6 Reasons Employee Recognition Will Always Matter

When it comes to employees, there is no more significant way to show appreciation than some good old employee recognition. It’s an essential part of company culture all year and will likely always be. Here are six reasons why:

Increased Happiness

To cut a long story short, recognised employees are happy employees. For most people, work doesn’t leave their minds as soon as they leave the office but lingers somewhere in their minds until they return the next day.

So, when you take the time to show your employees that they’re seen and appreciated, they take those happy feelings home with them. Research shows that happy employees are, on average, 12 per cent more productive than their less-happy colleagues!

Leaders Who Appreciate Will Receive it Back.

As I’m sure you know, trust in the workplace is critical. You’d be surprised how much thanking your employees fosters trust. When employees know their efforts are noticed by those higher up the food chain, they feel a deeper connection to leadership.

High Staff Retention Rates

When asked why they decided to switch careers, the vast majority of employees represented in a recent report said they felt either a lack of respect or a lack of autonomy. By showing some recognition, you can positively impact these trends and keep your staff around for much longer.

Additionally, creating opportunities for employee recognition can help manage stress in the workplace by showing a job well done. This type of praise can lead to more engaged employees. Employees who feel underappreciated will reflect poorly on the business as a whole, something that no company wants.

Improved Working Environment

Linking to the above point, people commonly leave their jobs because they feel underappreciated. Showing employees that they’re valued draws in new employees and keeps the current ones.

Employees who feel appreciated can vastly improve the workplace environment, boosting morale and motivating employees to work harder.

Increased Profitability

When you think of employee rewards, it’s unlikely you immediately think of profitability, but you should! Rewarding substantial work motivates employees to work more efficiently. In short, celebrating employee performance encourages employee performance.

In addition, it’s often said that the key to happy customers is happy employees, so employee recognition, often achieved through employee reward schemes, can improve customer satisfaction.

Improved Connections Within the Team

Connections can be improved in the workplace through employee recognition, not just by managers and leaders but by everybody. Recognition among peers can benefit the business because publicly recognising employee performance will encourage other employers to note each other’s positive characteristics.

These celebrations have the potential to inspire other team members. As the saying goes, a team is not a team unless it works together, so remember that peer recognition drives teamwork, just as recognition from higher up the ladder does.

As you can see, employee recognition is incredibly important—and always will be. With these ideas, you can improve employee satisfaction, ultimately boosting productivity and driving meaningful growth.