A new McKinsey Quarterly study revealed the following actions can help improve performance as much as (if not more than) cash incentives:

• praise from direct supervisors
• attention from company leaders, and
• opportunities to lead projects.

In fact, the study found that the supervisors getting the most from their workers in this economy are the ones praising workers, delegating responsibilities and staying in constant contact.

But the study also made sure to point out one thing: These actions only work for employees who are satisfied with their current pay.

By now, it’s no secret that the recession has killed employee job satisfaction and productivity. The No. 1 reason: Payroll budgets have dropped off a cliff.

But employers are determined to find ways to keep talented employees happy and working hard, without increasing payroll, found a recent CareerBuilder survey.

What did the survey of more than 2,700 employers uncover?

Pay worries

Employers’ top five concerns are:

1. Providing competitive compensation (34%)
2. Maintaining productivity levels (33%)
3. Retaining top talent (31%)
4. Worker burnout (30%), and
5. Providing employees with opportunities to move up in the organization (25%).

Becoming more flexible

Despite their concerns, many employers feel as though they have the power to keep employees happy and productive without breaking the bank.

Here’s how they plan to do it:

• Offer more flexible work arrangements (28%)
• Provide more training (21%)
• Promise future benefits, like raises or promotions, when the economy picks back up (18%)
• Offer more performance-based incentives, like company-paid vacations (16%), and
• Provide a higher title without a salary increase (7%).

Here are some strange and unique things nine benefits pros said their companies offer employees to keep them happy:

• Dogs. Each day, a different employee is allowed to bring his or her dog into the office.
• Heartache leave. Employees are given six days to cry and come back refreshed after suffering some form of heartbreak.
• Laundry service. Employees can drop off their laundry at the office for cleaning and pick it up the next day.
• Car washes. Employees can have their cars taken to be cleaned while they are in the office.
• Movie nights in the office. One night a week, the company provides a movie and refreshments.
• Interest-free computer loans. When employees want to buy a computer, the company loans them the cash (up to a set amount), and employees have interest-free payments deducted from their paychecks.
• Paid community service. During regular work hours, employees can volunteer in the local community — and get their regular pay.
• On-site massages. Once a month, a masseuse is brought into the office to give everyone a free massage.
• Free snacks. Employees can help themselves to soda, coffee, bottled water and vending machines snacks.

What are some unique employee benefits your company provides? Let us know in the Comments Box below.

Give them access to a chaplain. It’s not as uncommon as you might think.

One company, Marketplace Chaplains USA, provides client employers with 2,300 chaplains throughout 46 states, 483 cities and six different countries. In all, it’s given 420,000 employees and their families the ability to speak with a chaplain while on the job.

And Marketplace isn’t the only company providing the service. Several others offer it, too — like Corporate Chaplains of America and Chaplain Associates, Inc., to name a few.

Non-denominational program

While the down economy has helped employee-care programs become more common, there is one major difference between them and providing a workplace chaplain — one-on-one interaction that’s offered 24/7.

Chaplains are on call around the clock to chat about everyday life and provide employees with a shoulder to lean on in a time of need.

Their goal isn’t to conduct a Bible study. In fact, chaplains are there to help those of any faith.

Marketplace, for example, provides client employers with chaplains for workers who are Catholic, Buddhist, Jewish, etc.

Accommodations can even be made for those workers who’d feel more comfortable speaking to a chaplain of the same age, gender or race.

Has your company ever used a chaplain service? Let us know in the Comments Box below.

1. A favorite book, DVD, CD, etc. Encourage managers to pass along something that’s inspired them, and include a note explaining why they decided to share it with the recipient.
2. A handwritten “thank you” note. Nothing conveys to someone that he or she is appreciated quite like a handwritten note, especially if it’s from a member of the company’s top brass.
3. Greetings from the CEO. A great way to say “thanks” for a job well done: Ask your CEO to walk through the department and shake the hands of all those involved in the accomplishment.
4. Social network your thanks. A company-wide e-mail is always a popular way to pat someone on the back. But if you want to really go above and beyond, especially for younger, more tech-savvy workers, post a “thank you” note on your company’s Twitter or Facebook page. Just be sure to cite people by name.
5. Time. Another reward that never gets old: Give out a half or full day off. Sure, time is money. But it may look better than taking cash directly out your budget to reward a job well done.
6. A potluck party. The company can pay for the sodas and each employee can bring in his or her favorite dish. Tip: Make sure everyone brings in a copy of their recipe — someone will want it.

What are some low-cost ways your company rewards employees? Share them in the Comments Box below.

Give up? They’re all perks employees have requested from HR and benefits pros. Want to hear some more crazy ones?

HR and benefits managers recently shared the most memorable requests made by some of their company’s employees in a recent CareerBuilder survey.

Here are the craziest requests that made the cut:

• Allow people to change their clothes in their cubicles.
• Add a tanning bed to the break room.
• Put beer in the vending machine.
• Hold the team meeting in Hawaii.
• Cover jail time under family medical leave.
• Put a tanning bed in the break room.
• Create a smoking area for medical marijuana users.
• People should be allowed to use the chair in the lactation room for naps.
• Install a swimming pool.
• Start bikini Fridays.

What the weirdest request someone’s made at your company? Let us know in the Comments Box below.

But savvy managers have found ways to keep employees upbeat — and performing — without breaking the bank.

Here are four incentives keeping workers happy:

1. Casual dress code

Take it from the Commander-in-Chief: Casual is the way to go. When President Obama instituted casual dress in the Oval Office, he overturned President Bush’s more formal rules in an effort to foster a relaxed working environment.

A casual dress code makes workers feel more comfortable, which may increase productivity and morale. Plus, it’s a perk that doesn’t cost the company a dime.

2. Flex time

Flexible schedules are another low-to-no cost perk that works. Employees — especially younger workers — appreciate flex time because it helps balance their work and personal lives.

3. Relaxation room

Several companies have set up “relaxation rooms,” complete with tables, chairs or even cots for workers to kick back or catch some shut-eye.

You may scoff, but employees appreciate having an area where they can give their minds a rest or even take a 15-minute nap at the end of their lunch break.

4. Let ‘em use their gadgets

Policies that allow workers to use their iPods or smartphones (e.g., Blackberrys and iPhones) on the job are a hit. Plus, they allow workers to stay in touch with loved ones, without having to leave the office.

What incentives are popular at your company? Let us know in the Comments Box below.

So what do your employees want? Here are four resolutions that’ll keep them happy:

1. Stay on top of compensation trends

As you’re well aware, pay is going to be extremely volatile this year. Being mindful of trends and knowing what other companies in your area are paying will help the company stay competitive as well as realistic about the payroll budget.

2. Keep employees in the know

It’s better to give employees the full story. If not, you’re leaving them to their imaginations — which always run wilder than reality.

3. Reward those that matter most

It’s can’t be overstated: Things will be tight this year. So it’s more important than ever to reward the right people.

Idea: Stretch the bonus budget by giving promotions to top performers — the ones that are going to help the company get through the tough times. They’re the ones you need to hang onto now.

4. Ask workers how to improve their jobs

Let them know you care what’s on their minds. Listen to what they say and — if you can — act on it.

The vast majority of HR managers say missing open enrollment has a big impact on employees’ wallets, according to a recent CareerBuilder.com survey.

How big of an impact?

• 34% of HR managers say missing open enrollment costs employees at least $500 a year in out-of-pocket expenses (for things like medical care and school tuition, which could’ve been covered by their employer)
• 20% say it costs employees more than $1,000, and
• 10% say it costs workers more than $2,500.

That’s distressing news when you consider that half of hiring managers say more than 10% of their workforce misses annual open enrollment deadlines.

In addition, 25% of workers admit they don’t pay attention to benefits changes, figuring their benefits will roll over — or because they feel the whole process is too confusing.

Employees don’t realize what they’re missing

Another big reason employees don’t participate: They don’t realize everything their employer is offering.

When asked which benefits employees aren’t taking advantage of, HR managers said:

• Wellness benefits (45%)
• Flexible healthcare spending (43%)
• Tuition Reimbursement (38)
• Banking programs (25%), and
• Discounts on personal entertainment (24%) and technology (22%).

Shine the spotlight on them

In general, the more frequently employers reward workers, the more those workers will aim to please.

The key is making sure rewards fit the size of employees’ accomplishments — and that the rewards vary.

Example: Don’t always give away the same $10 gift cards. Instead, hold a public recognition ceremony or send out a company-wide e-mail praising the employee. Be sure to focus on what the employee did that saved others time, boosted profits or otherwise helped the company.

Offer decision-making power

Another good way to show employees they’re appreciated and make them feel valuable: Encourage supervisors to allow employees to make small financial decisions.

Example: Let employees choose which new desk chairs everyone will get or which prizes will be given away at the next employee appreciation meeting.

Solicit employee ideas

Welcoming ideas from employees about new benefits is a great way to get them plugged into your programs.

Sure, a few suggestions are bound to leave you scratching your head. But if you can use just one, it’s worthwhile.