Question

Five Marks Questions :
To satisfy the social and psychological needs, which types of incentives are needed? Explain any four types of such incentives.

Answer 1

To satisfy the social and psychological needs, non- financial incentives are needed. Four types of non- financial incentives:

1. Employee empowerment: It means giving more autonomy and powers to employees.
2. Employee participation: Involvement of employees in taking decision on matters concerned is a powerful incentive.
3. Job security: Employees want a secured job as it gives them less worries of future income.
4. Status: Status help to satisfy social and esteem needs. It denotes individual's position in the organizational hierarchy.