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Thinking Differently About Incentivizing High Performance

The traditional employment relationship is a relatively straightforward exchange between employee and employer whereby an employee provides labor in exchange for money and benefits—health insurance, paid leave, etc.

An employee’s incentive to do adequate work is the desire to keep his or her job; fail to meet expectations on an ongoing basis, and sooner or later, the employee risks getting fired.

Of course, there are limits to this simple model, which has led many employers to offer incentives designed to drive desirable employee behavior more effectively and precisely.

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