The majority of companies are having problems putting reward schemes in place. The Employee Rewards Watch study, by Thomsons Online Benefits, has found only 29% of companies have a documented reward strategy, 35% have a strategy that is not documented and 35% of the companies who have a strategy in place have no idea how to measure it.

Problems with the schemes which are being used led only 4% of employers to believe staff highly value their rewards.

The most popular objective for reward strategies is the need to attract and retain talent, with 81% of companies citing this as a motivation. Boosting the performance of particular individuals was also important as 60% of companies use reward schemes for this purpose.