Employee renumeration is defined as, "the reward or compensation given to the employees for their work performances," according to Management Study Guide. Renumeration is a method of promoting morale, increasing motivation and foster team cohesion. Ther two main types of employee renumeration are piece rate method and time rate method. The former is compensation based on unit productivity, such as writing software programs or assembling a unit. The latter is the time an employee spends on a job, such as finishing a project before a deadline.