The Ultimate Guide to Employee Recognition
What is Employee Recognition?
Do you know what feels great pretty much all of the time? Recognition for hard work. A simple acknowledgment or praise to a team member makes is a simple task and makes everyone feel appreciated. Employee recognition is also a great way to motivate employees and reinforce best practices and activities that drive performance and positive business results.
Why are Employee Recognition Programs Important?
While recognition for a job well done is a simple act, it’s often underutilized in organizations. In fact, 35% of employees don’t think their employees care about them as a team member or person. It’s also the number one reason why most people leave their jobs.
One of the biggest motivators for employees is to feel valued by their leaders and fellow team members which is why employee recognition is so important. Here are just a few other benefits of employee recognition:
Boosted morale
Recognized employees feel good about what they do and take those feelings home with them. When employees do better work, they live better lives. That happiness is likely to resonate with the entire team and boost overall morale.
Increased productivity
It’s no secret that employee recognition encourages productivity. Companies with recognition-rich cultures outperform others are 12 times more likely to see stronger business results.
Improved engagement
Studies also show that employee recognition drives engagement among employees. Because employee recognition motivates employees to do their best work, they also valued for doing that work. Recognition can improve engagement by almost 60% for individual employees and has also been found to increase engagement across entire teams.
Decreased turnover
Research also shows that engaged employees are more likely to stick around. Companies with employee recognition programs see a 23% decrease in turnover compared to those who don’t. The U.S. Bureau of Labor and Statistic also found that employees who quit indicate they felt either a lack of respect or autonomy in their role. Luckily, business leaders can keep the best of the best in today’s competitive market with simple recognition efforts.
Types of Employee Recognition
Recognition can vary from company to company, and how you show employee appreciation depends on many different factors. It’s important to consider your budget, the number of team members you have, your company values, and your employees’ preferences.
When it comes to employee recognition, there are no one size fits all employee recognition programs. Consider your team’s preferences and ask them to complete an employee survey to ask them what they want and how they like to be recognized. This will help you decide if they’d feel valued with individual employee recognition awards or team employee recognition games. And while there are a lot of types of employee recognition, most fall into four key types of recognition.
Bonuses
When employers hear the word recognition, they most likely associate that with monetary bonuses. There are many types of bonuses, ranging from small to large, which means that both small and large companies can offer these to their team. Employees can also receive larger bonuses and event promotions based on performance. This is a more formal and detailed form of employee recognition that’s given out on an annual or quarterly basis.
Verbal praise
You don’t have to spend any money to recognize employees and show them they’re appreciated. Verbal praise is a classic form of employee recognition and is actually preferred over a gift. While verbal praise is usually informal in nature, teams can also share an employee appreciation speech publicly as part of a more formal recognition program.
Written praise
Written praise is also a popular type of employee recognition. For some organizations, written praise is only shared during formal performance reviews. However, the best teams share written praise through hand-written thank you notes or emails more consistently.
