Introduction: Problem Statement
Modern companies and other institutions, including healthcare facilities, focus on motivation as a central factor in impacting workers. Today, employee engagement (EE) has become a key consideration in promoting organizational engagement in every sector (Kim & Kim, 2021). Focusing on it has been proven to enhance work fulfillment among workers.
Human resource management (HRM) is tasked with determining ways the organization can remain competitive and sustainable by using different approaches to compensate workers. Enhancing workers’ mental and emotional attachment to their duties has proved fruitful. The research will review the literary works on the general aspect of employee engagement and explore how rewards can be used to enhance and achieve it in the healthcare sector.
Employee Engagement (EE)
Generally, EE is directly linked to employee involvement, satisfaction, and commitment to their employer and work. This aspect is vital in determining the proactive nature of workers, how they positively engage in their duties, and how they comprehend the institution’s objectives and values. Liu et al. (2022) argue that EE can increase general productivity by motivating workers and, as a result, enhancing customer service and enabling an organization to attract and maintain talented staff.
In the health care system, employees must be committed to offering exceptional patient services. Therefore, the facet of EE remains a critical concern that hospital management must consider. Some aspects to consider include employee attitudes, training and development, information sharing, and workers’ efficiency, as discussed in the section below.
Employee Attitudes
Most scholars define EE as a psychological aspect that impacts employees’ general workplace performance. Siswanto et al. (2021) posit that EE can potentially affect workers’ attitudes. EE encompasses the need for employees to connect deeply with their responsibilities in the workplace. When undertaking duties, workers tend to physically, emotionally, and cognitively engage themselves to deliver the services effectively and efficiently (Siswanto et al., 2021). According to Shkoler and Kimura (2020), EE makes workers participate actively and deliver excellent services in job investments.
Moreover, having a solid connection within the workplace facilitates employees’ loyalty, making them desire to remain working for the respective organization. Without an emotional attachment to the work, a worker can quickly shift from one organization to another. The authors agree that EE is an essential factor linked causally with multiple work environment dimensions, such as staff retention, training, and development.
Training and Development
Various scholars have researched factors that improve the aspect of EE in an organization. Al Doghan (2019) notes that training and development are crucial facets that influence EE. When an organization offers training programs to their workers, the employees perceive that the entity is more concerned about their personal and professional development. This makes staff members feel engaged with the business organization.
The practice significantly impacts employees’ psychological well-being, which is essential in determining workers’ commitment. Training programs enhance employee job satisfaction (Bose & Maheshwary, 2019). In addition, taking the workforce through training allows employers to integrate recruits effectively into the system, enhancing their EE.
Furthermore, Al Doghan (2019) reiterates that rewards may negatively or positively impact EE. According to the researcher, supposing employees perceive that organizational rewards do not reflect their commitment to the firm, they may not feel engaged. When staff members believe the given bonus reveals their performance, they are likelier to relate with the employer. In the articles mentioned, EE’s interlinkage with training and development is explained thoroughly. The same applies to scientific papers about EE and information sharing.
Information Sharing
Information sharing also plays a significant role in influencing EE. When managers provide employees with correct details on issues related to the working process, workers will perceive the act as a sign of trust in the institutions (Doghan, 2019). Once staff members feel entrusted with sensitive information, they must perform and commit to the organization, enhancing the EE. Issuing employee briefings frequently is an essential approach to minimizing mistrust and possible uncertainty that might obstruct subordinates’ minds (Al Doghan, 2019). This way, the workforce will remain committed to delivering their services effectively. One of the key strengths of research by Al Doghan (2019) is that perceived organizational support determines the level of EE. According to research results by Verčič (2021), when workers perceive that the company gives them the necessary support, they engage effectively with the respective firm. Employees’ perception of the entity significantly influences staff members’ commitment level and productivity.
Workers’ Efficiency
Among researchers and employers, EE is the effort of workers in their duties. According to Kamselem et al. (2022), EE is the level of energy that workers emit in their work. High EE implies determination and mental fortitude in the workplace. Kamselem et al. (2022) posit a direct correlation between the EE and the reward system. EE is considered a significant factor in determining the overall staff performance in the organization. To paraphrase, proper EE can be an essential motivator to realize positive results in service delivery. Kamselem et al. (2022) explain that workers’ efficiency can be improved if EE is accorded better psychological and physical instruments. It resonates with Al Doghan’s conclusion that providing necessary employee support is crucial to enhancing the overall commitment.
Furthermore, the concept of EE is termed the attitude workers have towards the employer and their principles. The connection between the managers and the staff members accurately reflects what workers perceive about the employers. Pandzic and Hadziahmetovic (2022) state that favorable EE enables employees to devote themselves to the given task intellectually, personally, and even psychologically. The investigators further iterate that having EE facilitates the ability of the staff members to relate effectively and collaborate accordingly with their colleagues. Organizations must promote the facet of EE between the management and the employees.
Pandzic and Hadziahmetovic (2022) identified three main aspects of EE. EE is more of a personal process whereby the employee engages with the company emotionally and is involved in transformational processes within the institution. Enhancing workers’ contribution to implementing the organization’s objectives. The knowledge and willingness to complete a task must be the same. These facts are vital for the current research and the entire scholarly field of EE. All this information hints that EE and rewards are interrelated, too.
Rewards
A reward is perceived as a reinforcement that facilitates or encourages the desired action. Most corporations have favored rewarding employees to influence their productivity in the workplace. Chand et al. (2022) found that an organization can offer various forms of compensation. Some of the reparations include financial, psychological benefits, and non-monetary elements. Financial aspects of reward include incentives, gifts, and commissions. Non-financial compensations that an employer may issue to the workers are recognition and praise. Rewards are essential influencers on EE and the company’s workers’ performance. Each of the mentioned aspects is pivotal in influencing the action of employees toward their responsibilities. According to Azeez et al. (2019), employees are more content with the rewards they receive, such as finances. When monetary bonuses are given to the workers, they feel motivated, making them productive and well-engaged. Although these studies focus on the tourism and construction industries, their findings could be applied to healthcare.
In addition, ‘reward’ is defined as any valuable aspect given to the employee due to work engagement. According to Pandzic and Hadziahmetovic (2022), the facets of compensation may encompass direct and indirect, intrinsic and extrinsic. Salary, training, bonuses, and education are some reparations employers may use to encourage participation, involvement, and retention of talents in the organization. A fascinating insight is that the primary goal of rewards is to enable corporations to achieve their human resource objectives (Pandzic & Hadziahmetovic, 2022). These include effectively inspiring, engaging, retaining, and empowering workers. The disadvantage of the paper is the lack of staff perspective; other authors have fixed this gap.
By providing employees with rewards such as bonuses, they can meet their basic needs, leaving them with a stable state of mind, which is essential for participation in the tasks. Tudor and Petre (2021) investigated whether performance appraisal rewards affect areas of the psyche of employees related to motivation and engagement. They identified that most public institutions formulate compensatory methods to suit organizational goals (Tudor & Petre, 2021). The study results indicate that motivation should be tailored to meet each employee’s needs. Incentives are essential in making workers do their jobs effectively. Institutions should consider rewarding their employees with monetary or non-monetary value. Chand et al. (2022) conducted a research study to identify the impact of reward, welfare, and recognition on EE. The investigation showed a positive correlation between rewards, recognition, and EE. When employees are rewarded or recognized, their level of engagement with the entity increases. The section below discusses intrinsic and extrinsic rewards and their impacts on EE.
Intrinsic Reward
An intrinsic reward is considered reparations that are invisible but affect the employees’ emotional well-being. Compensation enhances satisfaction following the completion of a given task. According to Pandzic and Hadziahmetovic (2022), intrinsic rewards encompass self-confidence and developing additional skills and knowledge. Feeling respected by the managers and other stakeholders is also an inherent benefit. The investigators depicted role clarity, skill variety, feedback, autonomy, training, and participation as intrinsic compensation types affecting workers’ engagement.
Marleyna (2022) adds to it by defining intrinsic rewards as incentives and actions aimed at boosting the inner confidence of staff to enhance their efficiency in the workplace. Intrinsic rewards can take different forms, including engaging employees in decision-making, facilitating self-learning, and team-building, with each enhancing staff’s job satisfaction. As one might guess, EE and intriguing rewards are related.
Impacts of Intrinsic Rewards on EE
Several scholars have conducted studies and inquiries to establish intrinsic rewards’ impact on EE. Alam et al. (2022) note, inherent rewards positively impact employees’ engagement in the workplace. Employees enjoy their work when they feel their contribution impacts an organization and is seen and recognized by the management. Staff members would not be motivated to work in a company where their inputs go unnoticed or ignored, as this lowers morale and makes one feel undervalued and worthless.
Best-performing organizations constantly remind their employees about their worth by recognizing their various talents and inputs in the company. As a result, the workers feel motivated and improve their commitment to various duties assigned. Inherent reparation catalyzes success by motivating underperforming employees to improve on personal weaknesses and embrace hard work, which translates to overall productivity and organizational success. One should remember that intrinsic rewards are not the central subject in the discussed study.
Additionally, intrinsic rewards facilitate employee independence, which is critical in the workplace. Autonomy allows workers to freely design ways in which they perform different duties, making them feel engaged and unbound. Marleyna (2022) describes autonomy as the freedom of employees to act with choice and have the freedom to decide. One should note that the researcher analyzed correlation, not causation, which is a drawback.
According to the study, workers prefer independence in the workplace instead of being dictated to. Many staff members view autonomy in the workplace in the context of trust by arguing that independence shows an organization’s trust in its workers. By allowing the staff to choose tasks and roles, a company demonstrates it believes in the workers’ ability to make decisions and their overall experience, thereby boosting employee morale. When an organization promotes a culture where workers are motivated to act independently, they will effectively participate in their jobs.
Intrinsic rewards such as discussed training and personal growth have a positive relationship with EE. Pandzic and Hadziahmetovic’s (2022) study shows that when workers are engaged, they feel a sense of belonging to the organization. They suggest that when employees feel intrinsic, they are less likely to leave their jobs, leading to high retention (Pandzic & Hadziahmetovic, 2022). When workers are aware that their jobs are safe, their commitment increases. The article is especially valuable for the project because investigators proved a strong positive connection between EE and intrinsic rewards.
Bulińska-Stangrecka and Bagieńska (2019) carried out a study to look at HRM strategies for fostering interpersonal trust and how they affect teamwork and creativity. Findings from the study indicate that allowing staff members to learn and grow through training improves their self-drive. According to Bulińska-Stangrecka and Bagieńska (2019), their confidence level improves when workers have knowledge and skills. These aspects enable employees to remain committed to their organizational roles, thus enhancing EE.
When managers trust their employees, unity develops, and workers feel safe performing in such an environment. Al Doghan (2019) states that safety is vital in creating innovative conduct among the workers and the commitment to the company. By being committed to the entity, the staff members become more engaged in all facets of the organization’s operations. The workers will likely remain engaged if an entity provides support while taking major reforms.
Incorporating workers into an organization’s decision-making process is another aspect that most scholars feature. Bashir et al. (2022) postulate that involving employees in the decision-making process by listening to their concerns and incorporating their ideas is a critical intrinsic reward.
The particular value of this source is that its authors explore the Muslim corporate setting (Bashir et al., 2022). It benefits workers by allowing them to participate in decision-making, especially in the areas and topics that directly affect them. Considering their opinions and feelings before deciding on matters makes employees feel valued by the company and develop a sense of belonging, which boosts their confidence. Employees work best when they have confidence because they feel motivated, which is critical in performing various tasks assigned and enhancing employee engagement.
In addition, teamwork plays a significant role in enhancing the performance of employees. When employees are allowed to work together as a team, they are more likely to feel motivated and remain highly committed to protecting the image of their respective groups.
Rehman et al. (2020) researched the mediating role of trust and organizational commitment. They found that employers believe intrinsic rewards solve employee turnover, which links EE and teamwork conceptually. When workers feel satisfied internally with their jobs, they will remain committed to delivering the best services to the company. Team building by staff members develops personal strengths necessary for performing their work and facilitating EE.
Extrinsic Rewards
Just like intrinsic rewards, extrinsic compensations are given to employees to influence their behavior or as a result of specific conduct they portray in the organization. Organizational managers use money or other gifts to motivate workers. Extrinsic rewards include salary, medical insurance coverage, promotions, and other benefits (Liu et al., 2022). These are typically controlled by the management, which decides on what proportion to give or whom to receive the reparations. Organizations can use job security and opportunities in the company as extrinsic rewards (Bashir et al., 2022). The motivators inspire the worker to undertake what is necessary.
Although extrinsic remunerations have proven effective, they can mainly guarantee temporary compliance from the employees. Rehman et al. (2020) state that extrinsic reparations encompass monetary and non-monetary rewards. The researchers suggest that external rewards are situations without punishment for employees. The scholarly field provides many informative articles on extrinsic rewards and their linkage to EE.
Impacts of Extrinsic Rewards on EE
The previous paragraph concluded that when employees are given bonuses, they are more likely to concentrate on their tasks. This aspect may make workers work extra hard to increase their overall benefits from the company, causing higher productivity. However, extrinsic rewards can make employees overwork themselves, contributing to cases such as burnout. Consequently, the staff’s work rate and efficiency will go down, and may eventually result in complete disengagement from work. Similarly, extrinsic rewards may motivate workers to overdo a particular task, leading to monotony and job dissatisfaction, impacting EE negatively.
Liu et al. (2022) argue that extrinsic rewards may negatively influence EE. Conversely, the research conducted by Bashir et al. (2022) views both extrinsic and intrinsic rewards as positive inputs that promote EE. According to the investigators, employees show tremendous enthusiasm and dedication when offered monetary incentives, which enhances EE. Such a factual contradiction highlights the further need for research on EE and extrinsic compensation.
Another established truth is that monetary incentives can create a positive work environment. When employees receive adequate compensation, they become psychologically satisfied, and their behavior changes accordingly. Bulińska-Stangrecka and Bagieńska (2019) state that monetary reparations determine workers’ motivation. The study states that when staff members are well compensated, their level of commitment increases.
Other studies have examined the effect of extrinsic compensation on EE. Miao et al. (2020) investigated how extrinsic motivation impacts job engagement. Interestingly, extrinsic reparations do not facilitate EE, especially when the employees are new to the job. However, the study concludes that the impact of external motivation increases with time, leading to a positive relationship with EE.
Moreover, when promoted from one level to another, workers become more satisfied with their jobs and continue to engage effectively (Miao et al., 2020). It is worth noting that these findings mainly apply to the Chinese work environment. Bose and Maheshwary (2019) examined reward programs, job satisfaction, and EE. They discovered there is a strong correlation between work contentment and EE. Employees are more likely to engage when they are happy in their jobs.
Several scholars have stated that extrinsic motivation is the most affecting job fulfillment. Reparations such as monetary rewards positively impact employees by raising their morale and dedication to their tasks (Liu et al., 2022). If workers are given financial incentives, their commitment is enhanced, leading to better performance. In wage labor, most workers are motivated to work for money. Introducing monetary rewards will automatically boost their morale and commitment as the company meets its end goal, and ultimately, the organizational objective is equally achieved.
Impacts of Rewards Based on Age Group
Apart from the need to fulfill the basic psychological needs of an employee, there are other impactors, such as age and gender, which influence the demand for reparations. Jyothi Dwivedi (2022) examined the impacts of demographic variables, including age, work experience, and gender, on EE. From the research findings, all the mentioned factors significantly influence EE.
Jyothi Dwivedi (2022) depicted that employees aged between 25 and 35 were more engaged and committed. Workers in that age bracket are determined to learn new skills and adjust to work situations. These aspects make the individuals remain focused on their jobs, leading to high EE.
Kollmann et al. (2020) did thematically similar research, investigating what satisfies younger workers compared to older employees and the reason behind it. The researchers identified that younger staff members are motivated by monetary rewards, unlike older workers, who are inspired by their job contribution. They posit that younger employees prefer receiving a high compensation for fewer tasks while the aspect reduces senior people’s work contentment.
The comparative data of these two articles are very informative and helpful because they complement each other. However, all sources reviewed do not include an analysis of both types of awards and their individual and cumulative dualistic impact on the EE of health workers.
Conclusion: Literature Gap
Based on the literature, one might hypothesize that intrinsic and extrinsic compensation is a practical measure for boosting employees’ EE, with unexplored negative consequences and slight variation in efficiency depending on corporate, demographic, and cultural contexts. They fail to identify the negative impacts of reparations, such as overdependence, which can kill employees’ natural passion and motivation for work.
Rewards to enhance EE can make workers depend on reparations; they start to demand these before performing tasks, leading to lesser productivity if they are not rewarded in advance. The overall impact will be less EE with little or no rewards. The aspect of over-dependence on reward and the negative impact on the workplace in terms of reduced employee engagement is understudied by most scholars.
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