Abstract
Different generations may value and perceive employee rewards differently. This
impacts on reward strategies in the workplace which have been specifically developed to attract,
retain and motivate staff. A one-size-fits-all approach to reward strategy may not achieve the
objectives intended, leading to direct and indirect financial implications for businesses.
Research purpose: This study investigated whether perceptions of reward strategy differed
across generations in a large financial institution in South Africa. This context was specifically
chosen due to the significant competition to attract and retain staff that exists in the financial
sector. To contribute to the practical challenges of reward implementation, the study investigated
whether specific reward preferences associated with generation exist, and whether offering
rewards based on these preferences would successfully attract and retain staff.
Motivation for study: South African businesses are competing for skilled staff and rely heavily
on a total reward strategy to compensate all generations of employees. Given the financial
incentives to retain and attract the most effective staff, it is essential that reward strategies meet
their objectives. All factors impacting the efficacy of reward strategies should be considered,
including the impact of generational differences in preference. This is of relevance not only to
the financial industry, but to all companies that employ staff across a variety of generations.
Research design, approach and method: A quantitative survey design was used. A total
of 6316 employees from a financial firm completed a survey investigating their experiences
and perceptions of reward strategies. Statistically significant differences across different
generations and reward preferences were considered...