Similarities and Differences Short-Term and Long-Term Incentives Will Have on Motivation
For this discussion, include the following:
Explain two similarities short-term and long-term incentives will have on motivation.
Discuss two differences short-term and long-term incentives will have on motivation.
Analyze the national policies for minimum wage and comparable worth, and the impact these policies have on motivation for a compensation strategy.
Short- and long-term incentives were designed to increase an employee’s motivation by offering rewards for good performance. How well the incentives are working is based on the employee and what drives them to perform well enough for the incentive. Another similarity these incentives have in common is that they will both play a role in employee retention for the company. For example, if an employee is mainly focused on the short-term, the incentives would likely retain them since they would be getting something out of the company. If someone is looking for retirement or a 401(k), they would probably want to stay with the company long enough to get that incentive. Regardless, the retention rate will rise when an employee stays long-term for the company. “Organizations that offer strong benefits and incentives to employees reduce the likelihood of turnover by 26% and increase retention by 14% (Al-Qathmi