Perks, which make up another large part of the reward program, come in a
close second in the popularity contest. AAA offers a variety of perks that would
certainly motivate employees to want to stay with the company. First, all
employees receive a free AAA plus membership for themselves as well as one
additional adult residing at the same address after the completion of six
consecutive months with the company. This membership can add up to thousands of
dollars per year when used for discounts at a multitude of hotels, resorts,
restaurants, as well as many other establishments. Second, employees may elect
to enroll in the AAA savings plan. This plan deducts a certain percentage of
their basic earnings from each pay that is then matched by the company and put
into savings for the future. This plan has proven to be a successful program for
both the company as well as the employees. It motivates the employee to give
long term service to gain a substantial savings, which generally benefits the
company as well. A third perk that employees may enjoy is the insurance coverage
offered by the company. AAA offers a variety of coverage including medical,
dental assistance, life and long-term disability, and travel accident coverage.
For several of the employees in this office, the insurance benefits initially
attracted them to the company and are what motivate them to keep their
employment with AAA. The fourth type of perk enjoyed by many AAA employees
including Ms. Pacior is the educational assistance plan. Under this program, an
employee is entitled to reimbursement for tuition and educational material costs
up to a maximum of $2,000 per calendar year.
Classes which deal with subjects that are related to an employee’s current
position or to work performed at AAA, are eligible for reimbursement. The
courses, however, must be taken through an accredited university, college,
business, or technical school. Also, they must have a letter grade of “C” or
better or “Pass” if the course is pass/fail. To receive the reimbursement,
employees must submit a written grade report and receipt for tuition paid and
materials expenses. Ms. Pacior is currently working towards her bachelor’s
degree in business and hopes to finish next semester. This will strengthen her
chances for advancement in the company. The final perk I found that the company
offers (which was also mentioned as being part of morale motivation) is the
vacation time program. Employees are entitled to a specified number of vacation
days depending on how long they have been with the company. The chart below
outlines the qualifications necessary to earn vacation time. Employment Service
Full Time Part-Time 1st year, hired before June 1 1 day per month employed
between January 1 and May 31 Average hours worked daily times the number of
months employed between January 1 and May 31 1st year, hired after June 1 0 0
2nd year – 5th year 2 weeks Double weekly hours worked 6th year – 14th year 3
weeks Triple weekly hours worked 15th year – 24th year 4 weeks 4 times weekly
hours worked 25th year + 5 weeks 5 times weekly hours worked As mentioned
before, in addition to the time off of work employees are paid their full wage
as if they were there in the office working. This program had no opposition from
those agents who have taken advantage of it and it is not difficult to see why.
The objective of this program is not so much to motivate as it is to encumber
job burnout. Unfortunately employees may become overwhelmed with some of the
monotonous tasks of everyday work and need time to relax and unwind so as not to
become unmotivated. Vacation time has proven to be an effective antidote for
this problem. The third and final type of reward that AAA utilizes is
recognition.