The Merits of Employee Recognition and Rewards

By: University of the Fraser Valley

Employees are known to respond positively to appreciation at work, mainly when it is done by recognizing their efforts since it confirms their input is valued. A simple thank you will not only make your employees feel good but also go a long way in benefiting your business. Here is how:

Top 6 Benefits of Employee Recognition

1. Productivity

It is no secret that engaged staff tend to be more productive, work efficiently and are proactive to perform a fruitful task. “If their efforts are likely to be rewarded and praised, then it is evident that employees will work hard to receive this kind of recognition,” says an expert on management training at GBS Corporate Training.

2. Job Satisfaction

Recognising all the efforts of your employees is a demonstration that the job they are doing is valuable to their business. It conveys the message that their work is worth rewarding and hence is essential. This will, in turn, make the employees feel that they are making an impact on your business.

3. Employee Happiness

Happy and fulfilled employees could always be motivated to perform even better due to the positive energy they have towards a business. When an employer treats his staff with gratitude and respect, the staff members will want to return the favour by doing a good job. This kind of positivity could send waves across a business, creating a conducive working environment that people will want to be a part of.

4. Retention

More often than not, a high employee turnover often results in poor morale which could make other staff members seek greener pastures. The time needed to recruit and train new staff will affect utilisation, and the fiscal costs can take a toll on your business, so staff retention should always be a priority. The provision of rewarding will give employees a good reason to stick with your company.

An impressed and satisfied member of staff could be motivated to improve his performance due to his positive feeling towards your company.

5. Loyalty

If your members of staff have a close engagement with your business, they will most probably sell and promote your brand more aggressively than an employee who doesn’t care or believe in your business. Rewarding good work often generates loyalty in addition to helping your team have an emotional bond with your company.

6. Team Culture

Rewards that take into account peer-to-peer recommendations are perfect for team spirit since they encourage employees to see the positive attributes in each other. Teams are better poised to achieve this since they work together on a daily basis. Moreover, letting colleagues nominate each other for specific rewards is empowering since it demonstrates their value for each other’s opinion.

How Can You Provide Recognition and Rewards?

An Employee Recognition Programme

An effective way of providing staff incentives is through a well-structured employee recognition programme that is run on an online platform. This helps place all essential information at employee and management fingertips thus allowing the whole business to easily interact with it. Rewards should be visible to staff so as to give an incentive to work harder. Performance metrics must also be visible to the senior team members so that they can easily monitor each employee’s progress and proactively recognise efforts at the right times. Such platforms are often straightforward and less costly to implement while increasing the ease of rewarding customers so that high performance is not ignored.

What Should A Reward Programme Include?

In order to create a scheme and have it running, there are essential aspects that must be featured as mentioned in our previous post, and they are:

  • Peer-to-peer recognition – this means empowering your staff members to always celebrate each other.
  • Extended-service awards – celebrating milestones to recognize your loyal staff.
  • Instant recognition – there should be visible metrics to reward staff members immediately instead of waiting for a standardised time, like at the end of the year.
  • Rewards – have desirable wins that staff members will always desire to achieve.

It is crucial to design your scheme in line with your company so that it reflects your brand and culture. When run appropriately, an employee recognition scheme will have a positive impact on your business.

Categories: Careers

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