Question

'Shanta Enterprises' was in the business of manufacturing solar panels for the last fifteen years. With their expertise now they were able to manufacture good quality solar panels at lower cost. As a result ‘Shanta Enterprises’ was flooded with orders and was able to generate a good profit margin.  To motivate the employees the company decided to compensate some of them for their hard work. Arvind and Yogesh, who were working on contract basis, were absorbed permanently in the company. Both were happy as now there was stability about their future income. Ekta, a regular employee of the company, working as Research and Development Head, was awarded the ‘Best Employee of the year Award’.

1. Identify and explain the incentives given by Shanta Enterprises to its employees.
2. State the needs of the employees being met by such incentives as per Maslow’s Need Hierarchy Theory.

Answer 1

1. The incentives given by Shanta Enterprises are:
   1. Arvind and Yogesh got 'Job Security'.
      Job Security: Employees seek job security. Stability in income and employment motivates individuals to work harder. However, one drawback is that those who believe they are unlikely to lose their jobs may grow complacent and careless.
   2. Ekta got 'Employee Recognition'.
      Employee Recognition Programs: Recognizing and appreciating employees' efforts. Appreciating employees' work might boost their motivation. 
2. The needs of the employees being met by such incentives as per Maslow's Need Hierarchy Theory are:
   1. Safety/Security Needs: These include protection against physical and emotional harm. Examples include job security and income stability. These demands involve both physical and financial security.
   2. Esteem needs: It involves self-respect, autonomy, status, recognition, and attention. Fulfilling these demands through work titles boosts self-confidence and prestige among employees.