Incentive Redesign for Unpredictable Shifts: Fuel Rationing Edition
HRM BLOG SERIES · POST 5
Beyond the Paycheck:
How HRM Can Redesign Incentives for Hospital Staff During
Fuel Crises
Lakeside Adventist Hospital ·
Human Resource Management · 2026
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When fuel shortages, long queues and unpredictable
shifts become the norm, financial pay alone is rarely enough to keep hospital
staff motivated. At Lakeside Adventist Hospital, the HRM challenge is clear: redesign
incentive systems so that staff feel recognised, supported and fairly
rewarded even when services are strained and resources are thin. This post
explores how HRM can combine extrinsic and intrinsic rewards, link
incentives to crisis conditions, and protect service quality through
motivation-driven HR practices (Madiwala
Gamage Don, 2024; Powertech Journal, 2024). |
1. Why Incentives Matter in a Crisis
Research from crisis-affected hospitals
shows that employees respond best when incentives are visible, fair and
timely, especially during periods of high stress (Madiwala Gamage Don, 2024). In Sri Lanka’s 2022–2025
economic and fuel crisis, many healthcare workers reported fatigue, anxiety and
reduced job satisfaction, partly because support and recognition failed to keep
pace with the extra burden (Powertech Journal,
2024; Madiwala Gamage Don, 2024).
Incentives can offset this in two key ways.
Extrinsic rewards such as fuel-linked allowances, flexible-time bonuses
or small financial incentives for hard-to-cover shifts address the material cost of the crisis. Intrinsic
rewards such as public recognition,
career-development opportunities and involvement in decision-making address the
emotional and psychological toll (Bucketlist
Rewards, 2025; Powertech Journal, 2024).
HRM at Lakeside can design incentives that acknowledge
the “fuel-penalty” staff pay long
commutes, missed family time, higher living costs while reinforcing
organisational values and crisis resilience.
Chart 1: Why Incentives Fail and the HRM Fix
Sources: Madiwala Gamage Don (2024); Powertech Journal (2024); Bucketlist Rewards (2025). Common incentive failures and evidence-based corrections for hospital HRM. PPP
A 2024 study on motivating healthcare
workers in hospital settings found that intrinsic rewards such as
appreciation, career growth and democratic problem-solving have a stronger
positive impact on health-service delivery than purely financial rewards (Powertech Journal, 2024). Extrinsic rewards
still matter, especially as staff age and accumulate family responsibilities,
but the most powerful mix is a balanced system that links both reward
types to performance and crisis resilience (Powertech
Journal, 2024; Bucketlist Rewards, 2025).
Crisis-Linked Allowance Schemes
HRM can introduce fuel-related top-ups or
shift-completion bonuses for hard-to-fill days. These make the organisation’s
awareness of the fuel burden tangible and material (Madiwala
Gamage Don, 2024).
Public and Frequent Recognition
Department-level ‘spot-award’ stickers,
digital thank-you notes, and ‘Staff of the Month’ displays can sustain morale
at minimal cost. Bucketlist Rewards (2025)
notes that real-time and team-based recognition systems are directly linked to
better performance and lower burnout in hospital settings.
Career-Linked Incentives
Promoting and developing staff who
consistently cover difficult shifts sends a powerful message: crisis-related
effort is valued long-term. Linking promotions and career-progression to
crisis performance embeds resilience into the organisational culture (Bucketlist Rewards, 2025; Madiwala Gamage Don, 2024).
3. HRM Theory: What Drives Motivation in a
Crisis?
Three well-established HRM motivation
theories help explain why incentive redesign matters land how to do it well for
Lakeside:
Herzberg’s Two-Factor Theory
Herzberg distinguishes between hygiene
factors (pay, conditions) that prevent dissatisfaction, and motivators
(recognition, growth) that drive performance. In a fuel crisis, hygiene factors
like transport allowances prevent resentment; motivators like public
recognition and career development sustain effort (Powertech
Journal, 2024).
Self-Determination Theory
Staff are most motivated when they feel autonomous,
competent and connected. Peer-nominated awards satisfy relatedness;
involving staff in crisis scheduling decisions satisfies autonomy; CPD
opportunities satisfy competence (Powertech
Journal, 2024).
Adams’ Equity Theory
Employees compare their effort and rewards
to those of colleagues. If crisis incentives are perceived as unfair favouring
some roles over others resentment will undermine the entire programme.
Transparent criteria, peer nomination and clear KPIs are essential (Madiwala Gamage Don, 2024).
Chart 3: Motivation Theories Applied to Incentive Design at Lakeside
4. Role-Customised Incentives at Lakeside
HRM can lead incentive redesign by customising
rewards by role and need. A nurse on a night shift and an HR officer
working remotely face very different pressures and both deserve incentives
tailored to their reality (Bucketlist Rewards,
2025; Madiwala Gamage Don, 2024).
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HRM Design Principle: Incentive equity does not mean
identical rewards it means every
role receives rewards proportional to its crisis burden. Those who cannot
be flexible should receive the most generous material support. Those with
more flexibility should receive recognition and development opportunities.
Both matter. |
Chart 4: Role-Customised Incentive Matrix for Lakeside
Adventist Hospital
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Role |
Extrinsic Reward |
Intrinsic Reward |
Wellbeing Reward |
Source |
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👩⚕️ |
Nurses / Ward Staff |
Fuel
allowance; shift-completion bonus |
Public 'Crisis
Hero' board; peer nomination awards |
Post-crisis
rest day; counselling access |
Bucketlist Rewards (2025) |
|
👨⚕️ |
Junior Doctors |
Transport
supplement; overtime enhancement |
Leadership
development pathway; patient impact recognition |
Debriefing
sessions; mental health check-ins |
Madiwala Gamage Don (2024) |
|
🔬 |
Lab / Allied Health Staff |
Shift
differential for hard-to-fill slots |
Specialist CPD
funding; career-progression priority |
Flexible
schedule credits; peer support circles |
Powertech Journal (2024) |
|
💊 |
Pharmacy Staff |
Critical-role
retention bonus |
Supply-chain
innovation recognition; department awards |
Reduced
overtime cap; workload review |
Bucketlist Rewards (2025) |
|
💼 |
Admin / HR Staff |
Remote-work
equipment allowance |
Visible
contribution to crisis communications |
Hybrid
schedule; mental health app access |
Powertech Journal (2024) |
Sources:
Bucketlist Rewards (2025); Madiwala Gamage Don (2024); Powertech Journal
(2024). Customised by role, crisis burden and reward type.
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Q1 |
How can
HRM balance short-term crisis incentives with long-term career-development
goals for hospital staff? |
Conclusion
In a fuel crisis, the temptation is to
focus only on logistics who can get to work, and how. But motivation is the
invisible fuel that keeps healthcare workers performing under pressure.
When incentive systems are visible, fair, timely and tailored to role-based
needs, they become a powerful HRM tool for crisis resilience
By combining extrinsic rewards with
intrinsic recognition, linking incentives to career development and designing
them through the lens of Herzberg, SDT and equity theory, Lakeside Adventist
Hospital can retain and motivate its workforce not just through the
crisis, but beyond it.
Drawing on Madiwala
Gamage Don (2024), Powertech Journal
(2024), and Bucketlist Rewards (2025),
this post shows that the paycheck is the starting point, not the solution
and that HRM’s greatest lever in a crisis is the one it costs least to pull: recognition.
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“In a
crisis, the staff who stay are not paid enough to stay. They stay because
they feel seen, valued and part of something worth showing up for. HRM
creates that feeling.” |
Bellen, A.
C., AlQahtani, B. M., Alshehri, F. M., & Alotaibi, A. J. (2024). Motivating
healthcare workers in hospital settings: Organisational approaches to
sustainable performance. Powertech Journal 47(4), 1065–1073.
https://powertechjournal.com/index.php/journal/article/download/2894/2073/5577
Bucketlist
Rewards. (2025). Incentive programs for employees in the healthcare industry.
https://bucketlistrewards.com/blog/incentive-programs-for-employees/
Bucketlist
Rewards. (2025). 7 effective reward and recognition programs for hospital
employees.
https://bucketlistrewards.com/blog/reward-and-recognition-programs-for-hospital-employees/
Madiwala Gamage Don, S. (2024). Human Resource Management challenges and response strategies in Sri Lankan hospitals amidst a dual crisis context [PhD thesis, Victoria University, Melbourne]. https://vuir.vu.edu.au/49809/
This is a very thought-provoking discussion on incentive redesign that clearly highlights how traditional reward systems must evolve to remain effective in environments with fluctuating demand and uncertainty.
ReplyDeleteHowever, how can HR design flexible incentive systems that adapt to unpredictable demand while still maintaining fairness, motivation, and alignment with long-term organizational goals?
Thank you for your thoughtful comment and for raising such an important question.
DeleteI think the key lies in designing incentive systems that are both flexible and balanced. HR could combine stable, role-based rewards with variable components that adjust to changing demand conditions. This allows organizations to remain responsive without creating too much uncertainty for employees.
To maintain fairness and motivation, it’s important to use transparent criteria and a mix of individual and team-based metrics, so employees feel both accountable and supported. Linking a portion of incentives to long-term goals such as skill development, quality outcomes, or organizational performance can also help ensure alignment beyond short-term fluctuations.
In the end, it becomes less about constant redesign and more about building an adaptive framework that can respond to change while still feeling consistent and fair to employees.
Appreciate you bringing this into the discussion it adds a valuable layer of thinking.
Very attractive blog. It clearly describes on incentive redesign, showing how organizations need to rethink reward systems to match changing and uncertain business conditions.
ReplyDeleteHowever, how can HR keep incentive systems fair and motivating when business results are unpredictable?
Thank you for your thoughtful comment I’m glad the focus on incentive redesign came through clearly.
DeleteWhen business results are unpredictable, fairness and motivation can be maintained by balancing stability with flexibility. For example, keeping a consistent base reward structure while introducing variable incentives tied to achievable, short-term goals can reduce uncertainty. Using a mix of individual and team-based measures also helps ensure employees feel supported rather than overly exposed to factors beyond their control.
Clear communication and transparent criteria are equally important, so employees understand how rewards are determined even in changing conditions.
Appreciate you raising such a relevant question it adds real depth to the discussion.
This topic genuinely caught my attention because it reflects how organizations need to rethink motivation in uncertain environments. I really like how the blog emphasizes that traditional fixed incentives may no longer work when business conditions keep changing. Redesigning incentives around flexibility, team outcomes, and long-term value creation is such a powerful approach because it aligns employee behavior with unpredictable market realities. It also shows that smart reward systems are not just about performance, but about building resilience, adaptability, and sustained commitment within the workforce. As someone interested in HR and strategy, I found this perspective very insightful and highly relevant to the future of work.
ReplyDeleteThank you for such a thoughtful and engaging reflection. I’m really glad the idea of rethinking motivation in uncertain environments resonated with you.
DeleteYou’ve captured an important shift that incentives today are less about fixed performance outputs and more about encouraging resilience, adaptability, and long-term value. That balance between flexibility and sustained commitment is exactly where HR can play a more strategic role.
It’s great to hear this connected with your interest in HR and strategy your perspective adds real depth to the discussion. Appreciate you taking the time to share it.
This is a really engaging and well-written blog. I lyk how you highlight that motivation during a crisis goes beyond just financial rewards and focus on both emotional and practical support for staff. The connection between HR theories and real hospital challenges is clear and meaningful.
ReplyDeleteThe role-based incentive ideas are especially thoughtful they show a strong understanding of fairness and real employee needs. Overall, a very insightful and relevant piece. Great job 👏❤️
Thank you so much for your kind feedback. I’m glad the connection between motivation, HR theory, and real hospital challenges resonated with you.
DeleteAppreciate you taking the time to read and share your thoughts!
How can HRM practically measure whether these redesigned incentives are improving staff motivation and service quality during the crisis?
ReplyDeleteGreat question this is where incentive redesign really has to prove itself in practice.
DeleteHRM can measure impact by combining both “people indicators” and “service outcomes.” On the motivation side, short pulse surveys, engagement scores, absenteeism rates, and staff turnover give a quick picture of how employees are responding during the crisis. These help capture changes in morale and perceived fairness.
For service quality, hospitals can track indicators like patient waiting times, error rates, service continuity, and patient satisfaction feedback. If incentives are working, you should see more stable performance even under pressure.
The key is to compare these metrics before and after the incentive changes, and also monitor them continuously rather than relying on one-time evaluations. When both staff engagement and service quality improve together, it’s a strong sign the redesigned incentives are actually working in a crisis environment.
So, it’s really about linking people data with operational outcomes to see the full picture.
Kris, your synthesis of Herzberg and Self-Determination Theory brilliantly reframes the fuel crisis as a human motivation challenge. You’ve captured the essential truth , while logistics solve the "how," recognition and fairness drive the "why." It’s a sophisticated, actionable blueprint for resilient healthcare leadership. Nicely done
ReplyDeleteThank you for your kind feedback I really appreciate it. Glad the link between motivation theory and real crisis leadership came through clearly.
DeleteThanks again for engaging with the discussion!