The Organisational Reward System

Organisational rewards include all types of rewards, both intrinsic and extrinsic, which are received as a result of employment by the organization.

Intrinsic rewards are internal to the individual and are normally derived from involvement in the job. Examples are job satisfaction and feelings of accomplishment.

Extrinsic rewards are mainly controlled and distributed by the organization. They are more tangible than intrinsic rewards, example: salary/pay, health/medical benefits.

Intrinsic and extrinsic rewards are closely related e.g. the provision of extrinsic rewards often provides the recipient with intrinsic rewards.


Intrinsic Rewards   


Feelings of accomplishment

Internal recognition

Job satisfaction

Personal growth



Extrinsic Rewards

Formal recognition

Fringe benefits

Incentive payments


Social relationships

Work environment

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