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Nick Sutton: Delivering meaningful employee rewards in a cost-conscious climate

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That’s why now is a crucial moment for employers to step up. A well-thought-out employee rewards programme can make a significant difference when it comes to keeping employees motivated and engaged.

And while money matters, especially in a cost-of-living crisis, financial rewards are rarely the most effective way to build long-term engagement. The most impactful rewards are those that align with what matters most to each employee, whether that’s personal development or once-in-a-lifetime experiences. It’s these kinds of rewards that keep people connected and committed – particularly during uncertain times.

Shifting priorities

When it comes to rewards, employee expectations have changed. There is greater interest in experiences over possessions, personal development over novelty, and meaningful flexibility over generic perks.

At the same time, practical support such as salary sacrifice schemes and Employee Assistance Programmes (EAP)s remains important. But it’s useful to distinguish between these traditional benefits, and rewards, which serve a different purpose. Where benefits focus on overall wellbeing and day-to-day support, reward programmes are typically tied to recognition, motivation and alignment. They offer a chance to say thank you – in ways that feel meaningful and earned.

In a reward context, relevance matters. Time-based recognition, opportunities to pursue interests, or access to experiences that might otherwise be out of reach are examples of how programmes can connect meaningfully with individuals. When choices reflect personal values and feel earned, they tend to resonate more and deliver stronger results.

Investment and return

Reward programmes do require commitment and resources. But that investment is deliberate, and in many cases, most valuable when circumstances are most difficult.

Unlike cash bonuses, which may be spent on immediate needs and quickly forgotten, a structured non-cash rewards experience such as points, can offer longer-term motivation. Without a monetary label, points reduce the need for justification enabling freedom to choose something personally rewarding. That choice can reinforce the value of the recognition and increase its impact. In this way, the structure of a reward system matters; not just what’s offered, but how it’s delivered and experienced.

Global consistency

For global organisations, delivering a consistent reward experience is not always straightforward. What feels motivating or appropriate in one region may not land the same way elsewhere. In addition, currency fluctuations and local cost-of-living variations can affect perceived fairness.

One approach to address this is through points parity – where the value of points is adjusted by region to reflect local conditions. This helps maintain consistency without assuming a one-size-fits-all model. Employees are offered locally relevant choices, but within a common framework that supports fairness and transparency.

A globally consistent, locally adaptive system can reduce friction, avoid unintended inequality, and maintain engagement across diverse teams.

Visibility and communication

Even well-designed reward systems can fall short if they’re poorly communicated. Employees need to know what’s available, how it works, and how it connects to their role or goals.

Technology can help here. Digital platforms provide central access and a space for employees to explore their options. However, delivering the human element is just as important. Managers play a key role in raising awareness, offering guidance, and creating space for feedback.

When communication is ongoing rather than occasional, it becomes easier to build trust and understanding around the programme, helping to adapt it based on what’s actually working.

Looking to the future of meaningful rewards

Wage pressure is likely to continue, but that doesn’t mean employers have limited options. A carefully considered reward strategy can provide structure, stability and recognition without relying solely on pay.

When recognition is consistent, well communicated, and aligned to what people genuinely care about, it has the potential to support both individual motivation and organisational culture – even in challenging times.

Head of Sales and Marketing at 

Over the course of his career, he has specialised in B2B professional services. He is an experienced senior executive who has worked with some of the largest global corporations to optimise their internationally mobile workforce and, most recently, to create solutions that help inspire and engage the people within and around their organisation. His journey has been focused on helping organisations get the most out of their most precious asset - their people.

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