Regardless of the positive feedback that has come from involving employees in the process of structuring new incentive programs, a considerable number of companies, trapped by their own ways, have failed to acknowledge the positive results that they could very well encounter by embracing this newborn method.
A recent survey, complied by WorldatWork, the Hay Group and Loyola University Chicago, surveyed more than 700 compensation professionals found that most companies didn’t involve employees in the design of new rewards.
Despite the positive potential that employee engagement is capable of having, data from the survey found that overall, employees have limited involvement in the design of reward programs, with only 11% of respondents indicating that their organization often involved employees in the design of reward programs.
The Boston Consulting Group has found that worldwide one third of companies has been affected by low employee engagement.
"Quality of leadership has a profound impact on employee engagement and motivation," stated Paul Rowson, managing director of the WorldatWork Washington, D.C. Office and Conference Center. "Organizations must think in terms of total rewards and not just financial rewards if they are to enhance employee involvement, commitment, job satisfaction – and performance."