Maximise employee retention with workplace incentives

Incentive programs are not without their own expenses. But for companies that invest in rewards, the results can be significant. Benefits such as saved capital, improved engagement and heightened productivity can make employee retention and engagement strategies extremely valuable.

In this article, we explore ways small businesses are using digital tools to inform their employee rewards programs.

Employee retention: Saving money and skills

It costs organisations a staggering $23,000 to hire one employee, according to the HR Benchmark Survey 2024 Australia and New Zealand.

For a scaling SME, not needing to invest as heavily in recruitment can result in serious savings. Telephone answering service provider, Moneypenny, has connected its employee rewards program with a reduced need for external hiring support thanks to happy employees recommending their workplace to others.

Moneypenny has made employee engagement a priority over the years, with rewards at the heart of its strategy. Its “Pick and Mix” incentive offers rewards specific to each employee’s preferences or stage of life.

This has contributed to a staff attrition rate of 1.4% and more than 3,000 unsolicited CVs and applications. The business can now cherry-pick top talent ahead of market competition, which leads to a stronger customer-facing business.

Incentives improve employee engagement

For Moneypenny, heightened engagement happens because of employees using the social business tool, Workplace from Facebook. Positive signs of social engagement through the app are evidence that the company’s rewards are successful.

From employee rewards to business ROI

An American Express Business Card helps businesses collect Membership Rewards^® points which can be redeemed for a wide variety of travel, shopping and entertainment rewards that could be used for employee incentives and recognition.

This article contains general information and is not intended to provide information that is specific to American Express, or its products and services. Similar products and services offered by different companies will have different features and you should always read about product details before acquiring any financial product.

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