To celebrate Employee Appreciation Day It’s time to transform the appreciation of employees from a once-a-year event to an everyday routine.
Recognition of employees is an essential element in retention
The War for Talent that companies have been fighting in recent years has given us any lessons is that employers shouldn’t let their employees go unnoticed no longer. With massive layoffs happening in the financial and tech world making headlines Small and medium-sized enterprises have been hiring as many employees as they can. This helps keep unemployment at a low for decades.
However, it isn’t all it means that employers who are looking to recruit and, perhaps even more importantly retain their workforce should up in their recognition of the critical role employees play in their business.
The common belief is that employers can reward employees occasionally for a job well-done and as a result employees feel a sense of gratitude and feel a sense of belonging. It was once like this, but today it’s far from the reality.
“Employee recognition isn’t something that can be done by checking a box,” says Zoe Peterson-Ward who is chief customer officer of Workhuman. “We’re living in a world in which employees are demanding higher standards from their employer than they ever have previously, and this is the case for recognition too. Recognition should not be just given more often, but it must also be tailored for each employee to ensure that they feel valued and appreciated by their company.”
The benefits of acknowledging employees who are well-being is huge. If employees feel their company is committed to their wellbeing and their professional growth, research suggests that employees are 3 times as likely feel a sense of belonging to the company culture and being three times more likely to believe that their company takes care of their well-being and 30 percent more likely to remain in their company for five years from now.
In the spirit of Employee Appreciation Day I spoke with Peterson-Ward through email to discuss how businesses could rethink their employee appreciation initiatives with a view to creating a place where employees, particularly those of younger generations are able to thrive.
Affirmation of authenticity and regular recognition
The biggest errors employers make when it comes time to recognize their employees is that they don’t have authenticity.
“Employees are aware of whether gestures of gratitude are genuine , or not, and fake recognition occasions will not be greeted with positive reactions,” says Peterson-Ward.
Peterson-Ward gives an example of how every employee receives the exact “canned” thank-you email sent by an Executive.
“Now think about the new impression you’d have If the note you received was a personalised message that emphasized the details of your contribution to the company’s success,” she says. “Getting an individual, authentic message that is specific enhances the experience of an employee in the moment they receive the acknowledgement. This means that employees feel more connected with the individual giving the award and to the business.”
Employee Appreciation Day 2023 is yet another illustration of how companies not be honest about recognizing their employees in unauthentic ways.
“Typical celebrations such as an evening of happy hour or a pizza celebration are great gestures but they are not able to provide lasting value and affect on employees,” Peterson-Ward explains. “Making these occasions and gestures an ongoing thing is much more beneficial for employees and should be considered when deciding the best ways to design more effective programs for recognition.”
This is especially true for those of the younger generation that seek regular recognition that is authentic. Workhuman’s research showed the following: 78% millennials as well as Gen Z workers want frequent acknowledgement from their bosses.
In addition to being authentic, Peterson-Ward states that recognition programs must be effective and a part of your company’s values, fair and individualized.
“Each component of those elements complements each one,” she says. “For instance, fulfilling recognition could also be a personalized recognition, while equitable recognition is derived by a culture of the company which is a strong advocate for equity, diversity and inclusion. When all these components of recognition are a part of one another, the recognition programs can bring benefits to employees from all industries.”
Making sure employees feel appreciated and valued
Recent information from Workhuman found that almost three-in-ten workers (30 percent) feel unheard at work. 23% feel left out of conversations , and 22% feel totally in the dark. They do not feel valued or appreciated.
“Feeling visible is a daily problem for many workers,” says Peterson-Ward. “Effective genuine recognition, particularly when coupled with frequent management check-ins can create connections at work and make those who are not visible feel valued.”
Peterson-Ward further states that companies should not ignore the significance of acknowledgment of diversity equality and inclusion (DE&I) measures within the organization.
She refers to Workhuman research which found that just 19% of employees from black backgrounds and 21 percent of Hispanic employees are of the opinion that they are given the same amount of respect in the same way as team members on other teams, as opposed to 28% of white employees.
“Recognition in all its forms must be open to all people and employees at any company, and the burden is on the employers to implement concrete actions to tie together DE&I strategies with the recognition program,” says Peterson-Ward.
She says that cutting-edge technologies like AI or machine learning could aid business and executive leaders remove racial and microaggressions in their recognition systems, and in the end, better educate their employees and themselves on what it takes to be truly inclusive and equitable.
“Making the younger generation feel appreciated and respected is something that companies must prioritize when they implement efficient recognition strategies in the future,” says Peterson-Ward. “Moreover it is important not to overlook all employees within your organization, which makes personal recognition more essential.”
The positive benefits of recognition
An effective program for recognition does more than just help retain employees however, it also assists employees become more productive and happier with their jobs.
“When employees are acknowledged by their employer, they’re 10 times as likely to feel they are part of their company,” says Peterson-Ward. “On the other hand of the spectrum, employees who do not feel a feeling of belonging are twelve times more likely to leave which can result in a decline productivity.”
The research carried out through Workhuman and Gallup discovered that an engaged workforce, fueled by recognition, could increase productivity by an average rise of $1,737 per employee. Based on the number of employees a company employs this can result in some significant figures.
“In the simplest terms, developing environments that are centered around recognition can aid in making employees feel more at ease and, as a result become more involved and engaged in their job,” says Peterson-Ward.
It is a win-win situation to me.
Where employees are at when they meet
Employee Appreciation Day can be a great opportunity to evaluate how your company recognizes its employees, not only once per year, but often, by means that’s real and personalized.
If you are able to get your people to where they are in relevant ways, you might be amazed at how much more productive your employees become because they truly enjoy what they’re contributing to the mission of your organization.
In other words, perhaps it’s time for you to make every morning an employee Appreciation Day.