Band 9: Some employers reward members of staff for their exceptional contribution to the company by giving them extra money. This practice can act as an incentive for some but may also have a negative impact on others. To what extent is this style of management effective? Are there better ways of encouraging employees to work hard?

Extra money is usually seen as the most rewarding yet simple incentive to appreciate employees who perform outstandingly. Even though it motivates employees, I believe this practice is ineffective, as the consequences yielded often outweigh the motivation itself.

To begin with, it’s undeniable that earning capital acts as the ultimate goal of employees, making it extremely practical to be given to boost their performance. Nevertheless, money potentially triggers jealousy, most of the time leading to toxic rivalry between peers. Instead of focusing on the company’s target, employees are more challenged to beat each other’s accomplishments, which might not be beneficial for the company but only for the sake of individual gain.

In addition, the thoughts of being underappreciated emerge among those who fail to get the extra money. Despite the performance improvement shown by those who win the bonus, some might feel miserably self-critical once defeated and even lessen their motivation to do better. As a result, an imbalanced work field is created, weakening teamwork among workers and thus decelerating the company’s overall performance.

Rather than giving money, providing adequate facilities for all employees exhibits equality and at the same time supports them to do their tasks properly. Having full access to all resources needed for work encourages employees to ace their jobs, generating valuable results for the company within a shorter period of time. Besides, conferring a title to those whose contributions benefit the company the most is another stronger method to uplift their eagerness. “Employee of The Month” is an example of what many employees strive for, as they have more long-term impacts such as pride, track record, and recognition for their career compared to money. Consequently, this practice creates a healthier competition among workers as well as increases the company’s productivity.

Taking all into account, rewarding excellent employees with extra money is less effective, as its adverse effects are way more dominant compared to the encouragement generated. Contrastingly, appreciating their work using qualitative methods such as proper facilities and respectable titles arouses their internal motivation and; hence, it is more effective.