New Study: Give a “Surprise” Raise and Motivate Workers

New Study: Give A “Surprise” Raise & Motivate Workers

Looking for a novel way to motivate employees to do their very best? A new study by three Harvard Business School researchers suggests you might want to try this surprising strategy: Give new workers a raise soon after you hire them. While there’s nothing new about the belief that increasing an employee’s salary should correspondingly boost his or her zeal to work harder and do a good job, the Harvard research concludes that money motivates better under certain conditions – and the findings challenge the assumption that paying more money inevitably leads to increased effort. “Previous research has shown that paying people more than they expect may elicit reciprocity in the form of greater productivity,” Deepak Malhotra, a Harvard business-administration professor who worked on the study, explained in a media statement. However, Malhotra and his colleagues found that the connection between more pay and extra effort depended on presenting the …

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There is More to Compensation than Money

There’s more to compensation than salary.  Studies have shown that employees who understand the full value of their earnings have better attitudes and are more motivated on the job.  According to the Bureau of Labor Statistics, when medical insurance, bonuses and 401K factor in, the average compensation is 30% more than salary alone! What is surprising is that most employees seem to have no clear picture of their total compensation package or about the financial investment their company has made in them in the way of both direct and indirect compensation. Start planning now to educate your employees in early 2016 about what exactly makes up their complete compensation statement and how to use that complete package to their advantage. EbixEnterprise Total Rewards promotional products offer everything from multiple customizable digital newsletters to printed wellness kits designed to affect real change in your workplace culture. Click to learn more.