An Investigation into Rewards as a Workplace Motivational Tool for Millennials and Generation Z

Using a mixed method approach, by implementing a survey and a semi-structured interview method, this study explores the motivation of Millennials and Generation Z within the workplace. Workplace rewards is an ongoing research area across a wide range of organisations, due to its positive correlation between motivation and increased job performance and success. Moreover, this study identifies both intrinsic and extrinsic rewards and the effect this has on both cohorts. Drawing on data from a web-based survey (n=165) along with semi-structured interviews (n=3) findings showed that both Millennials and Generation Z value extrinsic rewards more but are still shown to be intrinsically motivated. With over 60% of participants ranking “pay” as their biggest extrinsic motivator. Results from the web-based survey and semi structured interview also identifies “flexible working” along with “benefits” as other key extrinsic motivators for both cohorts. In contrast, intrinsic rewards such as “job recognition” was noted as one of the main intrinsic motivators of both cohorts. This study highlights the need for organisations to recognize what both cohorts desire and need in order to motivate them, to in turn increase job performance and organisational success. Future research is needed to determine exactly why these cohorts are extrinsically and intrinsically motivated. Key words: Extrinsic, Intrinsic, Rewards, Total Rewards, Motivation, Motivational Theories, Millennials, Generation Z, Cohorts, Generational Characteristics