What system refers to the extrinsic rewards an organization gives to its employees?

The term that refers to the extrinsic rewards an organization gives to its employees is "Reward System." This concept encompasses all forms of compensation and benefits offered by an organization, which may include monetary rewards, bonuses, commissions, health benefits, retirement plans, and other incentives designed to motivate and recognize employee performance and engagement.

The reward system is integral to attracting, retaining, and motivating employees, aligning their efforts with organizational goals. A well-structured reward system not only acknowledges employees' contributions but also helps create a positive workplace culture, fostering loyalty and improving job satisfaction.

While review systems typically focus on evaluating employee performance, an incentive system specifically points to rewards tied to performance outcomes, and a pay and promotion system emphasizes traditional compensation and advancement mechanisms. However, the broader concept of a reward system encapsulates all these aspects and highlights the various forms of recognition and compensation employees receive from the organization.