Determining employee bonuses could be challenging. It would be best if you were fair to avoid conflicts. Some of your employees might question your decision of giving a higher bonus to another person. There should be standards to guarantee that the bonuses given are fair.
Quality of work
The first thing that you need to look at is the quality of work submitted by the employee. Every person in the team has a responsibility to meet. Therefore, your judgement should come from the performance of the employee. It shouldn’t be a comparison between the output of one over another, especially if they have different job descriptions.
You also have to reward employees who take initiative. You need people to step up and help in boosting your company. Taking the initiative means that the employees go beyond what you asked of them. They don’t mind making suggestions to improve the business. They also see their responsibility in a relationship with the success of the business, and not only for themselves.
Relationship with employees
Giving bonuses is always controversial because employees will compare with each other. Others might even be cut-throat in competing with someone else to receive a higher bonus. When there’s a monetary reward at stake, you can expect people to change their attitude. Therefore, you need to consider a relationship with other employees as another standard. It helps guarantee that no one will have broken relationships as a result of the bonus. Employees can strive to earn more bonuses without necessarily pulling others down.
Efforts to do better
Some employees are gifted, and they can do the job well all the time. However, not everyone possesses the same skills. It doesn’t mean that these employees are terrible. They might still be working on perfecting their skills, and it deserves a reward. The effort to do better is another standard that you have to consider. It means that you don’t judge the current output only, but progress made over time. You’re also motivating others to keep working harder instead of resting on their laurels.
Regardless of the standard, you’re going to use in giving out bonuses; you have to stay consistent. You should also be transparent so that everyone knows what you used in judging. Avoid making decisions based on your relationship with the employees. Even those who have been in the company for a long time shouldn’t receive a favour from you if they didn’t excel. Being an unfair leader could result in the lack of motivation of your employees. Instead of working harder, they will do nothing. They already know your standards in giving out bonuses and rewards.
Apart from individual bonuses, consider having group activities as a reward. For instance, you can have a fairground. It’s an opportunity for all your employees to have fun and relax. If the business achieved a milestone, this activity is worth the way. Family members can also take part in this festivity. Check out https://www.wearetricycle.co.uk if this is something you wish to pursue.