It may change people's behavior for the short term, but doesn't motivate them to maintain the desired behavior for any length of time. When punishment is used to control behavior, people perform at a level just sufficient to avoid punishment. On the other hand, there are many ways to positively reinforce desired behavior, with proven good results. Reinforce immediately after you observe the behavior. Individualize the reinforcement.
Every employee has different preferences.
You should be aware that motivation can go beyond reinforcement. You may have a serious morale problem in your company, one that positive reinforcement, alone, cannot solve. You will need to talk to your managers and other employees to find out if they are unhappy and why. The key to motivating and retaining good employees is to be a good manager yourself. The people at the top of an organization set the tone.