New research issued this week has shown that the country’s workforce is highly motivated by money and that financial incentives might be the key to improved productivity. Sure, we would all love some extra cash in the bank at the end of the month and there is always room for an increase in wages but what happens when you’re the owner of a business with a pretty tight budget? While British employees are hankering after a boost in monetary benefits, we’re here to help those business owners who might not be able to afford such luxuries.
Majority of UK workforce motivated by money
Incentive services firm, Xactly recently conducted a survey and published results which reveal that a vast number of workers across the country would be motivated by the prospect of more money. Almost 35% said they would be willing to take the next step if they were provided with an increase in wages, while 27% agreed that they would be driven by financial bonuses and commission. The study also found that a substantial 69% of those who had previously received a bonus said it had pushed them towards achieving a new professional milestone within nine months.
Almost half of those polled said that despite expressing interest in more money, they currently receive a flat rate and have no hope of getting a bonus any time soon. A further quarter also agreed that their performance had no impact on their pay and it this type of statistic that has lead Xactly to claim that more financial rewards would go along way towards tackling the existing UK productivity problem.
Vice president of EMEA at Xactly, Tom Castley said: “The UK is currently experiencing a huge productivity challenge – UK productivity currently falls behind the likes of the UK, Italy, Germany and France. The government is taking steps to address this with the Productivity Plan announced this year, but UK plc must place its part too.
“These findings highlight the gap between what motivates employees and what businesses re doing to engage them. The best way to boost productivity is to boost employee engagement – finance incentives are key. Of course, this isn’t about throwing money at the problem – but smart, performance-based financial reward must be utilised to help the UK pull itself out of the productivity pit.”
Rewarding your staff without breaking the bank
While money is and always will be a strong motivator for materialistic human beings, it is important to realise that simply throwing money at the problem will not create a resolution. Indeed, rewarding those who excel and incentivising those with great potential is a good way to boost morale and efficiency but doing so through monetary means isn’t necessarily an option for those small businesses working with even smaller budgets. To suggest that the only way Britain’s lacklustre workforce can be motivated is through additional money is a worrying concept for start-ups and micro-enterprises that are struggling to gain access to cash as it is.
Well have no fear, small business owner because there are plenty of non-cash incentives that you can look to to give your staff that little kick up the behind they need. It is encouraging to see that 27% of those questioned by Xactly said that internal recognition would encourage them to go the extra yard, while 25% agreed flexible working hours would enough of an incentive and 23% would accept opportunities for professional personal development in the absence of more money. (If you would like to see some of our own ideas for incentivising your staff without breaking the bank then just click here.)
Castley said: “This research shows the answer to boosting the UK workforce’s productivity lies with incentive and compensation schemes. While money is unsurprisingly a big driver in encouraging staff to go above and beyond the call of duty, it is not the sole motivator. It is vital for organisations to ditch the ‘one size fits all’ approach and tailor their compensation schemes to positively encourage their satisfied and motivated workforce.”
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