Nearly one in five voluntary sector employers is considering introducing non-cash incentive schemes for the first time, according to research by the Chartered Institute of Personnel and Development.
The CIPD's ninth Annual Rewards Report shows that of the 100 or so voluntary sector organisations surveyed, 19 per cent said they would be looking into introducing rewards in the form of non-cash recognition schemes, such as employee of the month, in 2010.
Charles Cotton, public policy adviser at the CIPD, said that charities were expecting 2010 to be difficult, and non-cash reward schemes offered a cheaper bonus option for employers.
"Most voluntary sector companies believe 2010 will be another challenging year," he said. "This is reflected in the pay freezes and the priorities of the companies that cited cost minimisation as their biggest priority."
But non-cash rewards offered an inexpensive bonus solution, said Cotton.
The survey also found that three-quarters of voluntary sector organisations polled said salaries had increased since 2008, compared with 53 per cent of private sector organisations.