Bonus pay
Workforce Management Glossary
Bonus pay
What is bonus pay?
Bonus pay is defined as any pay that employers give their employees that is in addition to their existing base wage. Bonus pay is often given to employees as a reward for signing on with the organisation or for producing great work.
Why do businesses provide employees with bonus pay?
Bonus pay is a great tool when it comes to incentivising employees. By providing a reward for a job well done the rewarded employees and the broader organisation will be encouraged to continue to produce efficient and effective work.
When used as a reward bonus pay also helps to improve levels of workplace morale. When workers feel better about coming to work this has a positive effect on workplace culture. All of which helps to keep employee retention high and to attract new top candidates.
How can businesses effectively action bonus pay to employees?
Bonus pay is typically an extra amount that is provided to employees during the next pay cycle. As the employee’s paypacket will be different the accounts department will need to be notified in order to take the correct action.
With Roubler’s cloud payroll software key information can be seamlessly communicated and therefore included in the processing stage of payroll. By providing a platform for data to be stored centrally payroll can be executed quickly and accurately in the wake of everything from sick leave to bonus pay.