Everybody loves freebies and bonuses, especially inside the
workplace. These benefits will inspire them to work more and do more for the
company. That’s why as a business leader, you must know the importance of
giving benefits to your employees for the all their effort. And this is where
indirect compensation enters the scene, which we are going to tackle down
Indirect compensation, also known as “employee benefits” is
a series of bonuses that a company gives to their workers. These bonuses come
in different types, big or small. This is a workplace strategy to encourage
their employees to stay in their company.
Back in the days, giving bonuses to employees are not a
thing. In fact, it was even considered as unnecessary. Fast forward to this
day, Human Resources finally understood the importance of employee benefits. It
brings plenty of factors to the table such as motivation, hard work, and
long-term work for the business.
The more you give bonuses to your employees, the more
they’ll become productive and be motivated inside the workplace. They will also
feel less stressful and more appreciated inside the company as well.
There are plenty of ways to give employee benefits such as:
- Extra financial incentive
- Sick pay
- Life insurance
- Christmas Bonus
Aside from the few that are listed above, there are also
extra benefits that is not related to money. For example, we have gym
membership coupons, childcare vouchers, and the like. All of these are still
called as an indirect compensation even though it’s not financially related.
But it Doesn’t End
Giving benefits is not limited only to your workers. You can
also give benefits to your company as a whole as well. You can host a party,
have a night out with all of your fellow workers, and the like. This way, you
will garner better relationship between you and all the people in your company.