The norm in business is for companies to pay their employees a basic wage. This is then built on with performance-related bonuses depending on how the employee has been performing. However, with the emergence of the gig economy, this is changing. Employees are taking jobs that pay by the task rather than hourly, which can be a great way to make sure your workforce is effective.
Workers are starting to prefer these jobs for a few reasons.
Wanting to earn as much money as possible
Firstly, employees are more likely to give their all if they know they’ll be rewarded for it. Why would a worker put in as much effort as possible if they’d be earning the same at the end of the week?
Hourly or salaried workers have less reason to push themselves. On the other hand, commission workers need to work with more focus, for the extra income. Essentially, they can earn themselves a bonus by pushing themselves as hard as they can.
As earnings are in their own hands, employees find themselves striving to do more since they directly see the benefit.
Using commission alongside salary
Whilst a workforce based on commission can be effective, combining it with a salary can bring added benefits.
When employees who receive a commission only, often feel under pressure and stressed about hitting targets. A salaried worker, on the other hand, can feel financially secure and not need to worry about completing a set amount of tasks.
Employees can instead be offered a salary with commissions as a bonus. This not only makes sure the worker feels happy and secure. Additionally, workers can have the incentive provided by a commission. In this case, they’re not only working hard for a living, but they can see the benefit they gain by getting that extra sale.
If you’re interested in a system of sales-based rewards, Commissionly can help to fulfil your business potential. Commissionly provides real-time sales data to encourage and challenge your team to achieve. The commission management software can help you to forecast and plan your finances, organising your business for the foreseeable future.
Get in touch at Commissionly for a quote, and our friendly expert team will assist you in setting up the right tracking system for you.