The Effect of Non-Financial Incentives on Employee Engagement and Employee Retention

Abstract

This study examines the influence of non-financial initiatives on employee engagement and retention. Through surveys of 285 employees across diverse departments, identified key factors beyond compensation that drive engagement, such as clearly defined roles, strong leadership perception, opportunities for professional development, and a positive, supportive work environment with open communication and recognition programs. These findings reveal the potential for organizations to implement cost-effective strategies that enhance employee engagement, minimize turnover, and ultimately, strengthen their organizational effectiveness and competitiveness. Ultimately, the study underscores the crucial role of non-financial initiatives in building a culture of engagement, which serves as the cornerstone of successful employee retention strategies.