Running a business requires both the entrepreneur’s effort as well as the support of other team members who contribute their quota towards positioning the business for growth and sustainability. These team members who are referred to as employees, are often compensated for the role they play in the daily affair of the business. As a startup, you may want to attract the best talents as employee but may not have enough funds to compensate them. The economic depression and inflation on goods and products have also reduced the value of salaries in the hands of current employees. The following are non-monetary compensations you can consider giving to your employees:
- Equity Compensation (“Pay Me in Equity”): One of the most common forms of non-cash compensation of employee is allotting a portion of shares to such key employees. This builds a sense of ownership and belonging in the company. An employee who is a shareholder or a potential shareholder is more likely to be loyal to the company. Companies must however ensure that the shares are not given outright, rather the shares should vest over a period and certain restrictions must be placed on the shares in the interest of the company.
- Flexi work: Since the incidence of the covid-19, the world of work has changed. Many organizations have come to realize that productivity can still be achieved even when employees are not in a brick-and-mortar office 9a.m to 5 p.m. Employers should infuse flexi work in the schedules of employees because it can reduce stress and increase productivity. Hours spent commuting can be better utilized. Concerns about the dedication of the employee to work can be addressed by the use of technology which will enable employees log in hours spent on daily tasks and this can be monitored from the back end to measure employees’ performance.
- Happy Ambassadors: Employers should pay attention to the wellness and health of their employees and must show their genuine concern for creating a healthy balance of work and personal life. Employers should also be interested in the career growth of employees. Whilst it is important for your employees to be driven by profitability goals of your business, employees should not feel like a means to an end only. They should be able to envision their relevance, growth and the fulfillment of their career goals within the context of the larger goals of the business.
- Freebies – Employers may consider providing or subsidizing breakfast and lunch to its employees. Allowances such as transportation allowance, mobile phone credit top-ups and data allowances are also good ways to incentivize an employee.
- Personal and Professional Development: Employers may consider paying for trainings and certifications that would enhance the skills of its employees. This will not only make the employee happy, it will most likely have a positive impact on the productivity of the employee and ultimately the company. There are also some good online certifications you can encourage your employees to sign up for. The genuine interest of an employer in the professional development of an employee is always palpable.
- Recognition: Recognize the efforts of your employees so that they feel valued and are motivated to do more. You will be surprised how far a simple “Thank You” note would go! The year is rounding down and this may also be a good time to pay bonuses or give personalized gifts or have a social end of year event to reward your employees and let them know you appreciate them.
Read Also: How to Ensure Employee Satisfaction