We believe companies should show that they value and appreciate every individual employee and the work they do. Unfortunately, employees in many workplaces still feel their work is unrecognised and undervalued. -  nearly two-thirds (63%) of respondents in a 2022 survey conducted by Bonusly said they feel unappreciated by their employer.

So, what more can employers be doing to show their gratitude?

There are an endless number of ways employers can recognise their employees’ contributions and loyalty to a company. From everyday interactions, small gestures, gift cards and handwritten notes on birthdays to the reward schemes and programmes a company puts in place, employee recognition is a constant feature in any positive workplace culture.

In this article, we’ll explore the wide range employee reward schemes and programmes companies are implementing and the importance of going the extra mile, before celebrating the types of employee recognition we believe are making the biggest impacts on employee wellbeing.

What is meant by an employee reward scheme?

An employee reward scheme is a structured programme or a system that employers put in place to recognise and incentivise their employees for their contributions and achievements at work. Aside from enhancing employee motivation, reward schemes can have meaningful, positive impacts on wellbeing and overall job satisfaction, help create a culture of recognition, and be a significant indication of healthy company values.

Employee reward and recognition come in many different forms, including:

1. Salary and bonuses: This includes basic salary, performance-based bonuses, shares, and other financial incentives tied to individual employee performance, or even that of an entire team.
2. Benefits and perks: Today, employees are often offered a wide range of benefits and perks that come with their job. Benefits include healthcare plans, pension schemes, life insurance, flexible working arrangements, gym memberships, discounts on products or services, and many other perks designed to enhance employee wellbeing and satisfaction.
3. Recognition programmes: Recognition programmes are all about acknowledging and rewarding employees for their commitment or performance. Again, they take on various forms including awards, certificates, public recognition or in-house acknowledgment, and praise from managers or peers.
4. Career development opportunities: Employers may also opportunities for training, skill development, career advancement, and mentorship to help employees grow personally and professionally, and enhance their long-term career prospects.
5. Work-life balance initiatives: Promoting a positive work-life balance is a feature of every positive company culture. Flexible working hours, remote work options, parental leave, and paid time off are just some of the ways company's can achieve a good work-life balance and help employees manage their personal and professional commitments more effectively.
6. Employee engagement activities: This involves organising team-building events that can enhance the employee experience at a company. These can include company socials, and other activities to build relationships between and a sense of belonging among employees, boosting overall employee engagement. Socials are also a great opportunities for remote employees to engage in person and build relationships. 

Why are they so beneficial to employees?

From an employee's perspective, reward schemes can make all the difference by helping them find a work-life balance that works for them, access any support services they might need to look after their wellbeing, and feel genuinely content in their roles.

1. Employees thrive in a culture of appreciation and recognition : Employee reward schemes provide genuine and meaningful recognition of employee achievements, hard work and loyalty. Recognition helps employees feel valued and appreciated for their efforts.
2. Employee motivation and job satisfaction: If an employee feels their efforts are recognised, they will likely feel motivated to maintain their work ethic. 

92% of workers feel valued in companies with recognition programmes, only 70% feel valued in companies without one

1. Financial incentives: Many reward schemes involve financial incentives such as bonuses, commission-based payment structures or salary increases. Incentives are especially important As we navigate our way through a cost-of-living crisis when financial stability is a particularly major concern.
2. Career advancement opportunities: Some reward schemes offer opportunities that can help someone advance in their career. These include training programmes, mentorship, or promotions based on employee performance.
3. Enhanced wellbeing: Employee reward schemes often include benefits and perks that contribute to their overall wellbeing, such as healthcare plans, gym memberships, flexible working arrangements, or additional time off. At Fertifa, we believe support structures that promote employee wellbeing should be in place at every organisation. Hopefully, workplace health and wellbeing care will become a must-have for every company and not be seen as a bonus or additional benefit.
4. Sense of fairness and transparency: Reward schemes can help ensure that employee contributions are treated and rewarded fairly. When employees understand the criteria for rewards and the process for earning them, they typically feel a sense of trust that an organisation promotes equality, and its people are rewarded for their performance and not discriminated against unfairly. 
5. Peer or social recognition: Some reward schemes involve peer-to-peer or social recognition, where employees can nominate their colleagues or highlight their work. This can help boost employee morale and foster a positive company culture where people are collaborating and working as a unit, rather than for personal gain.

There are many, many more advantages to employee reward schemes, but almost always, they are put in place to enhance wellbeing, increase job satisfaction and employee motivation, and help people become more content in their roles.

Benefits from a business perspective

- Employee retention and attraction- Employee reward schemes are one of the ways organisations can exhibit company values. Companies with strong, positive values are both more attractive to job-seekers and more desirable places for employees to continue working and help reduce employee turnover. 

According to Gallup, the cost of replacing an employee can range from one-half to two times the employee’s annual salary.

- Aligning with business goals and driving performance - this is particularly relevant in companies which offer commission-based payment structures.

- Improving employee morale, satisfaction, and employer brand.

- Encouraging innovation, teamwork, and collaboration.

The best employee reward schemes and recognition programmes to implement at your company

Bonus Schemes

A bonus is an additional payment made to an employee based on individual, collective or organisational performance (or different combinations of the three), and can either be discretionary or non-discretionary, depending on what works for a particular company.

• Performance-Based Bonus - These reward employees for reaching or exceeding specific targets or goals (entire teams can also be rewarded for meeting company goals). This type of scheme can motivate people to excel in their roles!
• ‍Signing Bonus - This is an upfront, financial incentive offered to attract and secure individuals during the recruitment process.  Hiring teams use these to attract top-tier talent and, ultimately, stand out from the competition.‍
• Referral Bonus - These are provided to employees who refer qualified candidates for job openings within the organisation. ‍
• Retention Bonus - Designed to retain key employees, retention bonuses are offered to people who stay at the company for a specified period of time. These are popular among larger companies with over 20,000 employees, with a massive 81%of them offering them to employees.‍
• Holiday Bonus - These are given to employees during festive seasons, the most common being a Christmas bonus.

Commission pay

Commission pay is a financial incentive most commonly seen in sales roles. There are Yes, there are two categories that commission falls into - short-term and long-term. According to Peninsula support and guidance, it's helpful to view commission as either a:

Short-term scheme - A short-term scheme is offered through things like bonus payments or sales commission.

Long-term scheme - A long-term scheme is offered through things like pay rises or company shares. 

Employee Benefits

Employee benefits, such as healthcare coverage, retirement plans, life insurance, and wellness programmes have enormous impacts on employees by providing them with access to support and wellbeing services.

• Forty percent of employers say they believe workers leave their job to find employment that offers better benefits.

Here are some of the employee benefits we believe to be most valuable and impactful for employees:

1. Health Insurance -Health insurance benefits in the UK can include coverage for medical treatments, consultations, surgeries, and hospital stays, sometimes providing access to private healthcare services and facilities.  Bupa, Avivia  and Axa  are three of the most popular health insurance providers in the UK.
2. Pension contributions - Employer pension contributions in the UK refer to funds contributed to employees' pension schemes to help build retirement savings. Often, pension contributions are taken from small, monthly deductions from an employee's salary.
3. Paid sick leave - Paid sick leave in the UK refers to time off from work that employees are entitled to receive while still receiving their usual pay, typically for a specified number of days or weeks, due to illness or injury.
4. Mental health and wellbeing support - Employee mental health and wellbeing support may include access to counselling services, mental health awareness training for managers or senior leaders, Employee Assistance Programmes (EAPs), flexible working arrangements, and policies that promote a positive work-life balance. Employers might provide access to mental health applications like Headspace or Unmind.
5. Fertility benefits - Employers offer fertility benefits to support their employees and their partners in their journeys to start or expand their families, whether that's access to fertility treatment or family-forming services. At Fertifa, our clinical team, which includes best-in-class fertility specialists , work with our partners and their employees to ensure they access the support they need, wherever they may be on their fertility journey. 

6. Reproductive health benefits - Reproductive health challenges have significant impacts on both employee wellbeing and business. 90% of those affected by reproductive health concerns also experience mental health challenges. If you're looking to introduce reproductive health support for your employees and improve their wellbeing, be sure to get in touch - we're always happy to talk!

7. Support for parents - Being a parent and a dedicated employee is a lot to balance! Employers can offer many different types of support to employees with children, including paid parental leave, flexible working hours, childcare vouchers or subsidies, parental counselling or support groups return-to-work support, breastfeeding support and childcare referrals.

Flexible Working Arrangements

Offering flexible working arrangements, such as remote work options or flexible hours is a great way to help employees achieve a better work-life balance that helps them manage their various responsibilities. The fact is every employee's home life and circumstances will be different, and it’s important employers recognise this, and offer the adjustments people need for their health, happiness and wellbeing. Some examples of flexible working arrangements include:

• Job sharing : Two people do one job and split the hours.
• Remote working and working from home: Working from anywhere other than the employee’s usual workplace. Try to be as inclusive as possible when it comes to remote employees, making sure they have equal access to rewards so that the entire team is benefiting. 
• Hybrid working A combination of working remotely and working in the employee’s usual workplace.
• Part time Working less than full-time hours (usually by working fewer days).
• Compressed hours - Working full-time hours but over fewer days - for example a 9-day fortnight (an employee has a day off every other week and works longer hours on the other days)
• Flexitime- The employee chooses when to start and end work (within agreed limits) but works certain ‘core hours’, for example 10am to 4pm every day.
• Annualised hours The employee has to work a certain number of hours over the year but they have some flexibility about when they work. There are sometimes ‘core hours’ which the employee regularly works each week, and they work the rest of their hours flexibly or when there’s extra demand at work.
• Staggered hours The employee has different start, finish and break times from other workers.

A crucial part of employee appreciation and recognition is being open to adjustments that make people's lives easier. If employees come to you with ideas, be as open and considerate as you can - they will be thankful !Training and Development OpportunitiesProviding access to training and professional development opportunities, such as workshops, courses, mentoring, and career advancement programmes, can be a rewarding investment in employees' professional growth and skill development.  Employee Discounts and PerksEmployee discount schemes and perks, such as discounted products or services, gym memberships, or an allowance for transport or commute expenses, can enhance employee satisfaction and loyalty. Here are some of the best services you can go through to offer discounts and perks to you employees

1. Perkbox - An all-in-one reward and benefits platform designed to support and motivate employees by providing access to perks and benefits, peer-to-peer recognition, employee rewards and wellbeing support. 
2. Avantus Employee Benefits - Avantus offers highly valued packages of employee benefits administered through class-leading flexible benefits platforms.
3. Reward gateway - Delivers and showcases employee benefits, discounts and perks (such as gift cards), employee recognition, wellbeing, and communications to attract and engage employees. 

Feedback

‍The best way to gauge whether your employees feel recognised and valued is by inviting feedback through 1-2-1s and focus groups on a regular basis. If you're looking for anonymous feedback, pulse surveys are a great option as well. You never know, employees may just have some great employee recognition ideas of their own!

‍Get in touch to discover more!

‍If you're currently looking to add to the range of employee benefits your company offers, book in a call with our team who can talk you through the healthcare support Fertifa provides and how to work with us. 💜