Skip to content
Tweak Your Biz home.
MENUMENU
  • Home
  • Categories
    • Reviews
    • Business
    • Finance
    • Technology
    • Growth
    • Sales
    • Marketing
    • Management
  • Who We Are

More Than Praise: When Company Success is Employee Success

By Adam Gottlieb Published July 29, 2011 Updated November 26, 2022

While scanning the headline news one day, I couldn’t help pausing to contemplate the meaning behind one article’s accompanying photo. In the picture, a protester is seen holding a sign with a simple expletive: More than praise… give us a raise!

Underlying that statement has been an evolving and growing struggle between many small business owners and their employees.

On one side of the equation stand the owners of small companies who are facing declining optimism, poor sales, and cash flow woes as reported in several recent studies such as the Wells Fargo Business Insight survey and the National Federation of Independent Business (NFIB) Optimism Index report.

In response to these and other pressures, countless small business owners have had little choice but to let go of workers, reduce or drop benefits, cut back hours, and freeze wages. Many have also sought low-cost ways to motivate the workers they are trying to hold on to – an effort that typically amounts to various forms of praise and recognition with little or no monetary value.

On the other side are the employees themselves, many of whom are struggling to get by even if they are technically receiving a paycheck. According to the latest  Associated Press-GfK poll, a fifth of adults worries about debt most or all of the time, and of those who made purchases on credit in the past month, more than a third reported they don’t plan on fully paying off the bill.

All this debt-related stress has likely been exacerbated by the fact that earned wages have either stagnated or gotten smaller over the past few years as the cost of food, fuel, and other life “staples,” such as health care have continued to climb.

That said, thank you notes, gift certificates, and other little tokens of appreciation, while they are certainly necessary, they may not be enough these days by themselves to foster employee motivation and loyalty as more and more American workers take up the daily struggle to make ends meet.

So what’s the answer to this dilemma?

Perhaps the best solution for both sides of the equation is the addition of performance-based pay incentives that are closely tied to the company’s performance and bottom line, such as offering employees a percentage of the revenues from any new accounts they help to set up, an employee bonus for ideas to improve quality or efficiency, and bonuses for high customer satisfaction scores.

Why would this stand a good chance of working? If employee goals are in line with company goals, then this form of increased compensation can be a simultaneous all hands on board call to action- especially if you open up these opportunities to all your employees, not just the top performers or senior members.

Employees will be more motivated to give it their best, to help both themselves and the company as a whole, and this could just be the boost a business needs to successfully ride out these difficult economic times.

Posted in Management

Enjoy the article? Share it:

  • Share on Facebook
  • Share on X
  • Share on LinkedIn
  • Share on Email

Adam Gottlieb

Adam Gottlieb is a small business owner, freelance writer, and small business consultant with over ten years experience helping small and home-based businesses improve their image, increase sales and better manage their resources (both the animate and inanimate ones).

You can find him blogging at The Frugal Entrepreneur and Growing Your Business

Visit author twitter pageContact author via email

View all posts by Adam Gottlieb

Signup for the newsletter

Sign For Our Newsletter To Get Actionable Business Advice

* indicates required

Related Articles

Business
Management

Why Business Leaders Are Prioritizing Mental Health and the Tools They Use

Hanna Kim August 25, 2025
Business
Management

Best 12 LMS Features for Restaurants Staff Training That Reduces Turnover

Andrew Larson August 14, 2025
Business
Management

BetterHelp Therapist Licensing Verification: How the Platform Ensures Professional Standards Across All 50 States

Hanna Kim August 12, 2025

Footer

Tweak Your Biz
Visit us on Facebook Visit us on X Visit us on LinkedIn

Privacy Settings

Company

  • Contact
  • Terms of Service
  • Privacy Statement
  • Accessibility Statement
  • Sitemap

Signup for the newsletter

Sign For Our Newsletter To Get Actionable Business Advice

* indicates required

Copyright © 2025. All rights reserved. Tweak Your Biz.

Disclaimer: If you click on some of the links throughout our website and decide to make a purchase, Tweak Your Biz may receive compensation. These are products that we have used ourselves and recommend wholeheartedly. Please note that this site is for entertainment purposes only and is not intended to provide financial advice. You can read our complete disclosure statement regarding affiliates in our privacy policy. Cookie Policy.

Tweak Your Biz
Sign For Our Newsletter To Get Actionable Business Advice
[email protected]