News & Press Release

    December 11, 2019 • czweig

    New Report on Incentive Compensation Released

    Zweig Group recently released the 2019 Incentive Compensation Report of AEC Firms. 

    The report covers eleven different types of incentive compensation.  AEC firms responded to a survey throughout 2019, providing both opinions and numeric values relating to the incentive compensation plans used in their organization. Firms also rated each type of plan on its ability to recruit, retain, and motivate employees.

    The survey revealed performance bonuses as a popular option. Seventy-three percent of firms incorporate performance bonuses, and over half of the firms who participated said these bonuses were the most successful form of incentive compensation in their firm.  By growth rate, a median value of 5.6 percent of the net service revenue of fast-growing firms is dedicated to performance bonuses, almost doubling the median value of the overall dataset (2.9 percent).

    On the other hand, while almost sixty percent of firms give signing bonuses to new hires, fifteen percent say it’s the least successful type of incentive compensation. While signing bonuses are a great way of getting a new employee in the door, firms worry that the payment is soon forgotten by the employee. By growth rate, declining firms are dedicating the most as a percentage of net service revenue (ten percent) relative to the rest of the sample (between three and five percent).

    For more information on this report visit