Is a pay raise the only way to reward employees?

If you have an employee that always shows up on time, obliterates their KPIs and is an overall high achiever, you may feel as though they deserve a raise. However, times are financially tough, and you may not have the sufficient funds to do so. What are you to do? Keep things the way they are until they leave for a higher paying job?

When a pay raise is not an option you need to utilise employee retention strategies, whereby you seek to retain the number of exceptional employees that work with you.

Conducting job satisfaction and culture/climate surveys would be a helpful place to start. These allow you to recognise what employees think is going well and what can be improved.  This information will give you a basic insight into what your employees are thinking/feeling and you can build your retention strategies from these results.

Something as simple as providing a morning tea once a week, for example, could allow staff to feel wanted and is little perk to look forward to.

Offering formal training and career development opportunities is key to maintaining employees. It allows employees to view their career path at the company, and lets them to see themselves as an investment, and you as the investor.

Look into offering flexible working hours, and working from home options, as it allows employees once again feel valued and listened to and may be worth more than a raise, particularly for a parent raising children.

Communicate with your staff. Let them know the great job they are doing, and how much you value their work. The benefits that positive feedback and encouragement from management can provide employees are amazing!

For a growing company, if you don’t already have a Human Resources manager, get one into the fold; they could take huge load off a manager. They will be responsible for implementing such programs and may have their own ideas, as it is their area of expertise.

There are incentives you can offer your staff other than a raise, which still make employees feel valued and wanted. Importantly, they won't hurt your bottom line! If your business can’t offer the same cash as other businesses you need to differentiate yourselves in other forms, and make your company a desirable place to work.