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Posts about how to make your (IT) employees happy continue to garner undue attention in my book. Seriously, if I enjoy my work, enjoy working with the majority of the people at my work, you pay me what I'm worth according to industry estimates, and then offer decent benefits, then I'll be happy... as will almost every other IT employee. In my experience the organizations who feel they need to offer "alternative non-compensation" benefits due so because the work sucks, the pay isn't that great, and the benefits are poor. Tossing a programmer a dual monitor or sponsored events won't compensate for those shortcomings.

I my experience gadgets work. I ordered 24" displays for all of our developers two weeks ago, and they haven't stopped grinning yet. Even better: We had some prospective employee last week looking for a job, and he actually said one of our developers "told him of the super large new displays everyone got". I'm not making this up. Give someone a 200€ raise and it will disappear unnoticed and be taken as granted. Give someone an IPod engraved with the company's logo and the words "Thank you", and you may have won a loyal employee.

I can't argue with the fact that I enjoy two monitors instead of one (like my last job), but if I was forced to use one, and liked the work that I was doing, then in the grand scheme it wouldn't matter. It could be that nice monitors or the IPod make developers happy because it shows an ongoing outward sign of appreciation by the company. Others will notice that, just as much as the developer will notice, and it will instill a sense of pride and worthiness. It is just like getting the office (or cubicle) by the windows, or getting free lunch on Fridays -- it isn't necessarily the reward, but the company admitting that you are a valued employee and showing it in a "public" way. That could be why the monetary raise would go unnoticed... of course, if you have a good relationship with your developers then you can always ask them :)