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How to Motivate Employees on a Budget

How to Motivate Employees on a Budget

Liz Ryan / BusinessWeek

June 04, 2008

With recession looming—or underway, depending on who you ask—corporate budget managers are battening down the hatches when it comes to expenses. One of the areas where spending is stingiest is employee raises; last year’s average increase of 3.5% may look like a bonanza from the perspective of 2008, when many companies are likely to be giving raises of 2% or less.

Modest salary-increase budgets leave managers in a bind. On top of a tough hiring market fueled by Baby Boomer retirements, managers face a major challenge: keeping employees happy when their budgets force them to dispense Scrooge-like salary bumps.

Click through each page to learn some ideas to help keep your team engaged when you’re forced to be the tightfisted manage.

© 2008 YellowBrix, Inc.


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    ritapcker490

    about 1 year ago

    2 comments

    During our survey's to identify what makes our staff tick! Money was not the top motivator it was job satisfaction! We although pay our staff better than most other employers in our area !

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    KiWi

    about 1 year ago

    372 comments

    Motivating employees is not something that you can do across the board and, as the article points out, doesn't have to always be part of the budget. identifying what motivates each of us can be difficult. I suggest that we take it upon ourselves to explain (when appropriate) WHAT motivates us to our supers. Taking the guess work out of it can be helpful, but I agree with RLGILL that the more personal in nature, the better - or better the results and outcome of the motivation/rewards/recognition will be. Be creative. Soft skills are key and if you have the opportunity to tap into a person, to learn about them, you will find out what motivates them - money or not.

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    rlgill

    about 1 year ago

    44 comments

    I think this is a nice article however I think motivation should be a personal thing if at all possible. We should be aiming to learn about our employees and motivate them based on things they are passionate about. I

  • Photo_user_blank_big

    mardelplata

    about 1 year ago

    2 comments

    I agree with each of the motivators suggested. Our school district would be affected by budget cuts, that would bring layoffs that unfortunately couldn't be delayed unless our California Governor decided to use another measurements to balance the state budget. Information was one of the best motivators since our employees did not felt betrayed by their employees, yes by a politician. We as a workers union decided to show our support by resigning an increase in salary for this year or until the district can afford a raise in salaries and benefits, expecting to save more jobs and layoff reduction.
    Great tips,
    Thanks

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