Total Rewards

A comprehensive approach to employee compensation, including salary, benefits, incentives, and non-monetary perks.
HR departments design total rewards programs to enhance employee motivation, satisfaction, and retention. A well-structured rewards system balances financial and experiential benefits.

What are the 5 total rewards?

• Compensation (salary, incentives, bonuses)
• Benefits (health care, retirement plans, insurance)
• Work-life balance (flexible hours, remote work, generous leave)
• Recognition and rewards (awards, promotions, badges of excellence)
• Development and career opportunities (training, mentoring, promotions)

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What are the four main types of rewards?

• Financial rewards (salary, incentives, benefits)
• Development rewards (training, promotions, education)
• Social rewards (recognition, team relationships, a healthy workplace culture)
• Psychological rewards (job satisfaction, a sense of purpose, growing responsibilities)

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What is the total reward principle?

The total reward principle says compensation is more than just pay — it's a combination of financial and non-financial incentives. An effective total rewards strategy aligns with business goals, motivates employees, and helps retain and attract talent by addressing their holistic needs.

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What are the factors of total rewards?

• Base pay and incentives
• Employee benefits (health care, retirement, dental, education)
• Recognition and rewards programs
• Training and career development opportunities
• Work-life balance and flexible workplace practices
• Organizational culture and workplace environment
• Job satisfaction and a clear path for progression

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