I work in the HE sector, so monetary reward is modest. My employer has introduced an "Employee Awards" scheme for people to nominate colleagues for 6 categories of award. The list of nominations is published, and 3 nominees are "shortlisted" in each category and invited to a lunch ceremony, where one nominee in each category is declared as the overall "winner" and gets a certificate.
Of course some people get into the spirit of this and nominate several people at a time, whereas others don't bother, not least because they don't have time to write a 600 essay on why they are making the nomination.
Aibu to think this is more likely to create cynicism and cringe than anything else? The people nominated are great, but there are others who are just as great, or more great, who have not been nominated. Also, some of those who have been nominated would definitely prefer a £10 Amazon voucher to a cringe lunch with the VC, and some will definitely be embarrassed to have been shortlisted ahead of their equally capable colleagues.