encompass health coverage, income protection, savings, and retirement programs, all of which offer security for employees and their families. [3]
After Andy tries unsuccessfully to mine ideas from the office employees, he consults a book on management techniques and decides to try an incentives program. He presents a number of items catered to individual employees, which they can purchase with "points" earned by exceptional workplace performance.
Moreover, as a team expands and the effect of team incentives weakens, employees struggle to establish a clear link between effort given and incentives received. [45] It is also inevitable that team incentives could induce the free-rider problem because an employee's motivation to maximize their individual output could be diminished. [46]
Often, perks are given to employees who are doing notably well or have seniority. Common perks are take-home vehicles, hotel stays, free refreshments, leisure activities on work time (golf, etc.), stationery, allowances for lunch, and—when multiple choices exist—first choice of such things as job assignments and vacation scheduling. They ...
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