Consider this the next time you review your approach to employee motivation and incentive programs:

"Despite decades of widespread reliance on pay-for-performance schemes, I know of no controlled study demonstrating that rewards improve the quality of workplace performance on a long-term basis," Alfie Kohn, an expert on human behavior, education and social theory, whose books have become required reading for their information and insights into motivation and compensation.

In addition to the dozens of studies that have shown that monetary rewards do not lead to higher long-term motivation and performance, what about the fact employees are paid an agreed upon salary in exchange for their performance of specific duties? I'd suggest that the paycheck (and the rest of the total compensation package) is a central part of an employee’s financial incentive package — or at very least constitutes an agreement to provide a baseline level of services, at a minimum level of excellence and reliability, in exchange for compensation. The idea that an employee is paid to perform a service and fulfill a responsibility, and then needs to be paid more money to carry out the responsibility to an acceptable degree borders on the ridiculous. The assumption here, of course, is that the pay is fair, the responsibilities have not expanded outside of the original agreement, and the workplace is not inhospitable or dehumanizing.

On the employer’s side, those same surveys suggest that you can't gloss over or "balance out" unacceptable or unpleasant workplace norms with a dollar figure, at least not for a sustainable period of time. This practice might create a backlash for employer when the core-level problems — which are creating the low morale, motivation or performance level — rear their ugly heads in new ways. Will the plan then be to increase the dollar figure once again as morale sinks even further? Again, not a sustainable gameplan (or a reasonable one, frankly).

TIP: Use this content as a dialogue-starter for your team. Allow plenty of time to discuss, listen to, debate and advocate for differing perspectives and solutions about what creates the most balanced, and motivating, work environment, including both tangible and intangible factors.

This information provides food for thought rather than counsel specifically designed to meet the unique needs of your organization. The most effective approaches are those that have been tailored to your unique needs and organizational culture, so don't hesitate to engage the assistance of an adviser whose perspective you trust and value. Have questions or need help identifying how you can make your workplace more energized, motivating and effective? We're always happy to share ideas, so send us an email.

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