employee recognition

Why Employee Recognition Is Important in the Workplace

A company that values its employees through proper recognition empowers its workforce in various aspects. Employee recognition impacts how people in the company will perform throughout their stay. If not properly acknowledged, it could lead to employees’ loss of motivation and a sense of purpose.

The problem with most ineffective teams is that the leadership forgets to recognize the team members’ effort—be it small or big. Managers are busy looking at the bigger picture, causing them to forget the sole reason why the organization functions—the team members.

When the neglect of employee recognition happens, it becomes a severe issue that could even lead to employee turnover. If you are a manager seeking to nurture good wok relationships among members, you will have to understand the importance of employee recognition.

What is employee recognition?

Employee recognition is the formal or informal acknowledgment of an employee’s exemplary effort in attaining company goals. The company’s appreciation shows how they hold value over its workforce as the driver to organizational success. Any business can show their recognition to team performers through simple affirmation or incentivized rewards.

employee recognition

The importance of employee recognition

Here are several reasons why employee recognition is vital in the workplace.

Promotes happiness

Any form of affirmation can easily trigger a person’s happiness. Big or small, efforts should be recognized, mainly when it contributes a significant impact on achieving success. When employees are happy, they feel valued and more motivated to accomplish more things.

Improves productivity

Recognized employees tend to become more productive than anyone else in the room. When the management appreciates their work, they maintain the burning desire to stay profitable and efficient. The recognition makes them feel good about themselves, which is proportional to striving hard to keep the momentum and even trying to outperform themselves. 

Boosts morale

Simple greetings and praises demonstrate respect and appreciation towards employees. It’s easy to overlook courtesy as a form of recognition, but this gesture’s regular practice has a significant impact on employees’ morale. Saying “thank you” for efforts and “sorry” for misunderstandings promotes a harmonious culture.

Increases trust

Showing recognition of efforts display the value and trust the company has for its employees. When higher-ups regularly practice affirmation over the achievements of those accountable, they build up the trust they have in the working relationship. Employees will increase their trust and commitment to the company as they know their value in the organization.

Provides a sense of purpose

When the management practices employee recognition, it impacts how employees see themselves as a part of the company. It shows them the purpose of their job and the contribution they have for a particular goal. Most employees feel empowered when they know they are a part of something relevant to the company.

Promotes engagement

Many companies suffer from low employee engagement because they neglect to care and appreciate their employees. There are several ways to increase engagement, and one of them is employing a program that will show gratitude over their work. When employees see their importance, they will become proactive in providing suggestions, giving feedback, and developing friendships with coworkers.

Nurtures one’s self-improvement

One of the many ways a business can recognize its employees is by supporting them through professional development. It doesn’t only increase the trust, but it expands their knowledge and capabilities to upskill themselves. It is investing in the capacity of the employees to make them even more profitable and empowered.

Through the continuous provision of training resources they can indulge in, you are helping them build a better skill set. Such resources can be in the form of online courses that are relevant to their existing skills. Whether soft skills like communication, leadership, productivity, or technical skills like marketing, programming, and project management, you can boost their knowledge and self-esteem when you invest in their subject mastery.

Improves employee retention

All benefits mentioned previously result in improved employee retention. Employees won’t feel the need to quit their job when they are satisfied with their job.

When employers neglect to appreciate and support their employees continuously, it demonstrates the lack of care. This leads to voluntary employee turnover since they don’t see the value of working for a company that doesn’t care for them. If employers genuinely appreciate every effort of their people, they will make a way to recognize them accordingly.

employee recognition

How to make effective employee recognition

Here are some helpful tips in effectively recognizing team and individual efforts.

Be specific on the purpose

When recognizing your people, be specific about its purpose. Recognition is a form of feedback wherein you acknowledge the effort done and empower the person through affirming it. Always mention why the person is receiving recognition to inspire others to do the same.

Be timely with the recognition

The timing of recognition matters in amplifying the happiness of the employees. It is crucial to recognize it almost immediately after a positive result. Aside from the fact that it boosts their happiness, it also builds up the confidence to strive harder.

Remember there is no big nor small for recognition

Small gestures of recognition can deeply affect your employees’ overall perception of the company. The mere saying of thank you and daily greetings can instantly uplift employees’ moods, making them feel respected by the higher-ups.

Think of the right form

Recognition comes in various forms. It is crucial to think of proper ways to show gratitude for their work. You can be creative in thinking of employee recognition programs, or you can start it by providing reward systems, written and verbal praises, or milestone celebrations.

Connect to the collective growth of the company

Employees love it when they know their contribution has a great impact on the productivity of the business. Why not provide them that satisfaction by sharing how their work contributes to the attainment of company goals? Learning that they are a valuable asset in the company will bring self-fulfillment.

If you are more than driven to ensure your employees are being recognized, you can use this guideline to create your own recognition program. Remember to make recognition personal as every individual has their preferences when it comes to affirmations. To know more about the power of employee recognition in the workplace, you can check out these top-reviewed Skill Success online courses:

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