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THE USE OF NON-MONETARY INCENTIVES AS MOTIVATIONAL TOOL OF NON TEACHING

PERSONNEL OF JOSE RIZAL UNIVERSITY


By
MICHAEL ANGELO BATTUNG

TANGIBLE NON-MONETARY INCENTIVES


The importance of tangible non-monetary incentives can be discussed by comparing them to
monetary incentives. When people are asked what type of reward they want, cash may, on the
surface, be preferred by everyone, but it may not really energize people to do beyond their basic job
requirements. As mentioned in the previous section, monetary incentives can be more effective in
some instances in motivating employees, however, as Herzberg (1966) states in his motivation-hygiene
theory, a fair salary is a "hygiene" factor, it is something people need as an incentive to do the
jobs they are hired to do.But non-monetary incentives such as free shuttle service, discount on a store,
a gift certificate or subscription to a magazine can be used to satisfy the wants and interests of
employees. Most of the employees have interests outside the workplace. Offering the employees
things that they value can make them feel that the organization cares about them as valuable human
beings. They may contribute to create a positive work environment for the employees make them
feel more motivated to work. Moreover, while employees may feel guilty for not spending a cash
incentive on basic needs, they can enjoy non-monetary incentives guilt-free as they do not have other
choice.
In line with this view, Hill and Pavetti (2000) stress that low income working parents often
have difficulty in devoting enough time and money to pleasurable
Providing

tangible

activities

with

their

family.

non-monetary incentives such as a ticket to a movie or an amusement park,

purchasing school supplies or clothes, opportunity to join a local sports team or summer camp for
children etc. may have great value for the employees. On the other hand, employees would
probably hesitate to spend a cash incentive of the same value for these kinds of activities rather than
necessities.

SOCIAL NON-MONETARY INCENTIVES

Social non-monetary incentives concern the superior-subordinate relationships within the


organization. They are as important as tangible non- monetary incentives in the workplace
because social non-monetary incentives have an important role in satisfying certain needs of
employees such as social acceptance and affiliation, self-esteem and self-realization.

A friendly greeting, a smile, a handshake, a pat on the back, a thank-you note by the superior
mean a lot to most of the employees. They are all means of showing that employees are valued, cared
and appreciated by their superiors. Also, employees whose ideas are taken into consideration, whose
suggestions are appreciated, who feel themselves in on things and who gets feedback about their
performance are more likely to try harder in their job. As McClellands Acquired Needs Theory
states, achievement motivated people like to get immediate feedback on how they have done
so that they can enjoy the experience of making progress toward objectives. They may satisfy
those needs with these kinds of social non-monetary incentives.
One of the most important issues to be considered in discussing the social non-monetary
incentives is the appreciation of employee. Expressing acknowledgement and appreciation creates a
link in participants minds between their actions and the positive emotional results without
assigning a monetary value to their achievement. It is a positive reinforcement, that is, it gets those
positive actions repeated. It is a powerful tool in identifying excellence and setting standards
on how to be successful in an organization. As Rosabeth Moss Kanter suggests, "To the rest of the
organization, recognition creates role models and heroes-- and communicates the standards:
These are the kinds of things that constitute great performance around here" (Nelson, 2001).
JOB-RELATED NON-MONETARY INCENTIVES
Job-related non-monetary incentives concern the job-related issues that can motivate
employees intrinsically. In other words, employees are motivated to exert more effort and go beyond
the expectations because the nature of the job they do give them that pleasure to be more
motivated.

Examples of job-related non-monetary incentives may include job rotation, job enlargement,
job

enrichment,

empowerment,

goal

setting,

participation

in decision making, growth

opportunities such as training programs, promotion, international work trip opportunities, flexible
working hours and time-off.

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