Your employees need a reason to want to stay with your company. Thus, employee incentive programs are important. So, what incentive program is best for your company? Here are the pros and cons of different employee incentive programs so you can decide which is right for your business.
Annual Cost-of-Living Raises
Pro: Everyone can look forward to a raise at year-end.
Con: All you have to do to get the raise is not get fired. That’s a pretty low standard. While there is value in keeping employees’ salaries steady—which is what a cost-of-living raise does—it also doesn’t reward high performers, which are the people you want to keep around.