People&Organisations: Reward

Reward

The organisation I have chosen is Tesco, they reward their employees in different ways. Staff is given Privilege card , the card gives 10% discount and Club card points on most Tesco products. They are also eligible to exclusive staff discounts with Tesco Personal Finance and Tesco Telecoms.

This reward is for staff who has been working for Tesco for at least one year. It shows Tesco fairness because workers are rewarded after they have shown some loyalty to the organisation.

They also care about staff health:

‘To ensure that staying fit and healthy doesn't cost our people an arm and a leg, we have some great discounts with top healthcare companies. We offer exclusive discounted rates for staff on health cash plans, dental cover and private medical insurance, to help take the burn out of healthcare costs’.

(Tesco, 2008)

They support the lifestyle:

‘We recognise that Tesco staff have busy lives outside of the workplace, so we've introduced a range of policies that will help you find a better balance between your work life and home life. From saving money with childcare vouchers to taking time off work for a career break or extended holiday, at Tesco there are a variety of options available to support your lifestyle’.

‘Our staff work hard, so we believe they should be able to make the most of their leisure time. To help with this we have negotiated discounts and special offers that are available exclusively to Tesco staff. There are discounts on theme parks, holidays and gym membership that are available all year round. There are also special offers throughout the year, to make sure there's always something for everyone.’

(Tesco, 2008)

‘None of us know what the future holds, but you can be sure that peace of mind and financial security for our staff is very important to us. Planning ahead to your retirement is easy with our award winning, Tesco pension scheme. With a Tesco pension you are able to understand how financially secure you will be when you decide to retire. As well as pension provision you have access to a life assurance scheme that will provide financial protection for your family’.

(Tesco, 2008)

This policy is open to all members’ staff in Tesco PLC. However, to get the most out of the pension scheme people have to work there for a long time. Tesco shows fairness and equity by allowing staff members to financially secure retirement pension.

Tesco rewards their employees through a variety of schemes. These are aimed to improve their lifestyles outside the work and influence performance inside the workplace. Reward schemes are based on equality and are available for all members of staff to improve staff commitment, morale and motivation.

I strongly believe that Chief Executives should not still receive large bonuses if the organisation that they have led has underperformed.

Those are arguments for (they should receive bonuses):

· The reason for the organisation to underperform may be out of the Chief Executives and employee power.

· The company might not have achieved the targets for the year, although hard work has been put in.

Arguments against 9 (they should not receive bonuses):

· If the organisation has underperformed, most funds should be directed to change this critical situation.

· They could make some mistakes in the field of leading the business, which affected in bad results, so they should pay penalty for that and have the bonuses cut.

· Lack of motivation for them if they know they would be paid whether organisation has successful performance or not. It will result in worse performance of the company.

· Frustration of shareholders and staff which can fell it is unfair.

· Bigger cost for the company.

Reference list:

Unknown (Unknown) Job-reward [online]. Available from:

http://www.maurilioamorim.com/wp-content/uploads/2011/04/Job-Reward.jpg [Accessed 5 May 2011].

Unknown (2009) Tesco Careers [online]. Available from:

http://www.tesco-careers.com/home/working/rewards-and-benefits [Accessed 5 May 2011].