Question

Drag each incentive to the correct location on the chart.

Nick has been hired as the marketing director of a sporting goods manufacturing company. Classify his new job incentives as monetary or nonmonetary.
salary increase
flexible work schedule
commission on every sale
stock options
reduced work hours
friendly coworkers

Answer 1

Monetary incentives have to do with cash compensation whereas non-monetary incentives do not include cash but rather work on providing a fulfilling experience for the employee. Research indicates that both are necessary for job satisfaction.

Monetary Incentives

• Salary increase
• Commission on every sale
• Stock options.

Non-monetary incentives

• Flexible work schedule
• Reduced work hours
• Friendly coworkers.